A federally-compliant Section 125 benefit program that reduces your FICA payroll tax liability by $500 or more per employee, per year, while giving your team premium wellness benefits and a life insurance policy funded entirely from their own tax savings. No cost increase to you. No reduction in their take-home pay.
Every time you run payroll, you pay FICA taxes: 7.65% on every dollar of gross wages. Your employees pay the same 7.65% on their side. That tax is automatic. It is built into the system. And most business owners pay it in full, year after year, without realizing there is a legal mechanism built into the federal tax code to reduce it.
That mechanism is a Section 125 Cafeteria Plan. When employees elect to receive certain benefits through a pre-tax payroll deduction, it reduces their taxable wages. Lower taxable wages mean lower FICA taxes for the employee, and lower FICA contributions for you as the employer. The IRS has allowed this since 1978. The question is whether your business is using it.
The program layers a Tax Advantaged Employee Well-being package on top of your existing benefits, using pre-tax deductions to trigger FICA savings for both you and your employees simultaneously. Nothing your employees currently have gets replaced or removed.
Employees enroll in the wellness benefit package through a pre-tax payroll deduction of $150 to $200 per month. Because the deduction is pre-tax, their taxable wages drop by the same amount.
Because FICA is calculated on taxable wages, every dollar of pre-tax deduction reduces the wages you pay FICA on. For most businesses, this saves $400 to $600 per participating employee, per year, directly to your bottom line.
The same pre-tax deduction generates $1,800 to $2,400 per year in tax savings for each employee. Those savings are redirected into an Indexed Universal Life policy, giving them growing, tax-advantaged life insurance with no reduction in their take-home pay.
This is a real paycheck comparison. Same gross pay. Same employee. Before and after enrolling in the program.
The Result: Same Take-Home Pay. A Life Insurance Policy. And Premium Wellness Benefits Added on Top.
The employee's take-home pay is actually $4.25 higher after the program than before it. They walk away with a funded IUL policy and a full suite of wellness benefits, paid for entirely by the tax savings the pre-tax deduction generates.
This is not a discount card or a stripped-down plan. These are substantive, real-dollar benefits that employees and their families can use immediately.
$0 copay doctor visits 24 hours a day, 7 days a week, 365 days a year. No waiting rooms. No co-pays. Covers the employee and their household.
6 counseling sessions per family member per year. One free legal consultation per legal matter. Chronic care management for ongoing health conditions. Available to the entire family.
An 8-hour private online course designed to strengthen romantic relationships. Includes 4 virtual visits with a program coach. Confidential, in-home, available 24/7. Immediately reduces relationship stress.
A full-year interactive recovery program with 500+ searchable videos, a personal goal-setting system, progress tracker, personalized action plan, group meeting finder, and connections to higher levels of care. Covers all aspects of substance abuse recovery.
Direct access to Mayo Clinic-branded digital programs: mental health (The Resilient Option), holistic health (12 Habits of Highly Healthy People), productivity (Wheel of Life), and diet and nutrition (the Mayo Clinic Diet, ranked #1 by U.S. News & World Report). App and web-based with videos, lectures, and mindfulness tools.
Each employee gets a customized digital portal that uses AI to drive engagement and goal achievement. Includes the Anura vitals scanning app for real-time health metrics and AVA, a personal virtual wellness assistant available around the clock.
The program improves your bottom line and your benefits package at the same time. Those two outcomes rarely go together. This one does, because the math of pre-tax deductions makes both possible simultaneously.
In FICA tax savings that go directly to your bottom line, for every employee who enrolls. A team of 20 saves $10,000 or more annually.
The program pays for itself through FICA savings. You add premium employee benefits to your company without adding a line item to your budget.
Section 125 Cafeteria Plans have been a fixture of the federal tax code since 1978. This is not a loophole. It is a structured benefit program with full IRS authorization.
Employees who have access to comprehensive wellness benefits show lower absenteeism, higher engagement, and longer tenure. This program adds measurable value to your employment offer.
Do you have at least 5 W-2 employees on payroll?
Would you like to legally reduce your FICA tax obligations?
Are you interested in upgrading employee benefits without increasing your payroll budget?
Would your employees benefit from telemedicine, wellness programs, and life insurance?
If you answered yes to two or more of those questions, there is a strong likelihood that a Business Tax Savings assessment will reveal real, measurable savings specific to your payroll. The first step is a free analysis that shows you the exact dollar amount your business would save with your current headcount.
You answer five questions about your business and current payroll structure. Takes less than five minutes.
We run a custom savings analysis based on your employee count and current payroll. You see the projected FICA savings and employee benefit value in writing before committing to anything.
We handle the Section 125 plan documents, payroll code setup, employee enrollment forms, and coordination with your payroll specialist. You review and approve. We do the work.
Your next payroll run reflects the new structure. FICA savings begin immediately. Employee benefits activate. Your team is better covered, and your bottom line improves from day one.
Answer five questions. We build your personalized savings report and walk you through it on a call at no cost and with no obligation.