Employees are incentivized to use the PHMP due to the following:
- Immediate FICA tax savings
- Improved presenteeism
- Improved health through the use of this effective proactive health program
- Lower core benefit costs (improved health, telemedicine and GEO mapping)
- Stbilized core benefit renewals
- Overall better benefit package
- Dollars found for employees to fill their gaps in underlying major medical plan
- Savings from discontinuing expenditures on current failed wellness programs.
- PHMP can be leveraged into providing employer tax shelter from the part A employer tax penalties under ACA.
What Kind of Savings are we Talking Here? Quite a bit.
Every dollar an employee spends on his or her PHMP benefits increases the employer’s FICA savings—up to $450 per employee through a reduction in payroll tax liability. But bottom-line improvements aren’t just for you. As an example, an employee with $4,000 in taxable income per month can expect to receive a $143 increase in their paycheck as a result of using PHMP, which can add up to serious cash over a year period.
Bonus! Savings associated with PHMP, you will likely attract better candidates and retain your best current talent – a win, win.