W2's and healthcare. Anyone ever look at boxes 12DD and 12W?
12DD = $17,918.62
12W = $8,299.86
Box 12DD?is the cost of your health insurance. This figure includes both the employee and employer paid shares of health insurance premiums and is for informational purposes only. This amount is not taxable. Premiums for dental, vision and other insurance coverage are not included. My guess is that the number in 12DD rivals the number in box 12AA, 12D or 12E (retirement contributions) for a number of Americans. Joe Andelin do you have insight on this?
Box 12W = HSA contributions for the year. Paytient fully funds ($4,150) every employee's HealthEquity HSA (at the individual level). I consider it as the most tax efficient, yet accessible-in-your-lifetime form of compensation we can offer to our team... My thinking, if they're blessed with several years of good health, which is more likely in the early years of their career, this bank will build up, allowing them to take take on more risk (lower cost health plans), or invest these dollars for later in life when they'll more likely have to more healthcare needs (the average age in my hospital was 62, not 26). If they need care, the peace of mind that comes from knowing you can easily pay for care is priceless.
This post is meant to 1) encourage other employers, CEO's, to consider maximizing HSA contributions as a strategy, 2) encourage people to know & see the amount of their earned compensation that is being withheld & redirected for health insurance. I have an Op-Ed coming out on this topic.