ÿþ<HTML> <HEAD> <TITLE>Health Savings Accounts (HSA) Employer Benefit</TITLE> <META HTTP-EQUIV="Content-Type" CONTENT="text/html; charset=iso8859-1"> <META NAME="description" CONTENT="Financial Calculators, ©1998-2010 KJE Computer Solutions, LLC. For more information please see http://www.dinkytown.net"> <STYLE> <!-- BODY, TABLE, TD, TH, UL, OL, DD, DL, P, BR { font-family: helvetica, arial, sans-serif; font-size: 10pt; } H1 { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } DT { font-family: helvetica, arial, sans-serif; font-size: 10pt; font-weight: bold; } P.footer { font-family: helvetica, arial, sans-serif; font-size: 9pt; } DIV.large { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } --> </STYLE> </HEAD> <!-- Financial Calculators, ©1998-2008 KJE Computer Solutions, LLC. 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For more information please see: <A HREF="http://www.dinkytown.net">http://www.dinkytown.net</A> --> <H1>Health Savings Accounts (HSA) Employer Benefit</H1><P>This calculator helps estimate the value of creating a High Deductible Health Plan (HDHP) with Heath Savings Accounts (HSA) for your employees. Providing such a plan not only gives your employees a valuable benefit, it can be a cost saving measure for your business. Use this calculator to estimate your net cost of setting up your HDHP and HSA plans. <P><CENTER> <!--[if IE]><object name="calculator" classid="clsid:8AD9C840-044E-11D1-B3E9-00805F499D93" codebase="http://java.sun.com/update/1.6.0/jinstall-6-windows-i586.cab#Version=1,4,0,0" height="440" width="565"><param name="code" value="HSABusiness" /><param name="archive" value="dinkytown.jar" /> <P style="font-size:1px; color: #ffffff" line-height: 1px><![endif]--><![if !IE]><P style="font-size:1px; color: #ffffff" line-height: 1px><![endif]></P><![if !IE]><APPLET name="calculator" code="HSABusiness.class" align="baseline" WIDTH="565" HEIGHT="440" archive="dinkytown.jar"><![endif]> <PARAM name="NUMBER_OF_SINGLE_EMPLOYEES" value="10"> <PARAM name="NUMBER_OF_MARRIED_EMPLOYEES" value="10"> <PARAM name="HDHP_DEDUCTIBLE_FOR_SINGLES" value="1200"> <PARAM name="HDHP_DEDUCTIBLE_FOR_MARRIED" value="2400"> <PARAM name="HDHP_PREMIUM_FOR_MARRIED" value="250"> <PARAM name="HDHP_PREMIUM_FOR_SINGLES" value="125"> <PARAM name="NORM_PREMIUM_FOR_SINGLES" value="300"> <PARAM name="NORM_PREMIUM_FOR_MARRIED" value="600"> <PARAM name="AVERAGE_EMPLOYER_CONTRIBUTION" value="50"> <PARAM name="STATE_UNEMPLOYMENT_TAX_RATE" value="10"> <PARAM name="INCOME_TAX_RATE_FOR_BUSINESS_EXPENSES" value="25"> <!--CUSTOM PARAMETERS--> <PARAM name="TEXT_FOR_REPORT" value="<HTML> <HEAD> <TITLE>Health Savings Accounts (HSA) Employer Benefit</TITLE> <META HTTP-EQUIV='Content-Type' CONTENT='text/html; charset=iso8859-1'> <META NAME='description' CONTENT='Financial Calculators, &QCPQ;1998-2010 KJE Computer Solutions, LLC. For more information please see http://www.dinkytown.net'> <STYLE> <!