The Smart Path to Affordable Health Benefits
Small and mid-sized businesses often struggle to deliver high-quality employee benefits without exceeding budget limits. Fortunately, there’s a smarter solution that combines cost efficiency with comprehensive care: Harmoni125.
This fully managed program leverages pre-tax Section 125 benefits along with a Preventative Care Management Plan (PCMP) and a Self Insured Medical Reimbursement Plan (SIMRP). It’s not just about compliance—it’s about transforming the benefits experience for both employers and employees.
If you’ve ever wondered how to use a Section 125 health plan to your company’s advantage, this guide will walk you through it—step by step.
What Is a Pre-Tax Section 125 Plan?
A Section 125 plan allows employees to pay for certain qualified health expenses and insurance premiums using pre-tax dollars. This reduces their taxable income and lowers your company’s payroll tax liability at the same time.
But Harmoni125 takes this much further. It integrates the traditional pre-tax savings model with a set of advanced healthcare and insurance tools, all at $0 out-of-pocket cost to the employer.
Core Components of Harmoni125:
- Section 125 payroll integration for pre-tax deductions
- PCMP tools including wellness coaching and Mayo Clinic programs
- SIMRP reimbursements for everyday healthcare needs
- Automated compliance and 30-day implementation
- Zero copay services for both employees and their families
This is not just about saving money—it’s about enhancing care without complexity.
How Harmoni125 Helps You Use Pre-Tax Benefits for Health Insurance?
Let’s explore how the program works in practice and why it’s such a powerful asset for small and mid-sized employers.
1. Pre-Tax Integration through Section 125
Employees opt into Harmoni125 and automatically begin paying for healthcare-related services with pre-tax dollars. This means:
- Lower taxable income
- No change in net take-home pay
- Lower payroll tax obligations for employers
Employers save an average of $1,100 per W2 employee per year—a significant financial boost, especially when scaled across a full workforce.
2. Fully Managed Preventative Care
The Preventative Care Management Plan (PCMP) delivers real-world value beyond the paycheck:
- 24/7 Telemedicine & Virtual Care
- Mayo Clinic wellness dashboard
- Behavioural health coaching and mental health tools
- Employee Assistance Program (EAP)
These benefits aren’t just about access—they’re about improved health outcomes and lower future claims.
3. Medical Reimbursements Through SIMRP
Through the Self Insured Medical Reimbursement Plan (SIMRP), employees can be reimbursed for:
- In-person urgent care visits
- Prescriptions and RX coverage
- Mental health counselling
- Preventative services and more
And all of it comes at $0 copay, with no complex reimbursement processes or waiting periods.
The Employer Advantage: Save More, Do More
When small businesses choose Harmoni125, they tap into a scalable, fully automated benefits engine. Here’s how it impacts your bottom line:
Immediate and Long-Term Employer Savings:
- $1,100 per employee annually in payroll tax savings
- 5–10% reduction in overall healthcare costs
- $0 setup fees or out-of-pocket expenses
- Fewer claims thanks to proactive care features
- Simple 30–45 day implementation window
That’s up to $110,000 in savings for every 100 employees—without needing to touch your current health insurance structure.
Seamless Compliance and Zero Administrative Burden
One of the most overlooked—but vital—benefits of Harmoni125 is its automated compliance and documentation system. Unlike traditional benefit offerings that require manual tracking, constant updates, and dedicated HR bandwidth, Harmoni125 is fully managed from end to end.
From Section 125 documentation to ACA and IRS reporting, all regulatory obligations are handled on your behalf. That means no missed filings, no audit risks, and no internal resources needed. Plus, employees receive access to a digital benefits dashboard, giving them transparency into their health, wellness, and reimbursement history—all in one place. It’s not just about offering benefits—it’s about doing it right, effortlessly.
Employee Benefits: Coverage That Feels Personal
Where traditional health plans fall short, Harmoni125 goes above and beyond. Here’s what your team receives:
Coverage Highlights:
- $0 copay for all services, including RX
- 24/7 Virtual Care from doctors and nurses
- 12 annual family care visits
- Mental health & addiction counseling
- MEC-compliant care for ACA reporting
- Mayo Clinic dashboard to track wellness goals
- Employee Assistance Program (EAP)
- Group Term Life Insurance ($60–$100/month value)
- Vision, dental, and prescription discounts
- Coverage for spouses and dependents
All of these features apply not only to employees—but to their entire families.
