Waynes World - August 2007

SOME QUICK QUESTIONS ABOUT DRUG
TESTING ANSWERED, AND...

ONE OF THE BEST KEPT
SECRETS OF BUSINESS
By Wayne Schooling

THE BIZPLAN FOR TRUCKERS

If you have seen Michael Moore’s new movie “Sicko” then you understand why the cost of health care continues to rise at the fastest rate in our history. According to the Kaiser Family Institute, since the year 2000 health insurance premiums have increased by 73%. At the same time, inflation increased 14% and wages have climbed 15%. In the year 2005 alone, employer health insurance premiums increased 9.2% – that’s nearly three times the rate of inflation.

About six months ago, I found this little known business secret that I want to pass on to all of my 10-4 readers. Now I know that this might sound a little over your head, but trust me – this is legitimate and it really works. BizPlan For Truckers is a Section 105 medical reimbursement plan that has helped tens of thousands of small business owners receive 100% deductibility of their family medical expenses. Section 105 of the IRS code was written in 1954 over 53 years ago for the small farmers in the Midwest, yet the BizPlan For Truckers program, which is based on this law, remains one of the best kept secrets around. Most owner operators who could be taking advantage of this plan are not even aware of it.

BizPlan For Truckers has been able to track the costs of health care for nearly 40,000 small business owners and their families. The findings reinforce those of countless other studies; the cost of health insurance has increased dramatically over the past five years. In 2001, the BizPlan For Truckers client paid an average of $4,576 a year for their family’s health insurance. By 2005, that average had risen to $6,016 a year – an increase of 31.5%.

Of course, the cost increase doesn’t stop with insurance premiums alone. What often isn’t mentioned is how these same families have faced a significant increase in their uninsured medical expenses (such as deductibles, copays and treatments that are not covered). These “other” expenses represent a major, and often unexpected, burden on the family budget. Consider these statistics from the Kaiser Family Institute: 1) Nearly one-quarter of all Americans had problems paying their medical bills in the past year; 2) More than 6 in 10 adults who report problems paying medical bills are covered by health insurance; and 3) Almost 2 in 10 Americans say health care costs are the biggest monthly expense after rent or mortgage payments.

The findings at BizPlan For Truckers certainly reinforces this trend. In 2001, the average BizPlan For Truckers client reported $3,236 in uninsured medical expenses. By 2005, that average jumped to $4,159 – an increase of 28.5%. When added to their health insurance premiums, BizPlan For Truckers client’s total costs for health care grew from $7,812 to $10,176 a year from 2001 to 2005 – an increase of 30.3%.

Is it any wonder that a recent study from Harvard University found that 50% of all bankruptcy filings were partly the result of medical expenses? With BizPlan for Truckers, more people can avoid bankruptcy and reduce their medical debt. Presently, self-employed owner operators can already deduct 100% of their medical insurance premiums under existing IRS rules, but only BizPlan for Truckers offers a 100% deduction for uninsured medical expenses as well.

While a program of this nature does not reduce the cost of insurance or health care expenses themselves, it does allow owner operators to save on Federal, State, and Self Employment taxes. Because of this program, the savings of BizPlan for Truckers clients has risen with the rising cost of health care. In 2001, BizPlan For Truckers clients averaged $1,833 in tax savings. In 2005, that amount grew to $2,376 – nearly a 30% increase in their tax savings. Collectively, BizPlan for Truckers clients save one billion dollars in taxes each and every year.

What’s the moral of this story? Use the existing laws that are already in place as tools to help you combat the rising costs of health care. To learn more about how you can take advantage of this little known plan, go to the NTA website (www.ntassoc.com) and click on NTA Biz Solutions, or call Kelly at 1-800-422-4661 Ext. 4674 or send him an e-mail at kellye@tasconline.com. Be sure to tell him that Wayne at NTA sent you.

QUESTIONS ABOUT DRUG TESTING

Q: Does the five day time limit for a donor to get a medical evaluation after providing an insufficient amount of urine refer to five calendar or business days?

A: According to the DOT’s Q & A regarding 49 CFR Part 40.193 & 40.265, “The five-day limit for obtaining an examination by a licensed physician refers to business days, therefore holidays and weekend days would not be included in that five-day time frame.”

Q: If a person refuses to wash his or her hands, is this a refusal to test?

A: The DOT issued a Q & A clarifying the answer to the question of whether or not refusing to wash one’s hands is considered a refusal to test. Several example situations were listed. Among them it stated, “If the employee fails to wash his or her hands after being directed to do so by the collector, this is a refusal to test.”

~ NTA remains a name you can trust. Our website is your official U.S. DOT Internet Training Site and we are administrators of a Nationally Accredited Drug and Alcohol Program. If you have any questions, call me at (562) 279-0557 or send an e-mail to wayne@ntassoc.com. Until next month, “Drive Safe – Drive Smart!”