Section 125 Plans

The cornerstone of any welfare benefit program is a Section 125 Plan that helps you maximize tax-saving opportunities. We have established a quality reputation with employers nationwide as a true partner with their industries and unique needs.

What is a Section 125 Plan?

Under a Section 125 Plan, employees may deduct some of their insurance premiums on a pre-tax basis from wages plus set aside pre-tax funds to use toward qualified medical and dependent day care expenses. This allows you to enhance your employee benefit package while saving your employees money, even possibly increasing their take home pay.

Advantages to You

  • Reduce tax (FICA and FUTA) expenses on eligible benefits selected by the employees under the plan
  • Increase your ability to attract and retain quality employees with an enhanced benefits package
  • Gain the assurance that employees have been educated on the benefit plans that you offer

How American Fidelity Can Help You

  • Help you properly implement and maintain your Section 125 Plan
  • Provide annual employee education and comprehensive enrollment services
  • Provide on-going service through the plan year
  • Help ensure compliance with our compliance support team