Fiscorex LLC | Section 125 & 105 Plan Administration
Section 125 & 105 Plan Administration

Payroll savings you can stand behind.

Fiscorex designs and administers IRS-compliant cafeteria plans that lower FICA liability for employers of every size — from small businesses to mid-market and enterprise-level teams — built on standard, time-tested Section 125 and Section 105 rules.

Fiscorex · Savings Estimate
Ref. §125–01
$800+ / employee / yr
Average employer FICA reduction for qualifying plans of 20+ employees.
Plan type§125 Cafeteria + §105 MERP
Cash-back structureNone — not used
Nondiscrimination testingAnnual
DocumentationReview-ready vault
IRS · DOL COMPLIANT · SECTION 125 · SECTION 105 ·
$800+
Average annual FICA savings per enrolled employee
20+
Minimum employer headcount for a qualifying plan
$0 net cost
Typical employer cost after payroll-tax savings offset the program
Services

Everything a compliant plan requires, administered end to end.

From initial design through annual testing — one team, one compliance record.

§ 125

Plan Design

Cafeteria plan architecture built around your wage bands, existing benefits stack, and headcount — engineered to hold up under IRS review from day one.

§ 105

Enrollment & Funding

Employee elections, pre-tax contribution routing, and medical reimbursement funding, handled end to end so payroll teams stay out of the weeds.

Review

Compliance & Reporting

Annual nondiscrimination testing, plan documentation, and a standing, indexed compliance record available on demand for any regulatory body.

Benefits

What employers and employees actually get.

Real healthcare value on the employee side, real payroll savings on the employer side.

For Employers

Lower cost, no disruption

  • Reduced FICA / payroll-tax liability on every enrolled employee
  • Typically $0 net cost — the program is designed to be funded by the savings it creates
  • No change to your existing broker, carrier, or health plan
  • Full compliance and regulatory review support included, not billed separately
For Employees

Real healthcare value, no cost to enroll

  • 24/7 telehealth access included at no extra cost
  • Prescription savings and coverage support
  • Keeps every benefit they already have — this sits alongside existing coverage
  • No premiums, no paperwork burden — enrollment is handled for them
Savings Calculator

Estimate your potential payroll-tax savings.

An illustrative estimate — your proposal will show exact figures for your team.

Illustrative estimate only, based on figures you enter. Actual tax outcomes depend on each employer’s specific payroll, plan design, and circumstances — your proposal will include exact numbers for your team.

Estimated Annual Savings
$40,000
Based on the figures entered
Employees enrolled50
Per-employee estimate$800
Net cost to employerTypically $0
About Fiscorex

Your compliance partner, not your cash-back vendor.

Fiscorex specializes in designing and administering IRS-compliant Section 125 cafeteria plans that unlock meaningful FICA savings for employers while delivering real healthcare value to employees.

We built our practice on the rules that were already sound — long before the IRS started scrutinizing wellness cash-back schemes — so every dollar saved is fully defensible under examination.

Read our approach
01
Regulatory-first designEvery plan is built to standard IRS Section 125 / 105 mechanics — no novel interpretations.
02
Regulator-ready by defaultDocumentation, amendments, and testing results are indexed and retrievable on request.
03
Boston-based, nationally licensedHeadquartered in Massachusetts, administering plans for employers across the country.
How It Works

The legal mechanics behind Section 125.

A proven statutory framework, applied in the same order for every plan we administer.

01

Section 125 Cafeteria Plan

Employees elect qualified benefits pre-tax, reducing gross wages subject to FICA for both employer and employee.

02

Section 105 Medical Reimbursement

Pre-tax dollars fund actual healthcare expenses, meeting IRS requirements for excludable benefits rather than taxable cash.

03

Nondiscrimination Testing

Plans undergo annual testing to confirm they do not disproportionately favor highly compensated or key employees.

04

Digital Compliance Vault

All plan documents, amendments, and compliance records are held in a secure, indexed repository for instant regulatory retrieval.

High-Impact Industries

Where compliant payroll reclassification delivers the most.

Workforce structure determines savings potential — these verticals see it first.

Vertical 01

Manufacturing & Logistics

Compounds savings by lowering both standard FICA obligations and heavily burdened workers’ comp classifications.

Vertical 02

Construction & Skilled Trades

A high-value recruitment and retention lever for field workers, while mitigating steep trade-based payroll liabilities.

Vertical 03

Healthcare & Hospitality

Lowers operating costs across high-turnover workforces with instant-access virtual care, at no added benefit budget.

Frequently Asked

Questions we get before signing.

The Fiscorex Section 125 plan combines a pre-tax payroll contribution under IRS Section 125 with a Section 105 medical reimbursement arrangement that reimburses employees for eligible Section 213(d) medical expenses. Because the contribution is made pre-tax, it can reduce the wages subject to FICA, which may lower an employer’s payroll tax costs. The plan is administered to meet IRS substantiation and nondiscrimination requirements, and employees complete at least one qualifying wellness activity each year. Actual tax outcomes depend on each employer’s circumstances.

The program is designed to be funded by the payroll-tax savings it creates, so eligible employers can typically offer it to employees at $0 net cost. Your proposal shows the exact figures for your team before you commit; actual outcomes depend on each employer’s circumstances.

No. This program operates as a standalone supplement that sits alongside your existing coverage — employees keep everything they have and gain additional benefits. There is no plan switching, and you keep your current broker and carrier relationships.

Yes. The program is designed and administered to comply with applicable requirements under IRS Sections 105, 106, 125, and 213(d). Our administrators provide comprehensive compliance and regulatory review support to help ensure participating employers meet applicable IRS requirements.

Most employers move from initial assessment to a live plan within one full payroll cycle. Timeline depends on plan complexity, existing benefits integration, and enrollment scheduling.

Get In Touch

Schedule a confidential compliance assessment.

Tell us about your workforce and current benefits structure — we’ll return a defensible savings estimate before you commit to anything.

Phone(888) 493-2881
OfficeBoston, Massachusetts
Intake · Compliance Assessment
Ref. §125–IN
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