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Friday, May 31, 2013

Why you should offer employee benefits?

Once you have great employees in your company how do you improve your odds of keeping them? One way is to offer a good benefits package. Many small businesses believe that offering employee benefits is too costly. This may help your bottom line in the short run but could hurt you in the long run, if you can’t retain your good employees.

Each employer is required by law to make payments towards the following:

  • Unemployment Insurance
  • Workers Compensation (If you work in a hazardous environment)
  • Canadian Pension Plan
  • Paid vacation, holidays

Benefits you are not required to provide include:

  • Health plans
  • Dental plans
  • Vision plans

 

An effective way to provide these benefits is through a private health service plan (PHSP) such as Corporate Care. This type of plan has the least restrictions and is the most affordable for you and your employees.  For as little as a 5% administration fee over and above the cost of the medical expense, you can offer a health benefits plan to your employees that can match any budget you set forth.

Posted by Margaret Koniuck at 9:53 AM 0 Comments

Tuesday, May 21, 2013

Private Health Service Plans verses Employee Health Benefit Plans

You may be asking yourself what are the differences between private health service plans and employee health benefits plan and why do I care? First and foremost, we all know employee benefits are expensive. This blog is to help you make an informed decision and save you money when providing benefits for your employees. PHSP (private health service plans) and employee health benefit plans are two different types of plans. A PHSP is what is called a cost plus plan, meaning you pay the cost of medical expense plus an agreed upon fee for the service. This differs from a typical employee health benefits plan where you pay a monthly fee you pay for the plan which does not vary whether you are using the service or not. This means if you have $1000 coverage for each employee and your employees don’t incur any medical expenses that year you still pay the $1000. If you have a PHSP, you pay as you go. Meaning if an employee only incurs $100 in medical expenses that year,  you only pay for the $100 plus the fees. This saves you from spending an extra $900 in benefits.  PHSP’s are also more flexible then the standard employee benefits plan.  For example most benefit plans have many restrictions. You may only be able to spend $200 in dental with your $1000 plan. With a PHSP you can spend your $1000 coverage on anything you want whether it be a single expense or many different types of medical expenses. PHSP’s cater to the individual needs of every employee.  In short, PHSPs can be a very cost effective way to offer health and dental benefits to your employees.  Find out more about Corporate Care, a PHSP with one of the lowest fees in Canada.

 

Posted by Margaret Koniuck at 3:34 PM 0 Comments

Wednesday, May 08, 2013

Gluten-Free Products

Incremental Cost of Gluten-free products, a claimable medical expense

If you suffer from celiac disease (gluten intolerance) you are entitled to claim the incremental cost associated with the gluten free purchases as a medical expense.

 

What is Incremental Cost?

Incremental cost is the difference in price between a gluten free product and a similar non gluten free product. Incremental cost is calculated by subtracting the cost of the non gluten free product from the cost of the gluten free product. For example if a loaf of bread costs 3 dollars and a gluten free loaf costs 6 dollars the amount you can claim is 3 dollars.

 

What Food is Eligible to be claimed?

Usually food items are specifically marketed and made for gluten free diets. Such items include, but are not limited to muffins, bread, bagels, and brownies. Baking ingredients are also allowed where the patient is suffering from celiac disease. These items include but are not limited to, rice flour and gluten free spices. Such items can only be claimed when they are exclusively consumed by the individual with celiac disease.

 

What documents are required to support a claim for the medical expense tax credit?

·         A letter from a medical practitioner confirming the person suffers from celiac disease and requires gluten free products as a result of that disease.

·         A compiled list of all gluten free items purchased

 

We ask that you keep the following supporting documents in case Canada Revenue Agency asks to see them later. 

Posted by Margaret Koniuck at 1:18 PM 0 Comments