This site uses cookies to improve your experience. To help us insure we adhere to various privacy regulations, please select your country/region of residence. If you do not select a country, we will assume you are from the United States. Select your Cookie Settings or view our Privacy Policy and Terms of Use.
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Used for the proper function of the website
Used for monitoring website traffic and interactions
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Strictly Necessary: Used for the proper function of the website
Performance/Analytics: Used for monitoring website traffic and interactions
Pre-tax benefits are growing in popularity amongst employers and employees alike. This is because they offer a great way to save on taxes while still being able to use funds for medical, dependent care, and other expenses. In the last year alone, we’ve learned a lot about pre-tax benefits and how to maximize their potential.
It also includes platforms affecting how information is presented to brokers. Incorporating lifestyle components into pre-taxaccounts. So, how will this affect tax advantaged accounts like FlexibleSpendingAccounts and Health Reimbursement Accounts? That’s so last decade.
What is a Dependent Care FlexibleSpendingAccount (DCFSA)? First things first, let’s clarify what a dependent care flexiblespendingaccount actually is. The Power of Pre-Tax Dollars One of the most significant advantages of a DCFSA is the ability to use pre-tax dollars for eligible expenses.
Pre-tax benefits are a powerful tool for saving money and maximizing your income. From flexiblespendingaccounts (FSAs) to health savings accounts (HSAs) and commuter benefits, these options offer significant advantages if managed wisely. This includes copayments, deductibles, prescriptions, and more.
You are presented with three statements- two are true and one is a lie. Consider the game an ice breaker for getting to know your pre-tax benefits. Those FlexibleSpendingAccounts are pesky (we say that affectionately as an administrator) because they require you to have a life event before making any changes to your election.
If you have a FlexibleSpendingAccount (FSA), you know that every year during Open Enrollment (OE), you choose how much to put aside in the account, otherwise known as your election. Let’s be honest– one of the main reasons you enrolled in a pre-taxaccount was to save money. Estimating Tax Savings.
As kids, there were fun games that helped us make choices… In benefits, we are often presented with a 50 page document and told “Here you go. ” Too bad making your pre-tax benefit account decisions is not as easy as pointing and saying “Eenie meenie miney mo – Which account should I choose?
This presents a unique set of challenges for employers and HR professionals, who must navigate the delicate balance of providing competitive compensation packages while also addressing the rising costs of living. Health Savings Accounts (HSAs): HSAs provide a pre-tax way for employees to save for medical expenses.
Within the pre-tax benefit space, your work is cut out for you as a human resource professional. Now that you’ve explained (again) how insurance works, you get to begin the real work of teaching employees the difference between FlexibleSpendingAccounts (FSAs) and Health Savings Accounts (HSAs).
Additionally, account-based plans, like health reimbursement arrangements (HRAs) and health care flexiblespendingaccounts (FSAs), are not required to report. Contracting should be fairly straightforward and likely does not present a special challenge apart from the need to explicitly contract with the carrier.
Presenting a good employee benefits package often gives one employer an edge over another, especially in cases where basic salaries are relatively equal. These allow employees to save for their golden years while enjoying tax benefits now. Employers also may want to explore benefit plan additions such as: FlexibleSpendingAccounts.
The law also extends expiring tax provisions and everything that could be jammed into 5,593 pages of federal legislation three days before Christmas. The key payroll provisions include: An extension of the paid sick/ family leave provisions and your tax credit for providing leave. Extensions of popular payroll tax provisions.
ROCHESTER , NY, October 1 , 2020 – B enefit Resource , LLC (BRI) today announced the acquisition o f 121 Benefit s , a Minneapolis-based administrator of pre-tax benefits and benefit continuation services. This marks the first acquisition for BRI since its strategic partnership with CIP Capital in August 2019. . “
However, quitting smoking can present a set of challenges that often result in an extended journey to overcome the addiction. They are also eligible expenses that can be paid for with a pre-taxaccount like a Health Savings Account (HSA) or FlexibleSpendingAccount (FSA).
These documents are mandated by federal and state employment and tax regulations. Along with the form, they must also present a valid form of identification and work authorization such as a passport, driver’s license, permanent resident card, or Social Security card. Company-specific guides.
Health benefits commonly have a greater share of voice than pre-tax benefits during enrollment meetings. It is imperative to present a comprehensive health care picture where pre-tax benefits come alongside existing insurance plans as another savings tool. Unequal share of voice during enrollment meetings. The result?
Providing benefit enrollment information and forms Again, break this down further by type, such as: Medical Dental Vision Retirement Life insurance FlexibleSpendingAccount (FSA) Giving links to videos or tutorials on company history and mission. Securing uniforms, badges, tech equipment, and other necessary supplies.
Costs for medical and pharmacy benefits continue to rise, which means there are adjusted employee contributions to present to an audience who’s unlikely to understand the reasoning behind cost increases. New laws (like the federal tax law) plus evolving regulations around benefits add more to HR’s already full plate.
Hiring Trends In 2023 Below, I present hiring trends across various categories to help you formulate a comprehensive approach that works best for you. Employees don’t pay taxes on this money, which means they save an amount equal to the taxes they would have paid on the money you set aside. Employers fund and own accounts.
These taxes can either be grossed up from the organization’s behalf or can be taken care of by the employee. Presenting your employees with COVID safety kits might be a great idea to show that you care. What Health and Wellness Stipends Are Not? No, that’s not the case.
These stats might be discouraging, but they also present an opportunity. A health savings account (HSA) or flexiblespendingaccount (FSA) will let you pay your drug copays with pre-tax dollars. Also, like an FSA, HSA contributions come before taxes, meaning the IRS won’t touch that portion of your income.
A 401(k) is a tax-advantaged retirement savings program provided by employers. In this, employees can elect to have a portion of their earnings automatically deducted from their paychecks and directed into their investment account. FlexibleSpendingAccounts (FSAs) emerge as a savvy perk, offering employees a financial win-win.
The ARPA also allows the employer, insurer, or multiemployer plan sponsor who subsided the premiums to offset the cost by claiming a new federal tax credit. Health care flexiblespendingaccounts are not subject to the ARPA provisions. The subsidy is tax-free to the individual receiving the subsidy. Tax Credit.
We organize all of the trending information in your field so you don't have to. Join 46,000+ users and stay up to date on the latest articles your peers are reading.
You know about us, now we want to get to know you!
Let's personalize your content
Let's get even more personalized
We recognize your account from another site in our network, please click 'Send Email' below to continue with verifying your account and setting a password.
Let's personalize your content