Employees & PHSP

Private Health Services Plan with Employees (1-5 employees)

Employer Excess Funding:

$1200 ben./yr funding ($100/ month PAC)

IF: only $700 used by employee ….

The $500 left can be:

1/ returned to business

2/ added to EE’s next year’s benefit

3/ prepay next year’s funding

Example:

$1200 ben./yr funding ($100/ month PAC)

IF: only $700 used by employee ….

The $500 left can be:

1/ returned to business

2/ added to EE’s next year’s benefit

3/prepay next year’s funding

Employee advantage: cash control means each employee can choose where to spend their benefit $$’s.

Employer advantage: cost control means no more increasing premiums that create pressure to reduce benefits. But employers can choose to increase benefits when they want