In the West Vincent Bills List for the township meeting held on
February 24, 2014 a payment of $50,000 is listed labeled
"Employers Contribution to HSA".
you think that payment is for? Mike Schneider, Republican
Committeeman for District 2 (the Firehouse polls) inquired.
It turns out this is a donation put forth by the township to
cover insurance deductibles for Township employees.
An HSA is a Health Insurance Medical Savings Plan. Think of it
as a 401k. That savings account can be used to pay medical
deductibles. What the Township Administration has done is
purchase a HIGH DEDUCTIBLE insurance plan and is GIVING the
money to offset the high deductible that must be paid by the
employee. Here's the best part. If the employee doesn't need to
go to the doctor, the employee doesn't have a deductible to pay,
but the money is still in his/her account as part of the savings
That leads to two questions:
What is the point of a deductible? To lower the cost of health
insurance for the Township, therefore, the taxpayer.
Why is this money put into the savings plan where it becomes a
gift to the employee if it is never use to pay a deductible
expense? I wish I knew the answer but it certainly looks like a
nice fringe benefit to me.
Most importantly, this is about masking what is being done by
the Administration. Cheaper insurance costs look good in the
budget, doesn't it? In a separate action, township reaches
around into another pocket in the budget to pre-compensate
Township Employees and the taxpayer never knows unless it is
questioned, like it was on February 24. Can you imagine your
employer giving you money for an insurance deductible,
especially one you never call upon? Well, you ARE the employer
and you ARE doing exactly that and you didn't even know it!
Is this the proper time to mention you should have received your
West Vincent Township tax bill from Berkheimer by now? Make sure
to get that tax bill paid so that money gets to places you will
Oh and by
the way, did you see http://chestercountyramblings.com/2014/03/11/the-song-remains-the-same/?
It's well worth a look.
To see my previous mailings please
click on http://tinyurl.com/westvincentinfos
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