Business Tax Strategy · ProfitGuard Plus
The ProfitGuard Plus
Education Center
Everything we teach owners about ProfitGuard Plus, in one place. Learn how it works, who it fits, and how to check it for yourself. Read first. Decide when you are ready. When you want your own number, the estimator and Anthony's calendar are one click away.
Quick answer
- ProfitGuard Plus is a payroll-tax and benefits structure for employers with W-2 employees.
- It lowers the employer's FICA bill by about $600 per employee per year, and the saving repeats every payroll.
- Each participating employee takes home about $40 to $80 more per paycheck, with no change to gross pay.
- Employees also get free preventive care: telehealth, mental health support, care navigation, and chronic condition support.
- Put together, the value is about $2,000 per employee per year: about $600 in payroll tax savings plus about $1,400 in preventive care benefits.
- It is not a new cost. It comes out of payroll taxes the business already pays.
- It is built on four long-standing sections of the tax code: 125, 106(a), 105 (the SIMRP), and 213(d).
- Reimbursement runs through a Self-Insured Medical Reimbursement Plan, never back through the cafeteria plan. That is the line copycat programs crossed.
- Two gates decide who qualifies: full-time W-2 employees earning about $17,000 or more a year, and major medical coverage somewhere for each employee.
- Plan documents are written and reviewed by CPAs and ERISA attorneys before any plan goes live.
Pick the question you have
Each page answers one thing. Start anywhere.
Start here
Who needs ProfitGuard Plus
The two gates, the employer types that usually fit, and who it is not for.
The numbers
What it costs and what it saves
The $600 + $1,400 = $2,000 per employee stack, with worked examples for 25 and 100 employees.
The skeptic's page
Is it legal? The double-dipping line
Why half of these programs got shut down, what makes this one different, and the questions to ask before you sign.
The law
The tax code behind it
Sections 125, 106(a), 105 and 213(d), each explained, with links to the statute text.
Partners
For CPAs and payroll providers
How the plan shows up on payroll, the questions you will ask, and how to refer a client.
Ten questions owners type, answered
Short pages. The answer is in the first paragraph, and each one links to the longer read.
Answer
Is a Section 125 Preventive Care Plan Legal?
Yes, when it is built the way the code requires.
Answer
How Much Does an Employer Save Per Employee With ProfitGuard Plus?
About $600 per employee per year in payroll tax, every payroll, plus about $1,400 in preventive care benefits the employee receives.
Answer
What Is a SIMRP?
A written plan under Section 105 that lets an employer reimburse employees for real medical care without it counting as income.
Answer
Why Are Activity Based Wellness Plans Not Compliant?
If a plan pays employees for doing something each month, that payment is not a reimbursement for medical care and the tax treatment does not follow.
Answer
Why Are Indemnity Products Not Compliant in a Preventive Care Plan?
A fixed indemnity policy is not banned.
Answer
What Does ProfitGuard Plus Cost the Employee?
Nothing out of pocket.
Answer
What Happens at Tax Time With ProfitGuard Plus?
For the employee, nothing new to file: lower taxable wages and a reimbursement that is not income.
Answer
Who Qualifies for ProfitGuard Plus, and Who Does Not?
Two gates: full-time W-2 employees earning about $17,000 or more a year, and major medical coverage somewhere.
Answer
How Long Does ProfitGuard Plus Take to Set Up?
About 30 to 45 days.
Answer
What Happens If the IRS Looks at ProfitGuard Plus?
You show the plan documents.
Answer
SIMRP, FICA Savings Plan, Wellness Plan: Are They the Same Thing?
Four names for the same structure.
Answer
FICA Savings Plans for School Districts and Municipalities
Public employers run W-2 payroll and pay the same employer FICA.
Answer
How to Compare Payroll Tax Savings Programs for W-2 Employers
Six questions that separate a plan that holds up from one that does not, and what a good answer sounds like.
Answer
What to Look For in a SIMRP Provider
What a Self-Insured Medical Reimbursement Plan provider should hand you before you sign: plan documents, the code sections, and a mock payroll.
Answer
How a Small Business Lowers Payroll Taxes With a Section 125 Plan
A smaller employer pays the same employer FICA per head.
Go deeper
The longer reads, the owner's page, and the podcast.
Article
ProfitGuard Plus and the SIMRP
The deep dive on the Self-Insured Medical Reimbursement Plan and why the structure holds up.
Page
The full ProfitGuard Plus walkthrough
The owner's page: the mechanism, the savings, eligibility, and the free 4-PDF owner's bundle.
Blog
Lower your payroll taxes, raise your team's pay
The blog post, with the podcast episode on payroll tax embedded.
Listen
Before You Sign, the podcast
Short episodes on the decisions owners and families face, including payroll tax.
How we work
Ten Point Financial Group educates first. We show you how the structure works and where the value comes from, and we loop in your CPA on the specifics. You decide. When it fits, we coordinate with your payroll provider and handle the plan documents, so the lift on your side stays light.
ProfitGuard Plus
What is your payroll worth?
Most W-2 employers pay more payroll tax than they have to. Enter your employee count and see the value your business could unlock, before you give us a single detail.
Frequently asked questions
What is the ProfitGuard Plus Education Center?
It is one place to learn how ProfitGuard Plus works before you talk to anyone. Each page answers one question: who it fits, what tax code it sits on, whether it is legal, what it costs and saves, and what a CPA or payroll provider needs to know. Read what you need and skip the rest.
What is ProfitGuard Plus in one sentence?
It is a payroll-tax and benefits structure for W-2 employers that lowers the employer's FICA bill, raises each employee's take-home pay, and adds free preventive care, with no change to gross pay.
How much is it worth per employee?
About $2,000 per employee per year in combined value. That is about $600 in employer payroll tax savings plus about $1,400 in preventive care benefits for the employee. Your exact number depends on your payroll.
Where should I start?
If you are an owner, start with Who Needs ProfitGuard Plus, then What It Costs and What It Saves. If you are skeptical, start with Is It Legal. If you are a CPA or payroll provider, the partner page is written for you.
Is any of this tax or legal guidance for my business?
No. Every page here is education. Your CPA is the one who signs off on your specifics, and we work alongside them, not around them.
This is education, not tax or legal advice. Actual savings vary by payroll structure, participation, and state and local tax. Talk to your CPA about your specifics before you decide. ProfitGuard Plus is a marketing name for a structure built on IRS code sections 125, 106(a), 105, and 213(d).
See your ProfitGuard Plus number
Enter your W-2 headcount and see the combined value first. Then we'll run your exact numbers. You can also read the full walkthrough on the ProfitGuard Plus page or call +1 (586) 899-1003.
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