Linc's Annual Salary Is $80,000

Linc's annual salary is $80,000. His employer, Riddle Corporation, has a qualified pension plan that allows employees to contribute up to 10% of their salaries, which is matched by the employer. Linc and Riddle Corporation each pay $7,500 into the plan. Riddle provides all employees with health and accident insurance by paying 75% of the cost of the policy. Linc's policy cost $3,200. Riddle also offers a flexible benefits plan that employees can use to pay their share of the cost of the medical insurance, other medical costs, and child-care costs. Linc elects to have $2,500 paid into the plan. He uses $800 to pay his share of the medical insurance costs and was reimbursed for $1,700 of medical and childcare costs from the plan. As an officer, Riddle Corporation pays Linc's $3,300 parking cost. Riddle Corporation has a workout room in its office building that is used exclusively by employees and their families. Dues to a comparable facility would be $100 per month. What is Linc's 2018 taxable income from Riddle Corporation?

A) $70,000
B) $70,180
C) $71,500
D) $71,620
E) $73,300