Employer Tools
What would your company keep?
Two tools in one place: run your payroll tax savings, or compare group coverage strategies. Neither asks for your email to show you the numbers.
Step 1
How many W-2 employees do you have?
Count the W-2 employees you expect to participate. Results update as you type.
Your estimated employer tax savings
Estimated monthly payroll tax savings
Estimated annual payroll tax savings
$118,881pre-tax wage reduction
FICA rate
per participating employee
The cafeteria plan uses a qualifying pre-tax benefits structure that may reduce wages subject to employer payroll taxes. Based on the plan illustration, a $1,295 monthly qualifying pre-tax wage reduction can generate approximately $99.07 per month in gross employer FICA savings per participating employee.
See your company’s full savings analysis
Every workforce is different. We’ll prepare a customized analysis using your actual employee census and payroll information.
Request my savings analysisIllustration only. Estimated savings are based on a $1,295 monthly qualifying pre-tax wage reduction and a 7.65% employer FICA rate. Actual savings may vary based on employee participation, compensation, eligibility, applicable wage limits, payroll configuration, tax treatment, and other factors. Figures shown represent estimated gross employer payroll-tax savings and do not reflect program fees or other costs. This calculator is not tax or legal advice.
Before you ask
Questions about the numbers
Why are these figures shown as gross savings?
Because gross is the only number that can be estimated from an employee count alone. What you see here is the estimated gross employer payroll-tax savings generated by the qualifying pre-tax wage reduction — before program fees or other costs.
Your customized analysis is where the complete picture comes together. We build it from your actual census and payroll so you can evaluate everything side by side before you decide anything.
Where does the $1,295 figure come from?
It is the qualifying monthly pre-tax wage reduction used in the cafeteria plan illustration. Multiplied by the 7.65% employer FICA rate, it produces approximately $99.07 per month in estimated gross employer payroll-tax savings per participating employee.
Actual amounts vary with plan design, employee participation and eligibility, applicable wage limits, and how your payroll is configured.
Do my employees lose take-home pay?
No. Their net paycheck is designed to stay the same. A pre-tax deduction reduces their taxable wages, and a non-taxable reimbursement under the plan brings their net pay back to where it was. They gain benefits without losing income — and we'll show them the before-and-after paycheck during enrollment.
What if only some of my employees qualify?
That's normal and it still works. Only employees who are W-2, working 30+ hours per week, and carrying qualifying health coverage participate. The program runs on that group, and your savings scale to that count. We'll size it accurately from your census before you commit to anything.
Is this actually compliant?
The structure operates under Section 125 of the Internal Revenue Code along with IRC §105(b), §106(a), §213(d), and §104(a)(3), and is designed to meet ERISA, HIPAA, and ADA requirements. Plan documents, a Section 125 cafeteria plan document, and SIMERP documentation are issued for your file, and audit support is included.
We'd still encourage you to run it past your own CPA — and we'll give them everything they need to evaluate it. See the full mechanics and code citations →
Group coverage
Four strategies, not one product
Group benefits don't price like a calculator — they depend on your headcount, location, plan year and carrier. So instead of a number, here's the shape of the options and a short form that gets you a real quote.
Traditional group coverage
One employer-sponsored plan for the whole eligible group. Predictable and easy for employees to understand. Priced on group characteristics, renewed annually.
When budget allows and you want one simple plan
Alternative group programs
Built for employers priced out of traditional group coverage. Typically a menu of PPO designs across multiple national networks, with HSA-compatible options on some.
When traditional renewals have become unworkable
Individualized employee coverage
Each employee placed in coverage suited to their household and income, with the employer contributing. Often reaches people who decline a group plan because their share is too high.
For hourly, high-turnover or widely varied workforces
Ancillary & supplemental
Dental, vision, life, short-term disability, accident and critical illness. Inexpensive, highly visible to employees, and the fastest way to strengthen a package.
As an add-on, or a first step if medical isn't ready
Example plan designs
Illustrations of plan structure so you can see how the tiers differ — not an offer, not pricing, and not a statement of what your group will be approved for.
| Tier | In-network deductible | Out-of-pocket max | Typical fit |
|---|---|---|---|
| Richest PPO | $0 / $0 | $1,250 / $2,500 | Lowest member exposure |
| High PPO | $1,000 / $2,000 | $3,500 / $7,000 | Strong benefits, moderate cost |
| Mid PPO | $3,000 / $6,000 | $6,000 / $12,000 | Balanced cost sharing |
| HSA-compatible | $6,000 / $12,000 | $7,000 / $14,000 | Pairs with a health savings account |
| Minimum-benefit | $5,000 / $10,000 | $9,000 / $18,000 | Entry-level — read the note |
Figures shown as individual / family.
Read the minimum-benefit tier carefully
Entry-level designs are not equivalent to the PPO tiers above them. On the design we've reviewed there is no out-of-network coverage, and prescriptions run through a discount card rather than copay tiers, with no specialty drug coverage. It can still be the right answer for an employer offering something for the first time — but you should know that before your staff does.
Why there's no number on this tab
Plan designs, benefit levels, networks, availability and pricing vary by group size, location, plan year and carrier, and are subject to underwriting and plan terms. Any calculator that produced a group premium without seeing your census would be guessing. The plan document and Summary of Benefits and Coverage control over any summary here, and you'll have the actual documents before deciding anything.