We understand that there may be a few questions that you have regarding how a Private Health Service Plan (PHSP) can work for you and your company or about Innovative Benefits as an organization.
While the easiest way to discuss some of these questions is to Contact Us directly, we’ve provided a few frequently asked questions – and their answers for your review.
If you don’t see an answer to one of your questions, give us a call and we’ll be happy to have one of our friendly, knowledgeable team members clearly answer any of your questions.
Q: How does a Health Spending Account or Private Health Service Plan differ from the Medical Expense Tax Credit (METC)?
A: Unlike using the METC when filing personal tax returns a Private Health Service Account from Innovative Benefits generates a full tax deduction from your business income.
With the METC, the user is only entitled to a tax credit on their personal tax return, resulting in a credit of approximately 15% of eligible expenses. As well, with the METC, there are minimum spend requirements, Potentially eliminating a persons eligibilty or creating only a partial credit.
Utilizing a PHSP from Innovative Benefits enables you and your employees to have more freedom.
Q: What are the eligible services with a Health Spending Account?
A: A Health Spending Account from Innovative Benefits can cover any expense that would otherwise qualify for the medical expense tax credit including but not limited to the List of Eligible Expenditures.
Q: What are the start up costs associated with a Health Spending Account or a Private Health Service Account?
A: Since there are no monthly premiums, starting a Health Spending Account with Innovative Benefits is quick, easy and cost effective. There is a small administration fee to set up your account, and after that you’re able to submit your claims through your plan.
We sincerely hope that these Frequently Asked Questions have been useful to you in determining your next steps.
If there are any other questions and you’d like something clarified, or, if there’s something that we can help with that is not listed here, please feel free to Contact Us directly.
We’d be happy to set up an appointment to review your options and build a strategy that best fits your needs.