Large Group

Large Group can be defined as all groups with 51+ employees who can not qualify under California AB1672. Large Group are not guarantee issue but are more attractive to carriers because of their membership size and premium.

Large employer groups these days are expected to offer their employees a comprehensive benefit package.  The key is to develop a benefit program with a diverse range of product at an affordable cost to both the employer and employee.

Large Group Service

We know that HR staff can get overwhelmed with the responsibilities of administrating an employee benefits program.  Truscott Benefits is dedicated to making that task as pain free as possible.  Your large group account comes with a dedicated sales professional and account manager.  All new products implemented into the benefit portfolio will come with complete training for your HR staff and employees. Assistance will be provided for all open enrollments and up to date supplies will be available for all new hires. 

Section 125 Cafeteria Plan:

A Cafeteria Plan is an employee benefit plan specifically authorized under Section 125 of the Internal Revenue Code.  By utilizing a Section 125 Cafeteria Plan an employer can provide their

employees the vehicle to affording employee benefits and realizing a substantial tax savings by "pre-taxing" deductions for these benefits. The employer benefits two fold as both the corporate tax burden and workers compensation premiums are significantly reduced.

How Do Cafeteria Plans Work?

Most employers offer a defined contribution in a dollar amount or percentage of health care premiums.  Each employee selects benefits from the Cafeteria Plan menu. Any premiums above the employer’s contribution will be paid for by the employee via payroll deduction. The redirected salary is not subject to Federal Income or Social Security (FICA) taxes! (A significant savings for both the employee and the employer.)

Allowable benefits include dependent care assistance (day care), uninsured medical expenses, employee paid medical, dental, vision, cancer and group life and disability premiums.

Employers are not required to pay Social Security (FICA) employment taxes on the gross amount of redirected salary.

Cafeteria Plans are traditionally designed and administered by a Third Party Administrator (TPA) for nominal fees. NOTE: This fee is waived for larger groups.