You Already Provide Health Coverage
Hawaii is the only state with a Prepaid Health Care Act (HPHCA) that requires employers to provide health insurance to employees working 20 or more hours per week. This means you are already making the investment in employee health coverage.
Most states do not have this requirement. Hawaii employers carry a cost that mainland competitors often do not. The WIMPER program helps you recapture some of that investment through FICA tax recovery.
How WIMPER Layers On Top
The WIMPER program does not replace your existing health plan. It does not modify your HPHCA-compliant coverage. It layers a compliant Section 125/105 structure alongside what you already have.
Here is what that looks like in practice:
- Your existing health plan stays exactly as it is. No changes to carriers, premiums, or employee coverage.
- A Section 125 cafeteria plan is added, allowing employees to make pre-tax contributions that reduce taxable wages.
- A Section 105(b) SIMRP is established to reimburse qualifying medical expenses tax-free.
- Both you and your employees save on FICA taxes. Estimated employer recovery is approximately $1,120 per enrolled employee per year. This is an estimate that varies with payroll, salaries, and participation; request a ProForma for figures based on your actual data. Employees keep more of their paycheck.
The Math for Hawaii Employers
Hawaii’s cost of living is among the highest in the nation. Every dollar matters when you are running a business here. The table below is an illustrative estimate of what FICA recovery could look like at different company sizes. Actual figures depend on your payroll, salaries, and participation, which vary; the ProForma produces numbers based on your actual data.
| Employees | 80% Participation | Estimated Annual FICA Savings |
|---|---|---|
| 25 | 20 enrolled | $22,400 |
| 50 | 40 enrolled | $44,800 |
| 100 | 80 enrolled | $89,600 |
| 250 | 200 enrolled | $224,000 |
| 500 | 400 enrolled | $448,000 |
These are illustrative employer-side estimates that assume 80% participation and an average per-employee figure; your results will vary. Employees also see reduced FICA on their end, increasing take-home pay without any cost to you.
Authorized Hawaii Implementation Partner
WIMPER Hawaii is the authorized Hawaii implementation partner for WIMPER Institute, the national authority on employer FICA recovery programs. WIMPER Institute provides the educational foundation and compliance framework. WIMPER Hawaii helps local employers apply that framework through Brandon and the Hawaii implementation path.
This is not a mainland call center. When you have questions, you work through Brandon and a process built around Hawaii employer facts.
Compatible With Your Existing Systems
The WIMPER program integrates with the payroll systems Hawaii employers already use:
- ADP
- Paychex
- QuickBooks
- Gusto
- Hawaii Payroll Services
- And most other modern payroll platforms
Implementation takes 30 to 45 days. A test payroll cycle validates everything before go-live.
Your Plan, Not Ours
The WIMPER program is employer-owned and employer-run. This is not a vendor subscription or a managed service that you depend on. You own the plan. You run it. Brandon helps you set it up and keeps the compliance paperwork clean. But the plan, the savings, and the control belong to you.
That is the difference. This is not something being sold to you. It is something you build into your business.
Ready to see your numbers? Request a ProForma based on your company’s actual payroll data.
Sources
- State of Hawaii Department of Labor and Industrial Relations, About the Prepaid Health Care Act. Used for Hawaii’s status as an employer-mandate state and the 20-hour-per-week coverage requirement.
- Internal Revenue Code, 26 U.S.C. § 125, Cafeteria plans. Used for the Section 125 cafeteria plan mechanism.
- Internal Revenue Code, 26 U.S.C. § 105, Amounts received under accident and health plans. Used for the Section 105(b) self-insured medical reimbursement framework.
- Internal Revenue Code, 26 U.S.C. § 3121, Definitions (FICA). Used for the FICA wage-base background underlying the savings discussion.
- IRS, About Publication 15-B, Employer’s Tax Guide to Fringe Benefits. Used for cafeteria plan and qualified benefit background.
This page is educational information about employer benefit programs, not legal, tax, payroll, or plan-administration advice. The savings figures and table shown are estimates that depend on each employer’s payroll, salaries, and participation, which vary; request a ProForma for figures based on your actual data. Employers should confirm how any program applies to their specific facts with their own qualified tax and legal advisors.