Insurance Agent Forum

[arnguy]

Sec. 105 is another great tax saving tool. Although a sole proprietor can now deduct 100% of his/her health insurance premiums, Sec. 105 allows the setup of an HRA to cover many other health related expenses. BTW, the entire IR code is cited as Title 26 of the U.S. Code.

[salpro22]

Originally Posted by arnguy

Sec. 105 is another great tax saving tool. Although a sole proprietor can now deduct 100% of his/her health insurance premiums, Sec. 105 allows the setup of an HRA to cover many other health related expenses. BTW, the entire IR code is cited as Title 26 of the U.S. Code.

If memory serves me correctly isn't that part of the pitch used to recruit NASE members? It's been a while since I looked at their membership, but that does sound familiar.

[James]

Originally Posted by arnguy

Thanks for the clarification, Martian. I had suspected that it may have been dyslexia after I posted, but the benefits James stated are addressed in Sections 132(f) and 129 of the code. Section 125 deals with "cafeteria plans" and FSAs, not Transportation and Child Care.

Listen, I'm not a tax expert, just use it as a icebreaker. While I understand that there is a tad bit of difference most I run into lump it all together. As I suggested several weeks ago,

The tax-free way to go—

TransitFLEX
Section 132 transportation and parking program

Part of a brochure I use, it really not important what tax code it is, plus more then likely most employers can set it up thru their "Payroll System" for a small fee.