WorldWide Drilling Rescource

Drilling Into Money Not Boring by Mark E. Battersby HSAs: Tax Savings and Inexpensive Worker Benefit Since they were created in 2004, tax-advantaged Health Savings Accounts, or HSAs, have grown into a successful multifaceted tool for employers, as well as small business owners seeking self-only health-care plans. Used in combination with a high-deductible health plan (HDHP), HSAs have proven to be a free- market option that does not rely on mandates or cash subsidies. Best of all, HSAs provide a health insurance option for the self-employed or small business owner reluctant, or unable, to afford health-care coverage other than for themselves. The concept of HSAs is both simple and elegant: Give individuals generous tax breaks to put aside money to help pay for their health care. This, in turn, would make it easier for employers to offer their employees affordable high-deductible health plans. For 2019, the Internal Revenue Service defined a HDHP as any plan with a deductible of at least $1350 for an individual or $2700 for a family. Much like an IRA (Individual Retirement Account), HSAs benefit from three tax breaks. Both contributions and investment income earned on the accounts are tax-free. Withdrawals are also tax-free as long as they are used for qualified health-related expenses. After age 65, participants may withdraw funds for any purpose, although the withdrawals are treated as ordinary in- come for tax purposes. Funds in an HSA can, as mentioned, be used to pay deductibles and other qualified health-related expenses including dental, vision, or other health services not covered by insurance. Money remaining in the HSA can be invested, growing year- after-year, even if workers change jobs. HSA participants or “owners” saw a $50 increase in the 2019 HSA contribution level to $3550 for individuals with self-only coverage. For those with family coverage, the annual contribution level is up by $100 to $7000. An option which should not be ignored is the small business health care tax credit (SBHCTC). The SBHCTC is available to employers with fewer than 25 employ- ees, pay annual wages of less than $50,000, and that contribute a uniform percentage of at least 50% of the premi- um cost for employee health insurance coverage obtained through a Smal l Business Heal th Opt ions Program (SHOP) Exchange. The maximum tax credit has been extended through 2019, and is generally 50% of employer-paid premiums. It can be taken for only two years, which must be consecutive. Advice from a tax professional and/or plan administrator, usual ly a bank, financial institution, or insurance company, is obviously a necessity. Mark Mark E. Battersby may be contacted via e-mail to michele@ worldwidedrillingresource.com 4466 tth Annual Kentucky Blasting Conference Conference December 5-6 Lexington, KY Lexington Center / Hyatt Regency Hotel Conference includes 2 sessions of technical presentations, and 4 workshop sessions which can provide up to 12 hours of continuing education for licensed blasters in Kentucky. REVIEW the basics of blasting methods and materials. VISIT over 50 exhibit booths and see the latest products and equipment available. LEARN the latest techniques and evaluate the results. EARN continuing education hours for renewal of your blaster’s license or certificate. For more information send an e-mail to: kbconf@yahoo.com or visit our website: kyblastingconference.com 20 OCTOBER 2019 WorldWide Drilling Resource ® In Memoriam Rick L. Thomas (1952~2019) The WWDR Team was saddened to hear of the passing of Rick L. Thomas on August 13, 2019. He and his wife Nancy have owned and operated T&T Carbide, Inc. in Logan, Illinois, since 1976. Rick and Nancy were married 48 years. He loved working outside, playing with his grandkids and grandbabies. He will be dearly missed as a loving husband, father, grandfather, brother, and friend to many. Rick is survived by Nancy; daughter Audra; son Adam (Jane); grandchildren Kailey (Dave), Mikah (Asa), Shay, Addyson, Remington, Lincoln, Sawyer, Ellie, Matilda, and Witten; great-grandchildren Lil Dave, Keegan, Zaedyn, Roxzyn, Lynlee, Titus, and Kipling; brothers Garry (Sharon), Tim (Annette), and Alan (Beth); numerous nieces, nephews, and extended family. Lest we forget...