Given the ever-escalating cost of providing employee health care benefits, health savings accounts (HSAs) offer a tax-favorable way to set aside funds to meet future medical needs.
Will Your Health Care Be Taxed?
No, you won’t have to pay taxes on health insurance paid by your employer!
But there is a new reporting requirement included in the new health care law that requires health insurance premiums to be reported on an employee’s W-2. Current law excludes health insurance from taxable income, and nothing has changed this tax-free employee benefit.