Can Pre-Tax HSA Contributions Give Your Company a Competitive Edge?

Modern employees who seek jobs focus on receiving meaningful benefits packages that enhance their financial security and health situation, besides personal wellness. Workers are currently seeking expanded benefits from their employers beyond earnings, as this workplace evolution presents organizations with both a challenge and an opportunity.

Employers should utilize HSA contribution pre tax arrangements as a strong tool that they currently underexploit. Employers who include HSA contributions to their benefits package before taxes can achieve payroll tax reduction while creating superior total compensation value for their employees at no additional cost.

Health Sphere’s Core360 program takes this concept even further. By combining the power of Section 125 with a fully managed Preventative Care Management Plan (PCMP) and Self Insured Medical Reimbursement Plan (SIMRP), Core360 offers a smarter, simpler, and more compliant way to deliver real benefits. More than just an HSA strategy, this is a fully integrated solution for modern employers.

What Is a Pre-Tax HSA Contribution?

We need to learn about HSA basics to see how it gains its competitive advantage. An HSA allows staff to deposit tax-free money into their health savings account to cover approved medical expenses. People with HDHP enrollment have access to these accounts, where they can take advantage of multiple essential advantages.

Contributions are made pre-tax, reducing taxable income.
Funds grow tax-free and roll over each year.
Withdrawals are tax-free when used for qualified medical expenses.

From the employer’s perspective, every HSA contribution pre tax reduces the company’s payroll tax obligations. The more employees participate, the greater the employer’s savings.

But while HSAs are valuable on their own, they become exponentially more powerful when they’re included in a comprehensive, automated platform like Core360.

Core360: Going Beyond Traditional Section 125 Plans

Many employers offer Section 125 cafeteria plans, which allow for pre-tax benefit deductions. However, Core360 is not a traditional Section 125 plan—it includes Section 125, but it also combines:

A Preventative Care Management Plan (PCMP), focused on proactive health engagement and outcomes.
A Self-Insured Medical Reimbursement Plan (SIMRP), offering enhanced financial protection and medical reimbursements.

The combined effects of tax-free funds and incentive-based programs create extensive coverage that requires no financial expense from either party.

Employer Benefits: Core360 Delivers More Than Tax Savings

For companies seeking to reduce expenses while enhancing employee retention and engagement, Core360 presents an unbeatable value proposition.

Here’s how Core360 gives your company a competitive edge:

Save ~$600/year per W2 employee
That’s $60,000 in annual tax savings for every 100 employees enrolled. These savings are generated through FICA payroll tax reductions from pre-tax contributions.
No out-of-pocket cost
Core360 is self-funded through employer tax savings, making it cost-neutral from day one.
Automated and fast implementation
With a 30–45 day rollout window and seamless coordination with over 50 payroll providers, Core360 requires minimal effort from internal teams.
Boost employee retention and performance
By offering more valuable, zero-cost benefits, employers see improved morale, reduced turnover (up to 60%), and higher productivity.
Immediate bottom-line impact
Core360 drives real savings from day one—no waiting period, no hidden fees, just measurable ROI.

Employee Benefits: Better Health, Better Paychecks

What makes Core360 so employee-friendly is that it enhances health coverage and financial well-being without reducing take-home pay. Most employees see a 3–4% increase in net paycheck value, equivalent to an additional $100 per month in their pockets.

Core360 employee benefits include:

$0 copay Telehealth
Access to doctors, nurses, wellness coaches, and behavioral health support anytime, day or night.
Mental health, wellness, and chronic care support
Integrated access to Mayo Clinic tools, including personalized dashboards and condition management.
Universal Life, Disability, and Critical Illness coverage
Financial security that extends beyond the basics, all included in the plan.
Spouse and dependent coverage
Benefits aren’t just for employees—they extend to family members as well.

With more than 70,000 employees already enrolled, Core360 is helping companies across industries transform their approach to health and financial benefits.

Compliance Without Complexity

One of the biggest concerns for HR teams and executives when implementing new benefits is compliance. With Core360, compliance is built-in and fully managed.

The program complies with all IRS, ACA, and DOL requirements and is designed to adapt as regulations evolve, ensuring you don’t have to worry about making costly mistakes or falling out of compliance.

You get a modern, automated, and compliant solution—without needing a team of legal experts to manage it.

Why Health Sphere?

At Health Sphere, we believe that better benefits should be simple, cost-free, and genuinely beneficial for everyone. Our mission is to help companies:

Improve employee well-being.
Reduce tax waste.
Deliver compliant, high-impact benefits.
Reach and support over 250,000 employees across the U.S.

Core360 embodies that mission. It was built for forward-thinking companies that want to do more without spending more—employers who understand that the real cost of outdated benefits isn’t just financial, it’s cultural.

The Bottom Line: Win-Win Benefits That Work

Offering HSA contribution pre tax options is no longer just a “nice to have.” When combined with the holistic structure of Core360, it becomes a strategic tool to:

Reduce employer tax liabilities
Improve employee satisfaction and financial well-being
Enhance recruitment and retention
Provide best-in-class care support with no copays or deductibles
Deliver measurable savings and impact in less than 45 days

If you’re still relying on outdated, fragmented benefits strategies—or trying to make sense of Section 125 plans on your own—it’s time to modernize.

Ready to Learn More?

Core360 by Health Sphere is already transforming the workplace experience for thousands of employers and employees across the country. If you’re ready to join them, we’re here to help you get started.

Talk with an expert today and explore how Core360 can give your business the edge it needs, without the cost or complexity.