-- BODY, TABLE, TD, TH, UL, OL, DD, DL, P, BR { font-family: helvetica, arial, sans-serif; font-size: 10pt; } H1 { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } DT { font-family: helvetica, arial, sans-serif; font-size: 10pt; font-weight: bold; } P.footer { font-family: helvetica, arial, sans-serif; font-size: 9pt; } DIV.large { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } --> </STYLE> </HEAD> <BODY bgcolor='#FFFFFF' LINK='#003399' VLINK='#666666' BGCOLOR='#FFFFFF'> <CENTER><table border=0 bgcolor='#000000' width=468 cellspacing=1 cellpadding=0><tr><td width='100%'><table bgcolor='#FFFFDD' border=0 width=468 cellspacing=1 cellpadding=5><tr><td width='100%' align=center valign=middle><DIV class=large>Health Savings Accounts (HSA) Employer Benefit</DIV></td></tr></table></TD></TR></TABLE></CENTER> <H1>An HDHP with an HSA could cost NET_DIFFERENCE_TOTAL per year.</H1>**GRAPH**<P> This is based on implementing a High Deductible Health Plan (HDHP) and contributing to a Health Savings Account (HSA) for NUMBER_OF_EMPLOYEES employees. The average cost per employee was calculated as NET_DIFFERENCE_PER_EMPLOYEE per year. <P> <CENTER><table border=0 bgcolor='#000000' width=95% cellspacing=1 cellpadding=0><tr><td width='100%'><table bgcolor='#FFFFFF' border=0 width=100% cellspacing=1 cellpadding=5> <TR BGCOLOR='#CCCCCC'><TD COLSPAN=3><CENTER><B>Results Summary</B></CENTER></TD></TR> <TR BGCOLOR='#CCCCCC'><TD>&NBSP;</TD><TD><b>HDHP with HSA</b></TD><TD><b>Existing Health Plan</b></TD></TR> <TR><TD width='50%' valign=top><b>Total cost of premiums </b> </TD> <TD width='25%' valign=top> TOTAL_COST_OF_PREMIUMS1 </TD> <TD width='25%' valign=top> TOTAL_COST_OF_PREMIUMS2 </TD> </TR> <TR><TD width='50%' valign=top><b>Total cost of employer contributions </b> </TD> <TD width='25%' valign=top> TOTAL_COST_OF_EMPLOYER_CONTRIBUTIONS1 </TD> <TD width='25%' valign=top> TOTAL_COST_OF_EMPLOYER_CONTRIBUTIONS2 </TD> </TR> <TR><TD width='50%' valign=top><b>Total FICA tax savings </b> </TD> <TD width='25%' valign=top> TOTAL_FICA_TAX_SAVINGS1 </TD> <TD width='25%' valign=top> TOTAL_FICA_TAX_SAVINGS2 </TD> </TR> <TR><TD width='50%' valign=top><b>Total FUTA & State unemployment tax savings </b> </TD> <TD width='25%' valign=top> TOTAL_STATE_UNEMPLOYMENT_TAX_SAVINGS1 </TD> <TD width='25%' valign=top> TOTAL_STATE_UNEMPLOYMENT_TAX_SAVINGS2 </TD> </TR> <TR><TD width='50%' valign=top><b>Total business expense tax savings </b> </TD> <TD width='25%' valign=top> TOTAL_BUSINESS_EXPENSE_TAX_SAVINGS1 </TD> <TD width='25%' valign=top> TOTAL_BUSINESS_EXPENSE_TAX_SAVINGS2 </TD> </TR> <TR><TD width='50%' valign=top><b>Retirement plan credit </b> </TD> <TD width='25%' valign=top> TOTAL_RETIREMENT_PLAN_CREDIT1 </TD> <TD width='25%' valign=top> TOTAL_RETIREMENT_PLAN_CREDIT2 </TD> </TR> <TR BGCOLOR='CCCCCC'><TD width='50%' valign=top><b>Net total annual cost </b> </TD> <TD width='25%' valign=top> NET_TOTAL_COST_PRE_TAX1 </TD> <TD width='25%' valign=top> NET_TOTAL_COST_PRE_TAX2 </TD> </TR> <TR BGCOLOR='CCCCCC'><TD width='50%' valign=top><b>Net total annual cost per employee</b> </TD> <TD width='25%' valign=top> NET_TOTAL_COST_PER_EMPLOYEE_PRE_TAX1 </TD> <TD width='25%' valign=top> NET_TOTAL_COST_PER_EMPLOYEE_PRE_TAX2 </TD> </TR> </TABLE></TD></TR></TABLE></CENTER> <P><CENTER><table border=0 bgcolor='#000000' width=95% cellspacing=1 cellpadding=0><tr><td width='100%'><table bgcolor='#FFFFFF' border=0 width=100% cellspacing=1 cellpadding=5> <TR BGCOLOR='#CCCCCC'><TD COLSPAN=3><CENTER><B>Input Summary</B></CENTER></TD></TR> <TR BGCOLOR='#CCCCCC'><TD>&NBSP;</TD><TD><b>HDHP with HSA</b></TD><TD><b>Existing Health Plan</b></TD></TR> <TR><TD width='50%' valign=top><b>Number of employees</b></TD> <TD width='25%' valign=top> NUMBER_OF_EMPLOYEES <BR>NUMBER_OF_SINGLE_EMPLOYEES Single <BR>NUMBER_OF_MARRIED_EMPLOYEES Family </TD> <TD width='25%' valign=top> NUMBER_OF_EMPLOYEES <BR>NUMBER_OF_SINGLE_EMPLOYEES Single <BR>NUMBER_OF_MARRIED_EMPLOYEES Family </TD> </TR> <TR><TD width='50%' valign=top><b>HDHP Deductible Amount</b> </TD> <TD width='25%' valign=top> HDHP_DEDUCTIBLE_FOR_SINGLES1 Single <BR> HDHP_DEDUCTIBLE_FOR_MARRIED1 Family</TD> <TD width='25%' valign=top>&NBSP; </TD> </TR> <TR><TD width='50%' valign=top><b>Monthly premium per employee </b> </TD> <TD width='25%' valign=top>HDHP_PREMIUM_FOR_SINGLES1 Single coverage <BR>HDHP_PREMIUM_FOR_MARRIED1 Family coverage</TD> <TD width='25%' valign=top>HDHP_PREMIUM_FOR_SINGLES2 Single coverage <BR>HDHP_PREMIUM_FOR_MARRIED2 Family coverage</TD> </TR> <TR><TD width='50%' valign=top><b>Of the deductible amount, what percentage will you contribute into your employees HSA? </b> </TD> <TD width='25%' valign=top> AVERAGE_EMPLOYER_DOLLARS1 (AVERAGE_EMPLOYER_CONTRIBUTION1 of HDHP deductible amount)</TD> <TD width='25%' valign=top>&NBSP; </TD> </TR> <TR><TD width='50%' valign=top><b>Of the deductible amount, what percentage will your employees contribute into their HSA?</b> </TD> <TD width='25%' valign=top> AVERAGE_EMPLOYEE_DOLLARS1 (AVERAGE_EMPLOYEE_CONTRIBUTION1 of HDHP deductible amount)</TD> <TD width='25%' valign=top>&NBSP; </TD> </TR> <TR><TD width='50%' valign=top><b>FUTA & State unemployment tax rate </b> </TD> <TD width='25%' valign=top> STATE_UNEMPLOYMENT_TAX_RATE </TD> <TD width='25%' valign=top> STATE_UNEMPLOYMENT_TAX_RATE </TD> </TR> <TR><TD width='50%' valign=top><b>Income tax rate for business expenses </b> </TD> <TD width='25%' valign=top> INCOME_TAX_RATE_FOR_BUSINESS_EXPENSES </TD> <TD width='25%' valign=top> INCOME_TAX_RATE_FOR_BUSINESS_EXPENSES </TD> </TR> </TABLE></TD></TR></TABLE></CENTER> <BR> <BR> <HR SIZE=1> <CENTER><P class=footer> Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues. </P></CENTER><br><br> </BODY> </HTML> "> <H1><CENTER>This Financial Calculator requires SUN's Java"! Plug-in. If you see this message you will need to download SUN's Java"! Plug-in. This can be done automatically by clicking the yellow bar at the top of your browser and choosing  Install ActiveX Control . </CENTER></H1> <OL> You can also get SUN's Java"! Plug-in here: <A href="http://www.java.com/en/download/download_the_latest.jsp" target=_blank><b>Get the Java"! Plug-in!</b></A> <P>For more information about this Plug-in please visit: <A href="http://www.dinkytown.net/money/sunjvm.html" target=_blank><b>SUN's Java"! Plug-in</b></A> <BR>For more information these financial calculators please visit: <A href="http://www.dinkytown.net" target=_blank><b>Financial Calculators from KJE Computer Solutions, LLC</b></A> </OL><!--[if IE]></OBJECT><![endif]--><![if !IE]></APPLET><![endif]> </CENTER><CENTER><SCRIPT>document.write(showbuttons())</SCRIPT></CENTER> <H1>Definitions</H1><P><TABLE align='center' WIDTH="95%"><TR><TD><DL><!--DEFN_START--> <DT><B>Number of single coverage employees</B><DD> This is the number of single coverage employees you have that would participate in the High Deductible Health Plan (HDHP) and Health Savings Accounts (HSA).<P> <DT><B>Number of married coverage employees</B><DD> This is the number of married employees you have that would participate in the High Deductible Health Plan (HDHP) and Health Savings Accounts (HSA).