Self Directed Medical Reimbursement Plan - by Gordon So

If you are an entrepreneur, self employed or a small business owner, we can show you how to recover your personal dental and medical expenses.

The Stratusmax Health's 'Private Health Service Plan' or 'Health and Welfare Trust' allows entrepreneurs, business owners, their family members and some of their key employees the opportunity to take out-of-pocket dental and medical expenses and convert them into a corporate tax deduction.

Revenue Canada publishes an extensive list every year of eligible expenses which covers things such as: massage therapy, physiotherapy, chiropractic, cosmetic dentistry, osteopathy, plastic surgery, orthodontics, prescription drugs and much more...

If you and your family have $5000 in dental bills and $2000 in medical expenses this year and none of this is covered under an extended health care plan you will pay $7000 in dental and medical expenses with your personal after tax dollars.

If your company pays the $5000 directly to the dentist and pays the $2000 in medical expenses on your behalf, it becomes a taxable benefit to you as an employee.

However, if you have a Private Health Service plan, you can now personally pay for the $7000 in expenses and then submit the receipts and claim forms to your company administrator. Your company administrator will take your receipts and claim forms and submit them with a company cheque for the $7000, plus a 10% administration fee and applicable taxes to Stratusmax Health. Once Stratusmax Health adjudicates the claim, they will remit a cheque for $7000 to the claimant (not to the company). This becomes a non taxable employee benefit and a taxable deduction for your corporation.

Stratusmax Health is a third party administrator. By using a third party administrator to administer your claims and by following the Canada Revenue Agency tax laws, you can use this strategy to save money each year on your dental and medical expenses.

For example, if you are in a 30% tax bracket, you will save approximately $2100 base on the above example. Multiply this by 10 years and that can amount to over $21,000 in savings. This can be a nice chunk of money towards your retirement or your child's education fund.

Some of you may be thinking, why have I not heard of a 'Private Health Service Plan' before? Is it legal? Why have I not heard about this before from my accountant, insurance agent or financial planner?

Well, I can assure you it is totally legal and under the CRA tax laws.

The important thing now is for you to sit down with your accountant, financial planner and insurance agent and find out how you can use this to help reduce your taxable income. You can also contact StratusmaxHealth for further information at:

http://www.stratusmaxhealth.com The above product through StratusmaxHealth is only available in Canada. A self directed medical reimbursement plan is available in the United States as well. Please check with your lawyer, accountant or financial adviser before implementing any of these strategies. Please consult with your financial adviser before implementing these strategies. Gordon So