You and your employees want a proper medical benefits plan: but traditional group benefits are just too expensive -- especially for smaller companies.

The PreTax Health Spending Account Benefit

With traditional insurers, you're paying those routine costs anyway, plus 30%. With a PreTax Health Spending Account, your company can control precisely how much it wants to spend on medical: it'll pay the cost of each claim up to the company-specified limit, and only a 10% admin fee. These are expenses, and completely tax-deductible. The benefit received by employees is also 100% tax-free.

You'll have far fewer restrictions on what's covered, you can set precise spending limits by class of employee (and have them decide how they want to use it), AND you'll save the $2 to $4 per person per day you're currently overpaying in unnecessary salary taxes to Canada Revenue Agency.

Half of Employees Prefer a Health Care Benefits Plan over the Equivalent in Cash

The Sanofi-Aventis health care survey, the most comprehensive survey of its kind, polls approximately 2100 health benefit members. Benefits Canada reported this finding in the most recent survey (2009).

Employer And Employee Tax Benefits

Consider that a $1,000 health benefit provided to the employee via a Health Spending Account, actually buys the employee $1,000 in health care. By contrast, an extra $1,000 paid in salary is fully taxable; the employee only ends up with around $700.