408 Roller Mill Road, Shady Valley 37688

4232206399

kevin@covenanttrs.com

A.C.A. Wellness Tax Reduction


  This is a Federally-incentivized program that provides substantial tax savings to the employer while providing supplemental benefits to employees all at no out-of-pocket costs to employer or employee.


On January 1, 2014, the Affordable Care Act (A.C.A.) incentivized wellness programs and made wellness a non-taxable reimbursement under Sec. 105.11 through the SMERP law. In addition, it improves employee wellness and reduces insurance premiums and claims.   


Wellness Tax Reduction is an A.C.A. compliant and incentivized, pre-tax 125 via 105.11/106 indemnified plan under 213(d) and provides employee wellness and supplemental benefits at no cost to the employer or employee. It also provides a Federal FICA tax savings to the employer, reducing their FICA taxes off of their 941s.

Savings for Employers and Employees

  1.  Helps employers recoup monies on their monthly MEC or major medical plan costs
  2.  Lowers group health insurance rates and claims
  3.  Gives employees an annuity savings account/life/LTC /terminal Illness.
  4.  With pre-tax savings, it puts both employer and employee in lower tax brackets, thereby lowering taxable income
  5.  Provides 24/7 licensed wellness practitioners and offers a $0 co-pay tele-health program
  6.  Attentive Health & Wellness fully monitors and implements the program
  7.  Saves employees an average of $466 a year in co-pays
  8.  Saves an average of $500 per employee, per year in FICA taxes to the employer
  9.  No out-of-pocket costs either to the employer or employee! It’s all tax-driven!

Where does the money come from?

Participation in the program triggers a federal tax reduction, and the program is compliant 213(d) under an A.C.A. IRS Cafeteria 125/105.11/106 reimbursable tax-free insurance claim. It provides an average of $175 per month in Federal employee tax savings, which are put into supplemental benefits. 


Because FICA taxes are reciprocal, the employer saves an average of $500 per year, per employee. For example, if an employer has 100 employees participating in the program, that would translate to an average savings of $50,000 a year in Federal FICA taxes on their 941s. As we both monitor and track all the details, no employer involvement is needed.

R&D Tax Credit

This tax credit is available to most businesses engaged in the design, development, or enhancement of products, processes, or software. It is particularly applicable to those fields that utilize physical science, biology, computer science, or engineering.

Federal & State Tax Reduction & Planning

Through this service, we analyze your current tax structure, determining if it’s optimal. If it’s not structured to minimize tax liability, we’ll design a tax structure that will optimize your usage of allowable and available benefits that aren’t being utilized.

Long-term Capital Gains diferal

Taxes are increasing, but with the correct business restructuring using an Investment Grade Insurance Contract (IGIC), we can eliminate your long-term capital gains and reduce your short-term capital gains by 50-80%.

Captive Insurance

Infinite banking refers to a process by which an individual becomes his or her own banker. The infinite banking concept was created by Nelson Nash.