For franchises & businesses with 100+ employees

Reduce payroll taxes by 7.65% with a Section 125 plan

Better health benefits for your team, and $650–$850 back per employee every year — fully IRS-compliant since 1978, auto-enrolled, with zero out-of-pocket cost to you.

Questions? Email us at hello@taxbenefitstrategies.com

What could you save?

100 employees
~$65,000/yr
250 employees
~$162,500/yr
500 employees
~$325,000/yr

Based on auto-enrollment at $650–$850 in employer tax savings per employee per year.

Calculate your exact number →

Trusted by leading QSR franchise operators nationwide

KFC Pizza Hut Taco Bell Wendy's

How Section 125 cuts your payroll taxes

A Section 125 cafeteria plan with fixed-indemnity insurance lowers your team’s taxable income — which lowers the payroll taxes you owe on it. Here’s the short version — or read the full breakdown of how a Section 125 plan works.

1

We set up your plan

We implement an IRS-compliant Section 125 plan with fixed-indemnity insurance — typically in 30–60 days, with no disruption to your existing health coverage.

2

Employees enroll pre-tax

Every employee is auto-enrolled (and free to opt out) into virtual care, prescriptions, hospital coverage and more — paid pre-tax. Their taxable income drops, so their take-home pay rises by about 4–6%.

3

You save on every payroll

Lower taxable wages mean lower FICA, FUTA and state unemployment taxes — $650–$850 per employee per year, realized every pay period.

What your team gets

Real benefits employees actually use — which is what turns this into a recruiting and retention win, not just a tax play.

  • Unlimited virtual care — primary, urgent, behavioral & dermatology
  • $0-copay prescriptions on 5,000+ common generics
  • Hospital indemnity cash benefits for hospital stays
  • Dental, vision & hearing savings
  • Health screenings & preventive care
  • 4–6% higher take-home pay for employees

Franchises and businesses we help

Section 125 plans pay off most for employers with large, hourly, higher-turnover workforces. We work with multi-unit operators across:

QSR & Fast Food

Multi-unit franchise operators with high hourly headcount.

Home Healthcare

Agencies with large caregiver and nursing staffs.

Assisted Living

Senior living and residential care facilities.

Restaurants & Hospitality

Full-service restaurants, hotels and food service.

Retail & Convenience

Multi-location retail and convenience stores.

Staffing & Services

Staffing firms and other high-turnover employers.

…and many more. If you employ 100+ people with regular turnover, a Section 125 plan likely pays off — let’s run your numbers.

Estimate my savings

Your savings are immediate — they show up the first time you run an updated payroll, and the money never leaves your bank account.

Say you have 225 employees across your locations, paid bi-weekly. The plan auto-enrolls every employee, at about $650 in employer tax savings each per year:

225 employees × $650/yr ÷ 26 pay periods ≈ $5,600 per payroll

That’s roughly $5,600 back every payroll, 26 times a year — and up to ~$7,350 at the high end. Enter your own numbers to see your exact figure.

Why owners trust Tax Benefit Strategies

It can sound too good to be true — here’s what makes it real.

  • IRS-compliant since 1978. Administered through licensed insurance carriers in line with IRS, ERISA and applicable state law.
  • No out-of-pocket cost. Our fee comes out of a portion of your tax savings — never your pocket.
  • It complements your current coverage. The plan enhances your existing health benefits — it doesn’t replace your major medical plan.
  • Hundreds of franchise & business owners served — saving thousands in payroll taxes every month.

Common questions

Is there any out-of-pocket cost?
No. You pay nothing extra — our fee is covered by a portion of your payroll tax savings.
Is this IRS-compliant?
Yes. Section 125 cafeteria plans have been part of the IRS tax code since 1978, and our program is fully insured through licensed carriers and administered in line with IRS, ERISA and state law. See our compliance details.
Will it replace our existing health insurance?
No. It complements your current coverage with supplemental fixed-indemnity benefits — it doesn’t replace your major medical plan.
What size business qualifies?
Our plans work best for businesses with 100+ employees or owners with multiple locations. Close to that range? Reach out and we’ll see what’s possible.

See all FAQs →

Talk to an advisor

Set up a call with a strategy advisor and get your exact savings figure — down to the dollar, every payroll cycle. No cost, no obligation.

We’ve helped hundreds of franchise and business owners save thousands every month. The sooner you start, the sooner your next payroll is lower.

Prefer email? Reach us at hello@taxbenefitstrategies.com.