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HSA for Employees? Beat the Dreaded 35% Penalty Tax

October 20, 2023

“HSA for Employees?
Beat the Dreaded 35% Penalty Tax”

To get my complete, FREE article
with all the details…

Want to provide your employees with terrific benefits?

Consider contributing to your employees’ HSA (Health Savings Account).

But be very careful.

If youviolate the so-called “comparability rules” when you contribute to the HSAs of your employees, the IRS will make you pay a 35% penalty tax on the total amount of your contributions.  Ouch!

What’s more, this tax can grow quicky, and if you have to pay it, you’ll kick yourself when you discover that you can escape the tax entirely by following the three rules I explain in this article.

What are the three rules?

Let me put it as simply as possible. You can avoid violating the comparability rules, and the sky-high 35% penalties, if you…

  • Know the categories your employees fall into
  • Know how much to contribute
  • Treat yourself separately from your employees

Sure, these three rules need to be explained in detail, which is what I’ll do when you read my latest issue of the Tax Reduction Letter.

I will take a complicated and highly technical subject, and make everything crystal clear. I promise. Want to stay out of trouble with the IRS and avoid the dreaded 35%penalty tax?

CLICK HERE and read my completely new article titled:

“HSA for Employees?
Beat the Dreaded 35% Penalty Tax”

Filed Under: Employees, Fringe Benefits, Medical (for 105 plans see Section 105 medical plan), Tax Planning

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