The IRS Code has numerous provisions designed to help employers provide essential benefits to their employees tax-free. This saves the employee approximately 30% in income taxes on expenses they’re already paying for, and because the employees have reduced their taxable income, the employer realizes a reduced matching payroll tax liability of approximately 8%. Everybody saves money.
To take advantage of these tax deductions the IRS requires that the employer have a written plan document and the Department of Labor and ERISA law require that every employee receive a summary plan description (SPD) explaining the new benefit in easy to understand language.
This site is dedicated to providing employers with the tools they need to successfully establish these written plans with SPDs at the lowest cost possible. Please don’t hesitate to call us if you have questions, we will be happy to assist you. Reach out to your Total Benefit Solutions, Inc health insurance small group expert at (215)355-2121.