BASE® Clients Enjoy Growing Tax Savings
BASE® has been offering small business owners Section 105 HRA administration for well over 25 years. With each passing year and increasing healthcare expenses, that means the average tax savings a client experiences continues to increase.
The average client now saves an average of over $7,200* in tax savings on healthcare with the BASE® Section 105 HRA. This plan is designed to allow small business owners the opportunity to deduct up-to 100% of healthcare costs, including qualified individual insurance premiums and qualified out-of-pocket medical expenses.
According to the latest figures from the US Bureau of Labor Statistics (BLS), as of October 2024, the number of self-employed people in the US is 9.84 million. While this number continues to go up and down, the average tax savings our clients gain only continues to go up.
Our tax, insurance, financial advisor partners continue to encourage their small business and family farming clients to utilize this plan to go beyond the IRS-approved tax savings plan created through Code Section 105 of the Internal Revenue Code that allows business owners the opportunity to deduct these expenses as a business deduction.
Around since 1954, this type of HRA was granted Safe Harbor in the Affordable Care Act (ACA) for businesses with 1 employee. BASE® provides adjudication of expectations and the legal documentation needed for filing taxes.
If you work with small business clients or are one yourself, be sure to reach out to BASE to discuss this plan. You can also estimate your savings by utilizing the Tax Saving Calculator by visiting BASEonline.com.
* Average based on employer with a full-time employee working 25+ hours per week.
Share on Facebook
Share on Twitter
Share on LinkedIn