Employer Tax Savings Calculation
The employer savings calculator is a form that provides employers with tax savings if employees participate in a Flexible Giving Account (FGA).
To calculate your payroll tax savings enter the following:
- Estimated Average FGA Contribution per Employee* ($1 to $2,700)
- Average Annual Employee Income
- Number of employees
* For reference, the average 2016 Combined Federal Campaign Contribution was $340.
Tax Savings Calculation = Average FGA Contribution * rate below (e.g. 0.0765 or 0.0145 depending on income) * Number of Participating Employees.
If wage is ≤ $128,400, to calculate the employer’s savings on this specific employee, multiply the average FGA average contribution by 7.65%
If wage is ≥128,400, to calculate the employer’s savings on this specific employee, multiply the average FGA average contribution by 1.45%.