This time of year, people are focused on one thing: March Madness. Millions of brackets are being filled out and teams are preparing for the biggest moment of the year. Now that games have started, teams are pulling off the biggest upsets and anything is possible.
While all of this is happening, BASE® employees are preparing for another big moment – tax time! We are helping small business owners save thousands of dollars in taxes. The average client saves $4,700 in taxes annually. The Section 105 BASE® HRA allows for small business owners to deduct up to 100% of their family’s qualifying medical expenses and individual health insurance premiums as a business deduction.
Just like the coaches are getting ready for each game, the BASE® staff is always working with clients to develop a winning benefit strategy to help clients save tax dollars. Alex M., a BASE® HRA client since 2015, talks about his success with tax savings within the BASE® HRA.
“As a small business owner, taking advantage of the HRA would be hard without BASE®. The BASE® staff takes a complex plan and makes it simple. The welcome packet, payroll reminder emails and customer service make the whole experience easy to understand. The plan has become part of my monthly routine and entering my expenses is so easy. What you pay BASE® is well worth it in the tax dollars you save,” he said.
Not only are small business owners saving thousands of dollars and reducing the overall financial impact of health care expenses, but they also have the ongoing support from the BASE® staff. Judy H., a BASE® HRA client, talks about what it is like to work with BASE®. “The BASE® staff checks on me regularly, and they are always available to assist me with various tax documents that I’ve received. They have been complete rock stars, and I have already referred a few other realtors from my office that can benefit too,” she says.
This year, March Madness has already brought us history making games, amazing upsets, and winning teams! BASE® is fortunate to work with winners all year round who are saving valuable tax dollars that they are able to put right back into their business. Call 1-888-386-9680 to learn more about BASE®’s winning benefit strategies!
The BASE® Flexible Spending Account is a good option that could provide extra funds during the expensive holiday months. The FSA is a BASE® product under the 125 Cafeteria Plan that employers can offer to their employees to help reduce the taxation on out-of-pocket medical expenses not covered under insurance plans. It is an easy way for employees to save tax dollars throughout the year by setting aside money from their paycheck on a pre-tax basis into a special account that can be used to pay for certain out-of-pocket medical expenses.
The FSA can work for many different kinds of employers. However, the ideal candidate is a company that has one or more employees who pay for qualifying non-insured medical expenses such as dental, vision, co-pays, deductibles, prescriptions, and chiropractic. Not to mention, a variety of other qualifying eligible expenses such as band aids, sunscreen, contact lenses, etc.
While this product greatly benefits the employee, it helps employers save money as well. When employees choose to participate in the plan it reduces the employers share of FICA and FUTA taxes on the elected amount. Employees have the opportunity to save tax dollars throughout the year on over 4,000 eligible expenses. The higher the plan utilization, the more the employer saves!
Leah L., an FSA client, realized the benefits the FSA provided to her employees. “We originally decided to implement the BASE® 125 plan for the tax savings it provided, and I would say that is the biggest benefit. Not only do our employees save when funds are transferred from their wages on a pre-tax basis, but our company also sees valuable tax savings. Not everyone is great at saving for a rainy day, but this has helped many of our employees be able to save for medical expenses, both expected and unexpected. This plan is very user friendly for both the employees and employer, and I would definitely recommend taking advantage of the BASE® 125 plan. The BASE® staff is very easy to work with, and is great at helping out in a very timely and efficient manner.”
One proven way to maximize participation is by simplifying the reimbursement process. BASE® offers a variety of ways to reimburse medical expenses including the swipe of a card or the use of a mobile device with photos of receipts. Colleen, another FSA client, mentions the benefits of the FSA for her company and the opportunity for employees to use a debit card. The debit cards make the process seamless and can increase participation. “Aside from the tax savings for both our firm and our employees, one of the biggest benefits is the debit card. It is extremely convenient to swipe the card at the point of service for covered items and services.”
Contact BASE® today to see how your company or clients can start saving today with the BASE® FSA!
Share on Facebook
Share on Twitter
Share on LinkedIn