Article Date:
May 2015


Word Count:
954

 

 

Make Employees Happy with Dental and Vision Benefits Using a Loophole in Obamacare


Estimated tax tip savings. Reimburse your employees for dental and vision expenses without paying for group insurance and without facing the $100-per-day Obamacare penalties.

 

If you used to provide a Section 105 plan to your employees to reimburse medical expenses, you know how wonderful these plans are—they are the simplest and most cost-effective medical plans available for your business.

 

But you may also know that Obamacare imposes big penalties on your Section 105 plan if

 

1.

you have more than one employee who is eligible to participate in the plan, and

2.

you don’t also offer group health insurance.

 

Fortunately, if you fall into this no-go zone, you should know there’s a big loophole—or exception—that you can use to continue offering a Section 105 plan to your employees. If you limit the scope of your Section 105 plan so that it covers only “excepted benefits” such as dental and vision, you do not have to meet the Obamacare rules or risk the penalties.1

 

The best news yet? You’ll love how easy and inexpensive it is to implement one of these limited-scope Section 105 plans using the free template we provide ... Log in to view full article.

Log in to view full article

Already a subscriber?

Email Address


Password


Log In Send me my password

You'll be able to read the full article and get instant access to the last few issues of the Tax Reduction Letter

Not yet a subscriber?
 
with a money-back guarantee

Bradford Tax Institute

 
Subscription Services
4040 Civic Center Drive, Ste. 200
San Rafael, CA 94903
Telephone: (415) 446-4340

contactus@bradfordtaxinstitute.com
 
Editorial
1701 Pennsylvania Avenue, N.W., Suite 300
Washington, DC 20006
Telephone (202) 652-2293
Fax (202) 580-6559
contactus@bradfordtaxinstitute.com
 
© 2025 Bradford Tax Institute