Launched as part of the Affordable Care Act in 1978, the SIMRP program has gone through recent changes that make it one of the best programs for companies of 5 or more W2 employees.

This is a federal program that allows qualifying companies to use the FICA dollars that they're already spending towards approved wellness programs for their employees. In the process, these companies and their employees are seeing amazing benefits:

• They're seeing some of their previous payroll spend dropping to their bottom line

• They're able to offer additional benefits to those same employees at no net increase in cost

• They're seeing reductions in workman's comp costs since these are calculated off those newly reduced payroll tax amounts

• They're seeing reduced claims on their group health plans, resulting in lower annual increased rates

• They're able to extend tier one wellness benefits to their employees, their spouses and children

• All of these benefits come with no net increase in costs and no required changes to their current programs

You should be asking yourself this:
"Why haven't I heard of this program before?"

There are a few reasons that you haven't"

Lack of awareness – Most small business owners and their accountants aren’t familiar with it.

Plan document required – It’s not something you can just do informally; you must set up a written plan.

Owner limitations – It works best when the owner’s spouse is an employee, or the business is a C-corp, since sole proprietors and S-corps have limitations on reimbursing owners directly.

Fear of audit – Some people avoid lesser-known deductions due to fear, even though this is perfectly legal when structured correctly.