HRA administration costs include setup, monthly fees, and potential extra charges for custom services. Understanding these costs helps employers budget effectively and avoid surprises.
HRA Administration Costs: Complete Fee Structure Read More »
A healthcare reimbursement plan allows business owners to cover employee medical costs tax-free while gaining valuable deductions. This article explains how Section 105 plans work, their tax advantages, and how they can be structured for different business types.
Healthcare Reimbursement Plan for Business Owners: Try a Section 105 Plan Read More »
Section 105 plans allow small business owners to turn personal medical expenses into tax-deductible business reimbursements. This powerful strategy can reduce federal, state, Social Security, and Medicare taxes—especially for sole proprietors filing on Schedule C.
How Section 105 Plans Save Small Business Owners Thousands in Taxes Read More »
S-Corporation owners face a frustrating reality when it comes to Health Reimbursement Arrangements: if you own more than 2% of your S-Corp, you’re locked out of the tax-free medical reimbursement benefits that regular employees enjoy. But we have a solution.
HRAs for S-Corp Owners: Our Favorite Workaround Read More »
Section 105 plans offer powerful tax-free medical reimbursements for employees, but eligibility rules must be followed precisely to maintain compliance. This guide explains who qualifies—including W-2 employees—and who is excluded, such as sole proprietors, partners, and 2% S-corp shareholders.
The Complete Eligibility Guide to Section 105 Plans Read More »
In this article, we’ll discuss how a small business structured as a C-Cop used a Section 105 medical reimbursement plan to maximize tax savings.
How One C-Corp Saved $10,000 Using a Section 105 Plan Read More »
This comprehensive guide presents how C‑Corporations can leverage Section 105 Medical Reimbursement Plans (also known as HRAs) to reimburse employees—including owner‑employees—for medical expenses completely tax-free. Unlike S‑Corp or pass‑through entities, C‑Corporations allow full participation by owner‑employees receiving a salary, enabling owners to deduct qualified health expenses as employer-paid reimbursements.
C-Corp Medical Reimbursement Plan: The Complete Guide Read More »
This article clarifies a common misconception: sole proprietors cannot directly establish a Section 105 medical reimbursement plan for themselves and receive tax-free reimbursements —these payments are subject to income tax withholding—even if set up in their own name.
Section 105 Plan for Sole Proprietor: IRS ‘Strategy’ [+ Pitfalls to Avoid] Read More »
