The following calculation will help you determine, on average, how much in FICA taxes your company will save by offering a Section 125 Flexible Spending Plan to your employees.

Enter the total number of employees in your company and click 'calculate' to see the results based on the pre-filled percentages and dollar amounts. You can also update the percentages and/or dollar amounts to reflect your personal projections.

Total Number of Employees
Average % of employees that participate in a medical FSA plan
Average # of medical FSA participants
Average annual election per participant
Total FSA contributions
Average % of employees that participant in a daycare (DCA) plan
Average # of DCA participants
Average annual election per participant
Total DCA contributions
Total Plan contributions (medical FSA and DCA)
Total FICA savings - *7.65%

*Under the Federal Insurance Contributions Act, 15.3% of an employee's earned income must be paid in taxes for Social Security and Medicare. As an employer, you are responsible for half that amount (7.65%). As the employee's tax burden is reduced, so is the employers.