Employer Strategies

Tax Savings

• Employer provided "Section 125" Cafeteria Plans allow employees to use "pre-
tax dollars" to pay for certain insurance products offered by the employer such as
health care and dental.

• Employers also save by not having to make the 7.65% employer matching
OASDI/HI contribution on employee wages spent under Section 125.

• Section 125 plans are easy to set up and maintain, allowing even the smallest
firms to realize big savings.

• Strategy: (1) Provide employees with a comprehensive portfolio of quality
voluntary benefits (medical, dental, disability, life, cancer, vision, and flex
accounts) (2) Increase employee participation in your benefits programs with
effective communications (see "Benefits Communication" page). Every dollar
spent under "125" by your employees means payroll tax savings for your
company.

Retention & Recruiting

Imagine: You've just found the ideal candidate for an opening at your firm and
make an offer... only to find that a competitor has offered $5,000 more in salary.
Or perhaps a current valued employee tells you that he has a better offer from
another firm and is prepared to leave. What would you do? Raise your offer?
Lose the employee?

Now imagine that you have a benefits management tool that allows current or
potential employees to review your company benefits plan (including insurance,
sick days, vacation, retirement, etc.) by spending just a few minutes at a
computer... but it does more than that. It actually walks the employee through the
plan and puts a dollar amount on your entire package of benefits... actually selling
your employee on the value of your overall compensation package - not just the
salary.

You've made a huge investment in your work force and their benefits...

Effective communications is the key to maximizing that investment.

(see our page on Benefits Communication)