|
| |
Flexible Benefits Tax
|
Savings Plan
|
I.R.C. Section 125-D
|
Employee Payroll Example
|
Premium Conversion Plan
|
|
|
Current
|
Proposed
|
Gross Pay
|
$2000
|
$2000
|
Medical Insurance
|
$0
|
$100
|
Taxable Income
|
$2000
|
$1900
|
Taxes (30%) Federal,
State, FICA
|
$600
|
$570
|
Net Income
|
$1400
|
$1330
|
Post Tax Medical Insurance
|
$100
|
$0
|
Net Spendable Income
|
$1300
|
$1330
|
Increase in Monthly Spendable
Income
|
N/A
|
$30
|
Increase in Annual Spendable
Income
|
N/A
|
$360
|
|
|
