Our client is a Technology company specializing in designing, scoping, implementing and supporting high-performance IT infrastructures for their clients. Prior to contacting Solid Business Solutions, our client outsourced payroll and HR functions to a national provider under a PEO arrangement and although they were not unhappy with the services they were receiving, they felt they were not receiving the assistance needed with a few key areas of their business. Key area #1; client was maintaining their own workers' compensation policy despite being covered under PEO's master policy incurring a duplicate charge for workers' compensation coverage. Key area #2; out of the approximate 30 employees, a majority of employees are highly compensated and interested in richer employee benefits than currently being offered. Employees were also interested in additional methods of lowering tax liabilities with optional tax-deferred methods such as Health Savings Accounts (HSA's).
Although our client was happy with a PEO arrangement, they did prefer to keep their own workers' compensation coverage and their current Broker. In addition, the client had a very low SUTA rate prior to entering into a PEO relationship and since they had very low turnover, preferred to remain under their own SUTA rate versus the PEO's. Based on this, Solid Business Solutions recommended our ASO Solution which allowed the client to maintain their current workers' compensation and retain their previous SUTA rate. Additionally, we recommended a combination of employee benefits which included a low deductible PPO with minimal out-of-pocket cost for the employees and a High Deductible Health Plan which was HSA eligible allowing the employees to participate in a tax-deferred savings account which they could use for qualified medical expenses as needed.
Our client reduced their current workers' compensation costs by half of what they were previously spending. The employees are now able to either participate in one of two very low annual out-of-pocket medical plans or choose a High Deductible Health Plan which can be paired with an HSA account allowing employees to make payroll deducted contributions to a tax-deferred Health Savings Account (HSA) account.Schedule Free Consultation