- Allows employees to contribute into an account that pays health insurance premiums.
- Expenses include health/dental/vision insurance premiums.
Why?
Participant Benefits
- Way for an employee to pay insurance premiums via pre-tax payroll deductions.
- Deductions are pre-tax reducing total taxable income.
- Improves financial & mental wellbeing.
Employer Benefits
- Improves recruiting, retention and engagement.
- Compete with companies that do offer GHP.
- Reduce FICA/Payroll taxes by 7.65% for every pretax dollar employees contribute.