The tax deadline is less than a month away – are you
utilizing every deduction available to you? Are you fully deducting your
The Affordable Care Act has many searching for new ways
to pay for healthcare. Take into consideration health insurance premiums
and then add in out-of-pocket expenses like co-pays, prescriptions, dental
work, x-rays, vision care, eyeglasses and more, and you are looking at
thousands of dollars in healthcare spending.
The BASE® Health Reimbursement Arrangement (HRA)
continues to provide small business owners with a unique way to save on
healthcare costs. Through the BASE® HRA, self-employed business owners
are able to take advantage of an average of $4,500 in tax savings each
year. If you break that down, it equals $375 per month that could be used
to put toward other business expenses.
This type of plan has been around since 1954, under IRS Code Section 105,
allowing business owners to deduct medical expenses as a business
expense. The BASE® HRA has continually proven to save the microbusiness
owner thousands in tax savings each and every year. With healthcare
spending continuing to rise, it is no wonder self-employed business owners turn
to BASE® to help make healthcare more affordable.
Typically small businesses only take the self-employed
insurance deduction on Form 1040. However, by enrolling in the BASE® HRA,
business owners are able to deduct both their health insurance premiums* and
qualified out-of-pocket expenses on their business tax return.
BASE® works with accountants across the country who rely on
BASE® to assist their clients with this type of plan. Nettie W. is an
accountant from Indiana and has been working with BASE® for over ten years to
save her small business clients thousands in tax dollars. “As a tax
preparer, I realize just how important tax savings can mean for each of my
small business clients. By offering the BASE® products, I have been able
to help several of my clients save an enormous amount on their taxes. The
savings can go a long way to helping these businesses succeed.”
The BASE® HRA provides one very simple way you can start
making your healthcare more affordable today! As the tax deadline nears,
just think how great it would feel to be able to utilize an additional $4,500
in tax savings. If you aren’t using a BASE® HRA, be sure that you or your
accountant contacts BASE® to see if you qualify and to estimate your savings.
*The Affordable Care Act may not allow the
reimbursement of health insurance premiums based on your business size and plan
design. For additional details, please contact a BASE® Benefit Specialist.
BASE® - Director of Marketing & Communications