You already understand the burden of payroll duties as an HR leader or company owner. The process can be both difficult and expensive, given employer contributions, deductions, and compliance. Year after year, the “employer part of payroll taxes” is a concealed cost that subtly lowers your bottom line.

The bright side, however, is that a good approach will help you lower that expense, remain completely compliant with IRS tax code Section 125, and provide significant advantages to your staff members—all at no out-of-pocket expense to your company.

The Elevate+ plan from Elevate Benefits is specifically meant to accomplish that.

What Are Employers Responsible for in Payroll Taxes?

Employers are not only in charge of deducting taxes from workers’ paychecks when they run payroll; they are also in charge of paying the employer-paid share of various required taxes, including:

• Social Security tax (6.2% of wages up to the wage cap)
  
• Medicare tax (1.45% of all wages)
  
• Federal and state unemployment taxes (FUTA and SUTA)
  
• Workers’ compensation (varies by state)
  

These taxes add up. On average, employers pay 7.65% of an employee’s salary in payroll taxes. For every 100 employees, that amounts to more than $60,000 annually, just in payroll tax obligations.

Understanding IRS Tax Code Section 125

Section 125 of the IRS tax code lets companies provide benefit plans funded by staff members using pre-tax money. This setup decreases the taxable income of employees and therefore lessens the payroll tax responsibilities of the company.

While this tax-advantaged setup is useful, traditional IRS Section 125 plans are often underutilized. They typically provide limited savings and lack structure, automation, and compliance oversight.

Elevate Benefits takes it a step further.

Elevate+ — More Than a Section 125 Plan

The Elevate+ plan is a modern alternative to traditional cafeteria plans. It leverages Section 125 while integrating:

• A Preventative Care Management Plan (PCMP)
  
• A Self-Insured Medical Reimbursement Plan (SIMRP)
  

This powerful combination forms a fully compliant, automated, and cost-free benefits solution for employers. Elevate+ transforms the way businesses manage payroll tax liability and employee wellness, without changing existing insurance coverage.

Employer Benefits with Elevate+

Elevate+ offers immediate and measurable impact for businesses of all sizes. Here’s how employers benefit:

• Save around $600 per W2 employee annually
  
• That’s $60,000 in yearly savings per 100 employees
  
• Implementation is quick—just 30 to 45 days
  
• Reduce healthcare claims by up to $1,400 per employee over 3 years
  
• Improve employee retention and performance
  
• Eliminate administrative burden with full automation
  
• Stay 100% compliant with IRS and healthcare regulations
  

There’s no out-of-pocket cost, no disruption to your existing benefits, and no new responsibilities added to your HR team.

Employee Benefits They’ll Appreciate

Elevate+ isn’t just an employer advantage. It significantly enhances your employees’ experience and well-being with benefits that matter:

• 3–4% increase in net paycheck (an average of $100/month)
  
• $0 copay Telehealth services with doctors, nurses, and mental health professionals
  
• Access to Mayo Clinic wellness tools and a personal health dashboard
  
• Counseling, mental health, and addiction support
  
• Universal Life, Disability, and Critical Illness coverage
  
• Extended coverage options for spouses and dependents
  

These benefits drive engagement, reduce absenteeism, and boost morale—all while keeping take-home pay intact.

Fully Managed, Fully Compliant

One of the biggest concerns employers have is compliance. Elevate+ is built to meet and exceed all regulatory requirements, including:

• IRS tax code Section 125
  
• HIPAA data protection standards
  
• ACA (Affordable Care Act) employer mandates
  

And the best part? It’s fully managed from start to finish. Elevate Benefits handles:

• Employee onboarding
  
• Payroll integration
  
• Ongoing compliance monitoring
  
• Reporting and performance metrics
  

No extra vendors. No manual processing. Just a streamlined, secure, and effective solution.

Case Example: The 100-Employee Company

Let’s take a company with 100 full-time W2 employees. Without Elevate+, the employer might spend:

• $76,500/year on payroll taxes
  
• Thousands more on high healthcare claims
  
• Countless hours on benefits administration
  

After implementing Elevate+:

• Payroll tax liability drops to approximately $16,500/year
  
• Healthcare claims are reduced through proactive care
  
• Admin work is eliminated with automated systems
  
• Employees take home more pay and gain better access to care
  

That’s real savings—without sacrificing employee satisfaction or operational efficiency.

Why Elevate+ Stands Out

More than 40,000 employees are already enrolled in the Elevate+ plan. Companies across industries are choosing this solution because it offers more than savings—it delivers long-term value.

Unlike traditional Section 125 programs, Elevate+ offers:

• A clear strategy for reducing payroll taxes
  
• A better experience for employees
  
• Seamless implementation and compliance
  
• An advantage in recruiting and retention
  

Take the First Step Toward Smarter Payroll and Benefits

Managing the employer part of payroll taxes doesn’t have to be complicated or costly. With Elevate+, businesses can achieve substantial payroll tax savings while offering employees valuable, enhanced benefits. Elevate Benefits provides a comprehensive solution that integrates Section 125 with a Preventative Care Management Plan and a Self-Insured Medical Reimbursement Plan (SIMRP), making it a powerful tool for employers who want to reduce costs and improve employee satisfaction.

Elevate+ offers zero upfront costs, fast implementation, and guaranteed compliance, making it the go-to solution for businesses of all sizes.