Section 125 Cafeteria Plans with Fixed Indemnity Insurance
Encompassing Health is a Section 125 cafeteria plan with comprehensive fixed indemnity insurance that provides virtual care, health assessments, prescription benefits, and hospital coverage—all while reducing your payroll taxes. This IRS-compliant program prioritizes preventive care and does not disrupt or replace major medical plans—it's purely an enhancement to your current employee benefits package.
No out-of-pocket cost for employers or employees. Our Section 125 plan addresses employee recruitment, retention, and revenue concerns by providing pre-tax healthcare benefits that increase employee satisfaction and significantly reduce your employer payroll tax burden.
Section 125 Plan Benefits for Employers and Employees
- Fully Insured Fixed Indemnity Insurance: Comprehensive healthcare services including virtual care, prescriptions, health assessments, and hospital coverage. Supplements your existing health insurance (or provides coverage if you have none) with direct cash benefits for qualifying events.
- Unlimited Virtual Healthcare: Telemedicine benefits including Primary Care, Urgent Care, Behavioral Health, and Dermatology services
- Supplemental Health Benefits: Health Screenings, Dental Benefits, and Free Prescription Drug Program
- Minimum Essential Coverage (MEC): Covers ACA-required adult and women's preventative and wellness benefits, satisfying the individual mandate
- Increase Employee Take-Home Pay: Qualified employees see an average 4% increase in take-home pay through pre-tax payroll deductions
- Reduce Employer Payroll Taxes: Most employers save $500-$550 per employee per year in FICA, FUTA, and state unemployment taxes—at no out-of-pocket cost
Our Section 125 cafeteria plan with fixed indemnity insurance offers comprehensive healthcare services while reducing your payroll tax burden. Learn more in our Section 125 FAQs or schedule a consultation to calculate your specific payroll tax savings.
Estimate my Savings
Your savings on this program will be immediate when you run your first updated payroll. The money never leaves your bank account.
Let's say you're a franchisee with 225 employees between all your locations and you pay bi-weekly. Of those 225 employees about 80% will sign up – 180. Your yearly savings per employee is about $580+/-. So, let's do the math.
180 Employees × $580/year ÷ 26 Pay Periods = $4,000
That's $4,000 PER PAYROLL, 26 times a year. Immediate savings. The payroll you ran last week? It can be $4,000 lower next time.
Use the calculator on this page to see how much you'll save on this program.
Ready to talk?
Set up a meeting with one of our strategy advisors and hear the full story. If you're interested, they can tell you to the dollar just how much money you can save EVERY PAYROLL CYCLE. These savings are immediate. We've helped hundreds of franchisees and business owners save THOUSANDS every month.