Employee Benefits
The Benefits Bank: Flexible, Predictable, and Employee-Driven
What is a Benefits Bank?
A Benefits Bank allows employers to offer traditional benefits—such as accident coverage, disability insurance, hospital indemnity, and life insurance—in a non-traditional, employee-driven format. Rather than selecting a static package that may not suit everyone, the employer sets aside a fixed allowance for each employee to use toward a menu of voluntary benefit options. This empowers employees to tailor their coverage to fit their personal needs and life circumstances, whether that means protecting their family, covering out-of-pocket medical costs, or supplementing core insurance. At the same time, employers maintain full control over budget and benefit strategy, transforming what was once a rigid, expensive obligation into a flexible, predictable, and value-driven solution.
How It Works
Employer Sets the Budget: You fund a fixed annual amount per employee—say, $100, $250, or more per month—based on your budget and goals.
Employee Builds Their Own Package: Each employee can select from a menu of eligible ancillary benefits, such as accident coverage, hospital indemnity, critical illness, short-term disability, or supplemental life.
Use It or Lose It: Funds are used during open enrollment to personalize coverage. If employees don’t use it, the funds remain with the plan—no rollover risk to your bottom line.
Structured Simplicity: No back-end complexity. No budget creep. Just a clear line-item investment in retention, morale, and risk mitigation.
How does this fit in TEL?
✅ Tax Efficiency: Contributions can be pre-tax under Section 125, reducing payroll taxes for both employer and employee.
✅ Cost Control: You set the spend. Period. That’s financial discipline without sacrificing value.
✅ Employee Empowerment: Every dollar has purpose because every choice is personalized. Employees get what they actually want—nothing more, nothing less.
✅ Layer-Ready: Integrates cleanly alongside other Tax Efficient Layering components. Think of it as the lifestyle-focused complement to your financial and medical layers.
Benefits offered in the Bank
Accident
Pays cash for covered injuries like broken bones or emergency room visits, helping you with medical bills and everyday expenses while you recover.
Short-Term Disability
Replaces a portion of your income if you can’t work due to illness, injury, or pregnancy, helping you stay financially secure during recovery.
Critical Illness
Provides a lump-sum payment if you’re diagnosed with a serious illness such as cancer or heart attack, giving you money to use however you need.
Cancer Insurance
Delivers cash benefits specifically for cancer diagnosis and treatment costs, helping with expenses beyond regular health insurance.
Hospital Indemnity
Offers daily cash benefits for hospital stays, helping cover out-of-pocket costs like deductibles, copays, or lost income.
Life Insurance
Pays a death benefit to your loved ones to help cover expenses and provide financial support after your passing. Both Term and Whole Life are available.
The Tools Behind the Layers
Each TEL strategy has its own role. When layered, they multiply value.
Click Below to Examine each one.
Ready to Layer Up?
You’ve worked too hard to leave your financial future to chance. If you're ready to use the tools the ultra-wealthy have used for decades — and apply them to your business or household — let's talk.