Section 125, enacted by the IRS in 1978, allows employees to allocate portions of salary towards certain healthcare benefits on a pre-tax basis.
Employers can utilize Section 125 to offer their W-2 employees pre-tax health benefits, reducing taxable income, and saving the company on FICA taxes.
Flex Health empowers employers through a fully funded Section 125 Plan, with no out-of-pocket cost and a net paycheck increase for all qualified employees.
Total Paycheck Increase
$724.48+2.6%
W-2 Employee Breakdown
Total Tax Savings
$260.37/mo
$3124.44/yr
Total Policy Cost
$200/mo
$2400/yr
Total New Benefits
13+
Learn about the IRS tax code that favors employer-sponsored healthcare.
Learn how Flex Health attains the highest standards in IRS compliance.
Learn about the $0 co-pay preventative benefits that open to enrolled employees.
What is Section 125? Section 125 of the Internal Revenue Code, established in 1978, is a powerful tool that allows employees to pay for certain benefits with pre-tax dollars. While business owners have Section 179 and real estate investors have the 1031 exchange, Section 125 is one of the few significant tax deductions available to […]
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