Today, Zane Benefits, the #1 Online Health Benefits Solution, published new information on small businesses giving raises for health insurance.
According to Zane Benefits’ website, many small businesses who do not offer health benefits consider giving employees a raise or salary bonus to help them pay for their individual health insurance. That’s because small businesses wants to offer health benefits to take care of employees and to help with recruiting and retention, but they cannot afford group health insurance, they cannot meet minimum participation requirements of a group health insurance plan, and/or they do not know about small businesses health insurance alternatives such as Section 105 defined contribution allowances.
According to Zane Benefits’ website, providing raises or salary bonuses to employees may seem cheaper and simpler than reimbursing health insurance premiums through Section 105 defined contribution allowances. But, there is one major consideration favoring Section 105 defined contribution allowances for small businesses: tax savings.
By offering Section 105 defined contribution allowances instead of giving raises to employees for health insurance, both the small business and employees save money.
About Zane Benefits
Zane Benefits, the #1 Online Health Benefits Solution, was founded in 2006 to revolutionize the way employers provide employee health benefits in America. We empower employees to take control over their own healthcare, while helping employers recruit and retain the best talent. Our online solutions allow small and medium-sized businesses to successfully transition to a health benefits program that creates happier employees, reduces costs and frees up more time to serve their customers. For more information about ZaneHealth, visit http://www.zanebenefits.com.