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Employer Tax Savings

 

    By implementing a Superior 125 Plan, an employer enables its employees to reduce their payroll taxes (Federal, State, and FICA/Medicare) for their costs for qualified group and individual medical, dental, vision premiums and also for qualified expenses not paid for by these plans.  These are called "unreimbursed medical expenses."

 

    The employer also saves taxes on these same expenses by not paying the 7.65% FICA/Medicare taxes.  Savings on FUTA, and, in most states SUTA taxes are also enjoyed.

 

    To determine your savings, complete the information below and press calculate:

 

Employer Worksheet

 

Number of Eligible Employees
Annual Premiums paid by Employees for all Health Insurance $
Estimated Number of Employees participating in FSA's
  Percentage of Employees with FSA Medical (Our Average Participation in FSA Medical is 30%) %
Estimated Average Annual Employee Deferrals to FSA Medical 

$

Annual Total FSA Deferrals from all Employees $
Estimated Number of Employees participating in Dependent Care
  Percentage of Employees in Dependent Care (National Average Participation in Dependent Care is 4%) %
Average Employee Deferral for Dependent Care

$

Annual Total Dependent Care Deferrals form all Employees $
   
Total Annual Employee Section 125 Pretax Deferrals $
Employer's share of FICA/Medicare taxes x 7.65 %

Estimated Annual Employer Tax Savings

$

   

   

 

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Superior State Administrators, Inc. u 1101 11th Avenue u P.O. Box 577 u Menominee, MI 49858

Phone: (906) 863-4488 u Fax: (906) 863-1105 u Email: superiorstate@superiorstate.net

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