Employer FICA Reimbursement Program
Turn Your Tax Liability Into Cash Flow While Adding Benefits. Better Care. No Net Cost.
The Employer FICA Reimbursement Essential Health Program (EHP) allows companies with 20+ W-2 employees to reduce payroll taxes while adding healthcare benefits at no net cost. Since this program costs nothing to the employer and delivers an average savings of $640 per employee, you can enjoy substantial benefits without any upfront investment.
The Essentials Health Plan (EHP) goes beyond traditional wellness programs — providing targeted health support, preventive care, and alternative treatment options tailored to your team’s unique needs.
Give your employees access to better care, second opinions, and peace of mind — all at no cost to you.
A Smarter Way to Reduce Costs and Strengthen Employee Health
In today’s competitive environment, employers are under pressure to control costs while still investing in their people.
A Self-Insured Medical Expense Reimbursement Program (SIMERP) offers a powerful way to do both — combining measurable payroll tax savings with valuable wellness and preventive-care benefits for employees.
MarginFirst Advisors helps you implement this strategy through the Essentials Health Plan (EHP) — combining best-in-class tax optimization with best-in-class employee wellness solutions.
✅ No need to replace your current healthcare provider. EHP integrates seamlessly with your existing plan.
What Is the Essentials Health Plan (EHP)?
EHP is built on a federally recognized framework known as a Self-Insured Medical Expense Reimbursement Program (SIMERP) — a wellness initiative authorized under the Affordable Care Act (ACA).
It allows employers to offer supplemental health benefits at no net cost to the company or employees through strategic pre-tax payroll deductions.
In short:
EHP helps employers fund additional health coverage, improve employee well-being, and lower payroll taxes — simultaneously.
How It Works
EHP operates as a self-insured reimbursement plan compliant with ACA, ERISA, and HIPAA and the IRS.
It pairs with your company’s existing major medical plan — no replacement needed.
Requirements to Qualify
- At least 20+ W-2 employees (no ceiling)
- Full-time (30+ hours per week)
- Must have healthcare coverage (if not, we can help explore options)
Financial Impact
EHP leverages pre-tax deductions to reduce gross payroll — producing immediate FICA tax savings for both employers and employees.
Those savings are redirected into a benefit reserve that funds the new wellness and insurance benefits.
Typical Results
💰 $640 in annual FICA savings per employee
💰 20–30% reduction in workers’ compensation premiums (state-dependent)
💰 Up to 20% insurance savings for self-insured companies
💰 Zero impact on employee take-home pay
Employee Benefits
Employees gain access to an easy-to-use benefits portal offering both health and financial protection resources.
Included Wellness & Care Services
- Urgent Care (24/7/365): 94% of visits resolved in under 20 minutes
- Primary Care: Choose your doctor for personalized, ongoing care
- Pharmacy: 1,000+ maintenance and 70+ urgent-care medications free
- Mental Health Support: 24/7 counselor access for immediate help
- Weight Management: Physician-prescribed programs and medications
All Wellness Care Physician Services are $0 out-of-pocket, $0 co-pay, $0 deductible.
These benefits are designed to enhance quality of life — not reduce take-home pay. Tax savings fund the program behind the scenes.
Employer Advantages
For employers, EHP delivers:
- Lower FICA and workers’ comp costs
- Reduced healthcare costs (especially for self-insured plans)
- Improved employee satisfaction and retention
- No disruption to existing healthcare plans
- Flexible design for companies with 20+ full-time employees
The Bottom Line
EHP is a no-risk, high-impact strategy for organizations that want to:
- Strengthen employee health and retention
- Reduce payroll and workers’ comp costs
- Reinvest savings into growth programs
At MarginFirst, we help employers implement the Essentials Health Plan seamlessly — showing exactly how this program improves both margins and morale.