Why Section 125 Health Plan Is More Than Just a Tax Tool?
A traditional Section 125 plan allows employees to use pre-tax income for qualifying benefits, reducing their taxable income. But Harmoni125 goes far beyond this baseline. It transforms a pre tax Section 125 framework into a full-service health and wellness platform that benefits employees and their families at every level.
A Look at What’s Included with Harmoni125
What makes Harmoni125 truly unique is its bundled approach to care, affordability, and compliance. It doesn’t just use a section 125 health plan model—it builds on it with a suite of high-impact services:
- Group Term Life Insurance: Valued at $60–$100 per month, this benefit comes at no additional cost to the employee and provides long-term protection for their families.
- Family Coverage for 12 Annual Visits: Spouses and dependents are included in this benefit, with access to care that’s personalized, flexible, and preventive.
- $0 Copays Across the Board: Whether it’s a virtual doctor visit, an in-person urgent care appointment, or a prescription pickup, employees and their families never face out-of-pocket expenses.
- Mental Health & Counselling: EAP and behavioural health services ensure that emotional well-being is addressed as part of the care model.
- MEC Compliance: Minimal Essential Coverage (MEC) is included to ensure ACA compliance without disrupting any current health insurance plans.
All of these offerings are seamlessly integrated into Harmoni125 and require no added cost or administrative burden for the employer.
Why Group Term Life Insurance and Family Coverage Matter?
In today’s workforce, retention isn’t just about salary—it’s about security and support. Harmoni125 addresses both by offering:
Group Term Life Insurance
This essential benefit—valued at $60–$100 per month—is fully included at no cost to employees. It enhances peace of mind and shows your team that you’re invested in their future.
Family Coverage
Employees don’t just work for themselves. They work for their loved ones. Harmoni125 provides family-first benefits that ensure spouses and dependents are equally cared for.
This holistic approach makes Harmoni125 a loyalty-building machine—with tangible financial and health advantages.
Real-World Example: Harmoni125 in Action
Client Snapshot:
- Company Size: 75 employees
- Setup Time: 30 days
- Annual Payroll Savings: ~$82,500
- Employee Benefit Usage:
- 12 virtual visits per family
- $0 RX for ongoing medications
- In-person urgent care without copays
- Group Term Life Insurance benefits are used for dependents
- 12 virtual visits per family
The business kept its existing health insurance while layering in Harmoni125, resulting in enhanced value, at no extra cost.
Harmoni125 vs. Traditional Section 125 Plans
| Feature | Traditional Section 125 Plan | Harmoni125 |
| Pre-tax payroll deductions | ✔ | ✔ |
| 24/7 Telemedicine | ✘ | ✔ |
| Family coverage | Limited | ✔ (12 visits/year) |
| RX coverage ($0 copay) | ✘ | ✔ |
| Group Term Life Insurance | ✘ | ✔ ($60–$100/month value) |
| EAP and mental health | ✘ | ✔ |
| Automated implementation | ✘ | ✔ (30–45 days) |
| Employer setup costs | Low | $0 |
Make the Move to Smarter Benefits
Offering health insurance benefits is no longer optional—it’s essential. And while a traditional cafeteria plan may check the compliance box, Harmoni125 delivers the full package.
It’s not just about tax savings or basic access. It’s about empowering your team with real, meaningful, family-inclusive care—without stretching your resources.
Whether you have 30 or 300 employees, Harmoni125 makes it possible to provide a Section 125 health plan that works harder for everyone.
Ready to Reimagine Employee Benefits?
Don’t wait to modernize your benefits approach. With Harmoni125, you can deliver more, save more, and retain the people who matter most.
Book your 10-minute consultation
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FAQ’s
1. What is a pre-tax Section 125 plan?
It’s a tax-advantaged benefits structure allowing employees to pay for eligible expenses before taxes.
2. How does Harmoni125 leverage a Section 125 health insurance plan?
Harmoni125 combines pre-tax savings with PCMP and SIMRP for full-spectrum care.
3. What does Harmoni125 cost the employer?
There’s no out-of-pocket cost—implementation and management are fully covered.
4. Are employees’ families included in Harmoni125?
Yes, it offers family coverage with 12 annual visits and $0 copays.5. What makes Harmoni125 different from traditional plans?
It includes life insurance, RX, virtual care, and full compliance—automated.