Pre Tax deductions provide employees with the benefit of reducing their gross taxable income and increasing their net spendable income. Employee pre tax deductions also reduce the employer’s FICA and Medicare taxes.
Ameripay’s payroll processing system can accurately calculate pre tax deductions for Section 125 Plans and 401K Plans (including the calculation of employer co-match payments) . Ameripay provides its clients with summary reports for these deductions that facilitate payments to the employer’s Plan administrator.
Commercial and Public Sector Payroll Services