Tax-free Expense Reimbursements

Solo W-2™ — Tax-free Expense Reimbursements

Tax Advantaged Earnings

Solo W-2™ employees qualify for tax-free reimbursements for out-of-pocket business and medical expenses, tax-free leasebacks for major purchases and maximum GSA per diem rates when traveling out-of-town.

	Solo W-2, Inc. Has an IRS-compliant Accountable Plan

	The Solo W-2, Inc. accountable plan dramatically increases your net pay and significantly reduces your risk of an IRS tax audit.

		Like all large corporations, Solo W-2, Inc. has an IRS-compliant accountable plan to reimburse its employees for legitimate out-of-pocket business and medical expenses. The accountable plan includes virtually all of the write-offs enjoyed by self-employed independent contractors.

		The Solo W-2, Inc. accountable plan also includes additional expenses not usually allowed for independent contractors.

		Reimbursements for allowed expenses are paid out of your division's revenue stream.

		Reimbursed expenses are not considered income and are, therefore, exempt from taxes.

		Solo W-2, Inc. assumes all the responsibility for your expenses.

	Categories of Reimbursable Expenses

	As a Solo W-2™ Division Manager, you receive virtually all of the tax advantages enjoyed by self-employed independent professionals, plus others (such as per diem allowance) that are only available to employees. Your Solo W-2™ division is able to reimburse you with tax-free dollars for qualified out-of-pocket expenses in the following categories:

		Per diem allowance when working and living out-of-town.

		Meals and incidental expenses (50% reimbursable).

		Business promotion & marketing.

		Travel (non-commute).

		Communications (Internet, phone, data lines).

		General supplies & miscellaneous expenses (Up to $750 per item – Leaseback program available for larger purchases).

		Training, tuition, certifications, licenses.

		Conventions, workshops, seminars.

		Office rental allowance (outside the home).

		Out-of-pocket medical expenses (Deductibles, co-pays, and uncovered services and products when prescribed by a licensed medical professional).

		Child care (additional requirements apply).

	Fast and Easy Reimbursements

	You receive your tax-free reimbursements immediately, with minimum effort. You don't have to wait until the end of the year to realize the tax-advantages of your independent lifestyle.

		It's easy to claim your tax-free reimbursements for out-of-pocket expenses. Simply go to the Solo W-2™ secure Members Site and enter your expenses online in the convenient automated form. Mail original receipts and proof of payment to your Solo W-2™ Division Administrator for validation and approval.

		There is no delay. You will receive your approved expense reimbursements the next time your Solo W-2™ Division Administrator prepares your payroll.

	Generous Upper Limits

	The Solo W-2, Inc. accountable plan leverages your buying power and the value of your medical insurance. Qualified out-of-pocket business and medical expenses cost approximately half as much when they are tax-free.

		The upper limit for all reimbursed expenses, not counting per diem payments, is 50% of year-to-date gross wages.

		The upper limit for per diem payments is 100% of year-to-date gross wages.

		The upper limit for out-of-pocket medical expenses is $10,000 per year, not counting private or group medical insurance premiums, and is included within the 50% upper limit for all reimbursed expenses.

		The upper limit for reimbursed, private, medical insurance premiums is the premium amount for comparable group insurance available through Solo W-2, Inc.

		Note: The upper limit for all reimbursed expenses and the upper limit for per diem payments are percentages of your year-to-date gross wages, not gross revenues. Gross wage is your variable salary, and represents the taxable portion of your division's gross revenues, less division expenses and reserve.