TAX SAVINGS with POP

We are confident that you will be more than satisfied with the convenience, efficiency, and tax savings provided by our FlexSystem Premium Only Plan (POP).

With a FlexSystem POP in place, you can deduct your employees' portion of health, dental, vision, disability and/or group life insurance premiums from their paychecks on a pre-tax basis. As a result, your participating employees are taxed on a lower gross salary, thereby reducing their federal, state, and FICA taxes. Besides incurring the goodwill of your employees, as an employer you reduce your FICA taxes (7.65%) for every dollar your employees fund through the Plan in this manner.

For a quick analysis of your benefits insert your Plan's applicable numbers in the saving calculation table below:

• Pay particular attention to line D: which represents the amount, you saved by offering a FlexSystem Premium Only Plan to your employees.
• And Line E represents just how much your employees have saved through FlexSystem.

Savings Calculations;                                                   Your Company Info          Example      

Total annual amount of Group Sponsored Health,

Dental, Vision, Disability and/or Group Life Insurance

Premiums paid by your Employees on a pre-tax basis A             $ _____________      $ 20,000

Employer FICA Savings                                                          B X 0.0765         X 0.0765

Employee Tax Savings (based on 35% Federal, State

and FICA Taxes) C                                                                              X 0.35               X 0.35

Total Employer Savings (A multiplied by B) D                     $ _____________       $ 1,530

Total Employee Savings (A multiplied by C) E                      $ _____________       $ 7,000

Note: For your exact savings please consult your tax preparer, accountant, or Provider. Please note the amounts assume an average Employer FICA savings of 7.65 percent, and a combined average Employee tax savings of 35 percent (Federal, State, and FICA taxes).

In addition to the hard dollar savings mentioned above, your FlexSystem POP also provides you with a clear advantage for recruiting and retaining quality employees. As an employer, you invest a significant amount of time and money to locate and train your employees. FlexSystem helps you protect that investment by offering your employees a way to customize their benefits and save money on their taxes.

The savings provide increased satisfaction with benefits, greater employee control of expenses, and increased take home pay, thereby fostering higher employee moral.

In order to realize these savings, the IRS requires that a Plan Document be in place. Maintained by FlexSystem for you, this Plan Document helps ensure that your Plan is in IRS compliance.

Expand your plan to a full Flexible Spending Account (FSA). A full FSA will increase tax savings even further for you and your employees alike. With FSAs, employees continue to deduct insurance premiums and may add to that medical out-of-pocket expenses and the cost of day care...and all on a pre-tax basis.

FlexSystem service offers features such as:FSA Claim Card, daily reimbursement of eligible expenses, state-of-the-art Client and Participant web technology, E-Pay for administration fees, and direct deposit of Participant request for reimbursement payments. These features add to the convenience and time saving for both you and your employees while further boosting employee moral and retention.

PRICING:

1-5       Employees:   $300.00

26-100 Employees:  $400.00

101+   Employees:   $500.00