Cut payroll taxes with Section 125 pre-tax benefits
Discover how pre-tax benefits reduce payroll taxes and boost take-home pay. Free calculators, plain-English guides, and expert brokers.
See your savings instantly
Drag the slider to estimate
Your company saves
$36,750 /yearYour employees save
$60,000 /year totalTotal annual savings
$96,750 /yearBased on $55K avg salary, 75% participation. Results vary.
Employer Saves
7.65%
on FICA taxes
Employees Save
20%+
on benefit costs
Setup Time
30
days typical
See the before & after
Watch how a Section 125 plan transforms a $50,000 salary. Both the employer and employee save — it takes less than a minute to see how.
The numbers behind pre-tax benefits
Section 125 plans aren't new. They've been saving employers and employees money since 1978. Here's the data.
Most small businesses miss out on these savings
While nearly half of private-sector workers have access to FSAs, adoption among small and mid-size businesses lags behind. Often, owners don't know the option exists or think it's too complicated. It's not.
47 educational guides
Plain-English articles covering Section 125, FSAs, HSAs, compliance, and industry-specific guidance
5 free calculators
FICA savings, ROI, benefits comparison, savings estimator, and more. No account required
Expert broker network
Free, no-obligation consultations with licensed benefits brokers who specialize in Section 125
Example: 50-employee company
$55K avg salary • 75% participation (38 employees) • $4,000 avg pre-tax deduction
38 employees × $4,000 × 7.65%
38 employees × $4,000 × 19.65% (7.65% FICA + 12% federal)
$4,000 × 19.65% effective rate
Based on IRS FICA rates (7.65%) and 12% federal income tax bracket. Employees in higher brackets save more. Actual savings depend on salary, participation, and plan design. Run your own numbers →
How it works
From learning to savings in four simple steps.
Learn the Basics
Read our plain-English guides on Section 125 and pre-tax benefits.
Run Your Numbers
Use our free calculators to estimate your company's FICA savings.
Talk to David
Connect with a benefits broker for a free, personalized consultation.
Start Saving
Your plan is live in 30 to 45 days. You save from day one.
Ready to talk? Meet David.
David Toves is a licensed benefits professional who can walk you through how Section 125 works for your organization. Free consultation, no obligation.
Talk to DavidQuick question? Ask Sarah.
Our AI benefits assistant can answer questions about Section 125, FICA savings, and plan details — instantly, 24/7.
What is Section 125?
Get a quick overview of how Section 125 pre-tax benefits work and why they matter for your business.
Built for benefits decision-makers
Whether you're an owner, HR lead, or CFO, we have the tools and guides for your role.
Free tools. No account needed
See exactly what Section 125 could save your company before you commit to anything.
FICA Savings Calculator
Calculate exact employer and employee FICA tax savings based on your headcount.
Calculate nowSavings Estimator
Estimate total company-wide Section 125 savings across all benefit types.
Estimate nowROI Calculator
Calculate your return on investment and see how quickly a plan pays for itself.
Calculate ROILearn at your own pace
Plain-English guides on benefits, taxes, and compliance.
Dependent Care FSA Limit Jumps to $7,500 in 2026: What Employers Need to Know
The dependent care FSA limit increased from $5,000 to $7,500 for 2026 — the first change in 40 years. Learn what this means for your Section 125 plan, compliance requirements, and employee benefits strategy.
How to Help Your Employees Maximize Their FSA Benefits in 2026: An HR Guide to Education and Year-End Strategies
A comprehensive guide for HR directors and benefits administrators on helping employees maximize their Flexible Spending Account benefits in 2026, including the new $3,400 contribution limit, education frameworks, and year-end strategies to reduce forfeitures.
Employee Benefits Communication Templates: Letters, Emails & Calendar
Free copy-paste benefits communication templates for HR teams. Includes open enrollment announcements, new hire welcome letters, reminder emails, and a 12-month communication calendar.
Ready to see what's possible?
Connect with David for a free, no-obligation consultation. See how much your company could save.
Disclaimer: The information on benefitsgenius.co is for educational purposes only and does not constitute insurance, tax, legal, or financial advice. Fixed indemnity insurance is supplemental coverage and does not satisfy ACA requirements for minimum essential coverage. Consult with qualified professionals regarding your specific situation.
