In the world of employee benefits, employers constantly seek opportunities to add more to their offerings without increasing the total cost. One such answer that has gained tremendous popularity is the Section 125 Plan. Though historically considered a tax-saver, the contemporary approach of Harmoni125 brings this idea to an entirely new dimension. Harmoni Care combines 125 cafeteria plan benefits with additional features like Preventative Care Management Plans (PCMP) and Self-Insured Medical Reimbursement Plans (SIMRP). Harmoni125 is not only about tax savings—it’s about having a complete, affordable, and positive system for employers and employees.
What is a Section 125 Plan?
A Section 125 plan, or cafeteria plan allows employees to contribute pre-tax dollars to pay for some benefits. In that way, employees reduce their taxable income, which increases their take home pay. This plan is attractive to the employers and the employees; this is because this plan lessons the level of payroll tax paid and financially benefits the both parties.
In a traditional Section 125 arrangement, participants can select a menu of coverage like health benefits, dependent care, and other qualified benefits. The contributions to these plans reduce their taxable salary before tax time, and therefore they save by having less to pay in income taxes.
But Harmoni125 is more than just another cafeteria plan. It includes some extra functionalities that render it much more inclusive, attending to the requirement for both preventive health care and medical reimbursements.
Why Use Harmoni125?
Harmoni125 is more than a conventional Section 125 plan. It is a totally managed solution through the incorporation of Preventative Care Management Plans (PCMP) and Self-Insured Medical Reimbursement Plans (SIMRP). These added features render Harmoni125 one of the most valuable and affordable programs for employers and employees alike.
1. Employer Benefits
- Substantial Tax Savings: Employers can save about $680 per W2 employee annually, which can translate into $68,000 for each 100 employees. This is achieved through the cost of reduced payroll taxes that are realized by the Section 125 health plan pre-tax format. It’s an easy yet effective method for employers to lower overhead without compromising employee benefits.
- Cost-Free Implementation: The value of Harmoni125 is in its cost-free design. There is no up-front cost to employers to adopt the plan. This makes it a compelling choice for businesses that want to enhance benefits without increasing costs.
- Decrease in Healthcare Claims: Harmoni125 integrates PCMP and SIMRP, meaning employers are able to witness a decrease in healthcare claims by about $1,400 per employee within three years. This decrease is a result of the focus on preventative care and proactive health management, which reduces the likelihood of expensive health emergencies.
- Rapid Rollout: The Harmoni125 scheme can be rolled out rapidly, generally in 30 to 45 days. This rapid time frame allows workers to begin realizing the benefits in a brief timeframe.
2. Employee Benefits
- No Reduction to Take-Home Pay: Another best feature of Harmoni125 is that no employee has to forego take-home pay for taking advantage of all the advantages of the scheme. The savings into the plan are made at the pre-tax stage, allowing the employees to decrease their tax payables, but they need not compromise take-home pay in the process.
- Zero Copay Telehealth Services: Employees get to enjoy 24/7 Telehealth services that involve consultations with physicians, nurses, and health coaches through Harmoni125. It gives employees an opportunity to solve minor health issues at any time without paying a copay, ensuring greater accessibility and convenience in healthcare.
- Comprehensive Mental Health Support: The strategy includes comprehensive mental health support like counseling and addiction services. Such services are necessary in the modern pace of life, and Harmoni125 guarantees employees access to the resources they require to remain mentally fit.
- Universal Life, Disability, and Critical Illness Cover: Apart from the healthcare, Harmoni125 also provides coverage for Universal Life, Disability, and Critical Illness. The added benefits assure employees of coverage in case anything unexpected happens to them.
How Does Harmoni125 Work?
The Harmoni125 plan takes advantage of the Section 125 health plan pre-tax system, whereby employees can contribute a percentage of their income to eligible benefits prior to taxes being deducted. This lowers their taxable income, with tax savings in the form of immediate cash.
But what sets Harmoni125 apart is its integration with the PCMP and SIMRP. The Preventative Care Management Plan (PCMP) enables the employees to get almost a step ahead of their fitness by conducting regular screenings, wellness coaching, and instruments they use in preventing chronic sickness. As the opposite is the case, the Self-Insured Medical Reimbursement Plan (SIMRP) compensates employees for medical charges not reimbursed in their primary coverage, an extra security blanket.
A Solution for All Employers and Employees
Employers and employees alike can profit from Harmoni125. Both employers save their money in tax deductions and lowering healthcare claims and employees get augmented benefits like telehealth with no copay, mental health help, and a lot more all without any pay cut in net pay.
Indeed, Harmoni125 enables employers to increase employee retention, enhance job satisfaction, and decrease absenteeism related to health issues—all while enhancing the overall bottom line.
Why Harmoni125 is the Future of Employee Benefits
While most companies provide traditional 125 cafeteria plan benefits, Harmoni125 goes one step further by providing a complete solution that includes preventative care and reimbursement choices, all without any added cost to the employer or employee. It’s a new, progressive way of doing benefits that allows employers and employees alike to succeed in an affordable, health-conscious setting.
To learn more about how Harmoni125 can help revolutionize your employee benefits program, click through to Harmoni Care.