The basic structure
The WIMPER program combines an employer-sponsored Section 125 cafeteria plan with a Section 105(b) self-insured medical reimbursement plan. The purpose is to create a properly documented employer program that can reduce taxable wages for qualifying elections and reimburse qualifying medical expenses.
The program is employer-owned and employer-run. It is evaluated alongside the employer’s existing medical plan, not as a replacement for that coverage.
Where the savings estimate comes from
The standard WIMPER projection is $1,119.20 in annual employer FICA savings for most enrolled employees. Employee-level savings can be lower above the applicable FICA wage-base cap. Employer totals depend on census, wages, elections, participation, payroll setup, plan design, and professional review.
That is why the next useful step is not a promise. It is a ProForma based on the employer’s actual data.
What employees receive
The program can include structured wellness support and supplemental health benefits. Exact benefits, eligibility, reimbursement rules, and employee communications must match the adopted plan documents.
What does not change automatically
Requesting a review does not change the employer’s medical plan, payroll, or benefits. Any implementation should proceed only after the employer and its payroll, tax, legal, and benefits professionals understand the proposed structure.
Sources
- 26 U.S.C. § 125, Cafeteria plans
- 26 U.S.C. § 105, Amounts received under accident and health plans
- 26 U.S.C. § 213, Medical and dental expenses
- 26 U.S.C. § 3121, FICA definitions
This page is educational and is not legal, tax, payroll, benefits, or plan-administration advice.