<P> <DT><B>HDHP Deductible amount</B><DD> Enter your deductible for your High Deductible Health Plan (HDHP) single person coverage and for married couple coverage. In 2010, for a HDHP, the minimum deductible amount is $1,200 for self-only coverage and $2,400 for family coverage. <P> <DT><B>HDHP Premium amount</B><DD> This is the monthly premium you pay, per employee, for your High Deductible Health Plan (HDHP). Enter for both single person coverage and for married couple coverage. <P> <DT><B>Average employer contribution</B><DD> Enter the percent of the employee's deductible that the employer will be contributing to their Health Savings Account (HSA). <P> <DT><B>Average employee contribution</B><DD> Enter the percent of the employee's deductible that the employee will be contributing to their Health Savings Account (HSA). <P> <DT><B>FUTA & State unemployment tax rate</B><DD> Enter your state unemployment tax rate. State unemployment taxes (SUTA) are generally not collected on health insurance premiums or HSA contributions, provided those premiums or contributions are either paid directly by an employer to an eligible accident and health plan, or paid by an employee on a pre-income tax basis under a "salary reduction" plan (also known as a "Section 125 plan" or "cafeteria plan"). However, since rules may vary by state you should verify the SUTA treatment of HSA contributions in the state(s) you operate in. State unemployment tax will apply to HSA contributions made by an employee through a cafeteria plan on an after-income tax basis. Note that if your employees will earn more than the state's unemployment tax wage base the SUTA tax benefit will not affect the calculation. <P>This calculator assumes that all employees earn enough that the FUTA tax benefit does not impact our calculation. This would assume that all employees earn more the $7,000 plus the cost of the HDHP premium plus the total contribution to the HSA made by the employee. <P> <DT><B>FICA and Medicare tax payments</B><DD> FICA and Medicare are not collected on any health insurance premiums paid by the employer or contributions to an HSA as long as those contributions are paid on a pre-income tax basis from an employee's paycheck. To allow your employees to make pre-income tax contributions you will need a "salary reduction" plan (also known as a "Section 125 plan" or "cafeteria plan"). This calculator assumes that all employees are under the maximum FICA tax payment limits. For 2010, FICA OASDI would not be collected on income over $106,800 earned by an individual employee. If their income exceeded $106,800 the FICA tax savings would be limited or zero. Since Medicare tax payments have no income limit, this assumption would not affect tax savings for Medicare.<P> <DT><B>Income tax rate for business expenses</B><DD> Enter your marginal income tax rate for your business. You are able to deduct the cost of any health insurance premiums and employer contributions from your business income taxes. We use your marginal income tax rate to calculate the total income tax savings produced by these deductions to your taxable income. <!--DEFN_END--></DL></TD></TR></TABLE> <BR> <HR SIZE=1> <CENTER> <P class=footer> Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues. </P></CENTER> <BR> </BODY> </HTML>