Quantum 125 · A Section 125 plan for employers
Less payroll tax for you. More take-home for them.
Your company keeps, every year
$0
What’s in this number
About $3,988 a month, $957 per enrolled employee, going forward. Each of your 50 takes home +$1,025.76 more a year, +$85.48 a month: $51,288 across the team.
At 50 employees: your company keeps $47,850 a year. Each employee takes home $1,025.76 more a year.
Plan 1500, a $50,000 salary, everyone enrolled. No net cost to the company. Going forward, not a refund. Illustrative example. Confirm with your CPA.
What is the Section 125 payroll tax strategy?
Longtable’s Section 125 plan (Quantum 125) runs supplemental health benefits before tax, so there is less payroll to tax from the day the plan starts. In the illustration, that is $957 a year per enrolled employee back in the business and $85 more a month in each employee’s take-home. Your health plan and broker stay, and tax attorneys and CPAs write and review every plan document.
Line by line
One plan. Both sides of the paycheck.
For the employer
$957
a year per enrolled employee. No net cost to the company.
| Pre-tax premium per enrolled employee, each month | $1,500 |
| Kept each month | $79.75 |
| Kept each year (× 12) | $957 |
|---|
- Your health plan and broker stay.
- Lower-paid teams keep less: $268.50 a year per employee on Plan 750.
For the employee
+$85.48
more take-home a month, plus real benefits, on a $50,000 salary.
| Taxes saved on the premium | $385.48 |
| Pre-tax premium | -$1,500.00 |
| Monthly wellness benefit | $1,200.00 |
| More take-home each month | +$85.48 |
| More take-home each year (× 12) | +$1,025.76 |
|---|
- $0 telemedicine and $0 copay on 1,000+ covered prescriptions for the whole family.
- One short wellness activity a month in the app.
- Lower pay means a smaller gain: +$7.12 a month on a $14,400 salary.
Plan 1500. Illustrative example. Confirm with your CPA.
Who stands behind it
Named. Audited. Backed in court.
The tax professionals
Tax attorneys and CPAs
- Named in your plan documents and on your call.
The audit record
The tax firm behind every plan has never failed an audit.
Our guarantee
We guarantee we will back you.
Our tax attorneys will back you in court.
How it works
From the number above to a plan in place.
See your real number.
One recent payroll report through a secure link. Your analysis back in 3 to 5 business days, person by person.
Your CPA reviews it.
The analysis, the plan document and the written tax position go to your CPA before you sign the two plan agreements.
Quantum sets it up.
Payroll, billing and enrollment are run for you; HR attends one kickoff call. In force before your benefits year starts, so the full year counts.
Is it a fit?
Built for.
- Regular employees (W-2), hourly or salaried, on a regular payroll.
- You want better benefits without a new program to run.
- A health plan renewal 60 to 150 days out.
- Independent contractors (1099 workers).
- Owners enrolling only themselves.
Straight answers
Questions, answered.
- Is this a refund of payroll tax we already paid?
- No. Section 125 lowers payroll tax from the plan’s start date forward. Every pay period before it is taxed in full.
- What does it cost the company?
- No net cost. The $957 a year per enrolled employee is what your company keeps, going forward. Your payroll analysis sets your own figure.
- Does our health plan or broker change?
- No. This sits beside your plan. Your broker stays on the medical placement and the commission does not move.
- Who writes the tax position?
- Our tax attorneys and CPAs write and review every plan document and tax position before you sign. Your own CPA gets all of it first.
Schedule a Meeting
One 30-minute call.
Your broker and CPA welcome.
Or call 248.742.0065Mon – Fri: 9:00 AM – 5:00 PM