Health Savings Accounts Flexible Spending Accounts Health Reimbursement Arrangements Incentives Specialized Accounts
BenefitWallet by the Numbers 12 years as an industry leader in health savings accounts 1.7 million BenefitWallet HSAs and other health accounts $2 billion in HSA bank and investment assets 20,000 BenefitWallet employer groups 5 million member calls handled by Customer Care Center 93% post-call customer satisfaction rate 30 million member account transactions 5 million visits annually to the BenefitWallet website 15 million member calls to automated IVR system 2
BenefitWallet Value Proposition As one of the nation s leading providers of Health Savings Accounts, BenefitWallet offers customers a simple promise: SAVINGS Tax and premium savings for employers and employees SECURITY We safeguard our customers, whether online or on the road SIMPLICITY With tools and support, we make it easy to do business with us 3
Health Savings Account (HSA) Basics HSAs are unique benefit programs: they are triple tax-advantaged, can be used for current or future health expenses and owned by the account holder: Triple tax-advantaged: tax-free contributions, earnings and withdrawals Unused funds roll over from year to year; no use it or lose it rule Both employers and employees may contribute up to max Funds are owned by the account holder and completely portable Must be paired with a qualified medical plan (HDHP) Potentially grow funds in self-directed investment options An HSA is the best tax-advantaged tool the IRS allows! 4
Benefits for Employers and Employees HSAs are a win/win for employers and employees; they provide mutual benefits for both tax and premium savings: EMPLOYERS EMPLOYEES Realize 7.65% reduction in your company s payroll (FICA) taxes Payroll Taxes Income Taxes Lower income taxes with pre-tax contributions that lower taxable income Save $2,665 per employee in annual health plan premiums * Health Plan Premiums Health Plan Premiums Save 30% or more on health plan premiums versus a traditional plan * Kaiser Family Foundation/HRET Employer Survey, 2015 5
Employers Save on Payroll Taxes HSAs reduce your company s payroll (FICA) taxes by 7.65%; the higher the employee contributions, the greater the payroll tax savings! $229,500 $256,275 $191,250 $153,000 $114,750 $76,500 $38,250 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,350 Average Employee HSA Contribution (to individual maximum) For illustration purposes only; example assumes participation of 1,000 employees with the same average HSA contribution 6
Employees Save on Income Taxes HSAs reduce income taxes for your employees; the higher the employee contributions, the greater the income tax savings! Monthly Income Tax Savings (Federal + State) HSA Contribution 18% 30% 42% $1,600 (average) $24 $40 $56 $3,350 (individual max) $50 $84 $117 $6,750 (family max) $101 $169 $236 $8,750 (family max w/2 catch-ups) $131 $219 $306 For illustration purposes only; example assumes 15%, 25% and 35% federal income tax rate, plus 3%, 5% and 7% state income tax rate, respectively; 2016 tax year used 10/5/2016 7
Both Groups Save on Health Plan Premiums HSAs lower health plan premiums for employers and employees versus a traditional health plan: Annual Health Plan Premium High Deductible Plan With HSA Traditional Plan No HSA Employee $3,660 $5,283 Employer $11,719 $12,761 Total $15,379 $18,044 Employees save 44% Employers save 9% $2,665 Total Savings 10/5/2016 Note: Family plan premiums shown Source: Kaiser Family Foundation/HRET Employer Survey, 2015 8
Why BenefitWallet? 12+ years in the market and 25,000 implementations Single point of contact for administrative simplicity Leading technology, member tools and communications Flexibility and customization for pricing and plan design Backed by trusted Fortune 500 custodian, BNY Mellon? 9
Complimentary Analysis Learn how your business bottom line can benefit from offering HSAs with a complimentary analysis outlining: The tax savings of an HSA-qualified health plan versus a traditional health plan How a robust HSA employer contribution strategy can further lower taxes PPACA excise tax and penalty avoidance through HDHPs and HSAs Targeted employee communications campaign to drive participation 10
Connect With Us To learn more about BenefitWallet and the triple tax advantage of HSAs, please contact: Jack Gioglio Director, Growth Initiatives BenefitWallet (p) 203-814-2173 (e) jack.gioglio@xerox.com Connect with me on Brian Pinto National Director, Business Development Xerox HR Services (p) 732-965-8600 (e) brian.pinto@xerox.com Connect with me on 11