Wyoming Educators' Benefit Trust Wyoming Educators' Benefit Trust | Without ERA | With ERA | |
| Gross Pay | $10,000 | $10,000 |
| Before-tax contribution for medical expenses | -0- | $ 1,800 |
| Taxable income | $10,000 | $ 8,200 |
| Taxes (Federal & Social Security) | $ 2,269 | $ 1,861 |
| Medical Expenses (after taxes) | $ 1,800 | -0- |
| Spendable income after medical expenses | $ 5,931 | $ 6,339 |
In this example, the tax savings is $408.00 dollars.
How much money should be put into my account?
This is as individual as the person. The best way to estimate is to add up what you spent on child care, medical or dental expenses last year. Plan ahead for what medical expenses you believe could happen.
What happens if I do not spend all the money in my account?
The money will be forfeited at the end of the period. That is why is it extremely important to estimate as closely as possible to what you believe your needs will be.
Can the money be used before I actually put it in my account?
On medical you can use all the claimed amount of money up front, and then pay your account back. With dependent care the money has to be in your account before you can claim the money.
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