With a pre-tax health insurance plan, your tax savings is the amount of the insurance premium multiplied by your federal marginal tax bracket. Subtract the tax savings from the premium cost to determine your true out-of-pocket expense. For example, $5,000 minus ($5,000 x 0.25%, or $1,250) equals $3,750. For information about federal marginal tax brackets, see http://njaes.rutgers.edu/money/taxinfo/.
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