Cut Turnover and Boost Savings: How Section 125 Can Help Guard Companies Keep Staff, Save on Taxes and Reduce Their Workers Comp Premiums
Rick Knight, Business Link Solutions, CALSAGA Associate Member
According to many industry publications, the security guard industry faces a very high turnover rate, reportedly as high as 300% to 400%. The two main reasons cited are low wages and lack of affordable benefits. This often drives employees to switch jobs, sometimes for as little as a 50-cent per hour increase.
Our specially designed Section 125 plan can help Guard Companies reduce turnover and save costs, leading to increased take-home pay for employees and annual savings on what you pay in FICA payroll taxes and Workers Comp premiums.
In 1978 Congress enacted the Section 125 law that allows American companies the ability to pre-tax employee benefits. This reduces what you pay on your FICA payroll taxes, putting money back in both your company’s and your employees’ pockets. Additionally, every qualified full-time employee will have access to important benefits designed to help them be healthier and with those benefits being pre-taxed, full-time eligible employees will see a net increase in their take-home pay.
On average, guard companies that sign up with this plan save over $500 per employee, per year, and their employees see an average $80-$100 per month pay increase.
We’ve helped over 10,000 companies save on taxes and retain their staff, including a Santa Ana guard company that saves $50,000 in FICA taxes each year, and have significant savings on their Workers Comp premiums.
With our specially designed Section 125 plan you can expect to see:
- $80-$100 average monthly pay increase for employees
- Lower Workers’ Compensation fees, due to reduced taxable payroll; the higher your WC rate, the higher the $avings
- Average $500 per employee, per year in tax savings annually
- Zero-dollar co-pays on unlimited in-person Doctor Visits, Prescriptions, and Urgent Care
- Complements, does not replace or interfere with your existing medical plans.
Ready to see if our Section 125 can benefit your company?
Call us at 949-519-0022 or email us at rKnight@BusinessLinkSolutions.net to see if you qualify.
Rick Knight
Regional Vice President
Business Link Solutions