It's April 2026 and you're paying $10K to $15K/year for health insurance but you have to earn $13K to $20K just to cover that bill. (solution below)
The enhanced ACA premium tax credits for marketplace coverage expired at the end of 2025 [source: congress.gov]
We connect your small business to a Professional Employer Organization so you can access Fortune 500 health plans with pre-tax premium treatment at a flat fee of $75-150/month per person.
“Moving small businesses from retail premiums to pre-tax corporate infrastructure.”
If you or your business is outside a PEO, you’re buying health coverage at full retail price, with after-tax dollars, and no subsidy protection above $62,600 in income. Large corporations shelter premium costs pre-tax. We connect you to that same infrastructure: Group rates, pre-tax treatment, zero cliff risk. The leak stops.
The Structure Is Called a Professional Employer Organization.
The Tax Reality: You are currently priced as an individual. You pay income tax, then FICA, then your premium. Corporations pay premiums before taxes through Section 125 plans.
The Legal Mechanism: A PEO uses “co-employment.” You legally group your staff with a massive organization, placing you inside their master health contract and shifting the payroll tax liability to their infrastructure.
The USA OPS Difference: Traditional PEOs charge a percentage of your payroll (penalizing your growth) and require 50+ employees. We secured a flat $150/month rate for teams as small as one.
Two Situations. One Structure. Read Yours
Single LLCs & Independents
One Professional. Netting $100K+
You manage your own books, write off every legitimate expense you can, and navigate your own health insurance on the retail market. You are likely deducting your premiums using the self-employed health insurance deduction, hoping the IRS doesn’t audit the mechanics of your S-Corp setup. We move you out of the retail market and into a corporate master pool, securing your pre-tax deduction flawlessly.
Founders & Owners with W-2 Payroll
Managing 2 to 25 Employees.
You carry the responsibility for your crew. You are running W-2 payroll through standard software like Gusto or Intuit, but you are getting crushed by small-group health renewals and January workers’ comp deposits. You are paying retail rates because your risk pool is 10 people instead of 100,000. We move your exact team into a Fortune 500 risk pool, dropping your premiums and eliminating workers’ comp deposits entirely.
What You Actually Get for Health Coverage
Current situation (buying on your own):
- Age-rated premiums (a 58-year-old pays 3x what a 28-year-old pays)
- Community-rated by zip code (expensive markets = expensive premiums)
- Small-group or individual market plans (narrow networks, high deductibles)
- After-tax dollars (you lose 30–40% to taxes before paying the premium)
Through the PEO’s large-group plan:
- Composite-rated (everyone pays the same rate regardless of age)
- Master group contract (pooled with 150,000+ employees for actuarial stability)
- Tier-1 national carriers with broad PPO networks
- Pre-tax dollars through Section 125 (saves 30–40% immediately)
Real Example:
A 52-year-old consultant netting $150K currently pays $1,100/month for an individual Silver plan with a $6,000 deductible and a narrow HMO network. That’s $13,200/year in after-tax dollars.
Through the PEO’s large-group PPO, the same person pays $850/month (composite rate) with a $3,500 deductible and national network access. The $850 is deducted pre-tax, meaning the actual cost after tax savings is roughly $550/month, or $6,600/year. See the Calculator
Result: $6,600 in annual savings + $2,500 lower deductible + broader network = better coverage at half the cost.
Fixed Transparent Pricing
$150 Per Person. Per Month.
No Percentage of Payroll. No Hidden Tiers.
Traditional PEOs charge 2% to 12% of your payroll. If you net $150,000 and they charge 4%, you pay $6,000/year before accessing a single benefit. At 8%, that’s $12,000. At USA OPS, the base rate is $150/month per person ($1,800/year for a solo operator), and you add only what you actually use.
What $150/month includes:
- Payroll processing + quarterly tax filing (941s, W-2s, state filings)
- Access to large-group PPO health plans (tier-1 national carriers, composite-rated)
- Workers’ compensation (pay-as-you-go, no deposits, no year-end audits)
- HR support by phone (termination guidance, compliance questions, employee disputes)
- Employment Practices Liability Insurance (EPLI coverage typically $3,000–$8,000/year when purchased separately)
Optional add-ons (you choose what you need):
401(k) Retirement Plan - Optional
- Solo operators: $620/year
- Groups of 2+: $2,100 base + $120/person + 1% annual management fee
- Shelter up to $23,500 annually (vs. $7,000 IRA limit)
- Or bring your own self-managed 401(k) no requirement to use the PEO’s plan
Dental Coverage - Optional
- Single: $20/month
- Employee + Spouse: $42/month
- Employee + Children: $43/month
- Family: $68/month
Group Health Plan Options
- Annual Deductible: $1,000
- Out-of-Pocket Max: $5,000
- Primary Care Copay: $20
- Specialist Copay: $40
- Pharmacy: $15 Generic / $45 Brand
- Annual Deductible: $3,500
- Out-of-Pocket Max: 7,350
- Primary Care Copay: $45
- Specialist Copay: $90
- Pharmacy: $15 Generic / $65 Brand
- Annual Deductible: $7,500
- Out-of-Pocket Max: 7,350
- Primary Care Copay: $50
- Specialist Copay: $100
- Pharmacy: $15 Generic / $65 Brand
Who We Serve
Solo Operators
Sole Props and Single-Member LLCs
Need an S-Corp election before the structure is fully active. This is a standard IRS tax classification filing not a change in ownership or how you run the business. Most CPAs complete it in a few weeks. If you’re unsure whether you need it, the 20-minute call answers that first.
Existing S-Corps
Already Structured Correctly
If you’re already running payroll through an S-Corp, you can typically be inside the PEO structure within 30 days of completing the qualification process. No entity change required.
Small Teams
5 to 25 W-2 Employees
The structure works for any business with W-2 employees, not just solo operators. The health coverage, workers’ comp, and SUTA rate stabilization are where teams see the largest immediate financial impact.
Larger Teams
10 to 75 People
The $150 flat rate holds as the starting point. For teams at this scale there is flexibility on the fee structure and the math gets more favorable as headcount increases. Run the calculator or book the call for your specific numbers.
We work with solo operators and small teams (1–25 employees) who net $100K+ and need Fortune 500 infrastructure without Fortune 500complexity.
Our High-Earning Business Owners
Fractional CFOs, COOs, CMOs
You bill $150–$300/hour, net $150K–$300K, and pay $1,200+/month for retail health coverage. You optimize clients’ tax structures but you’re still paying for benefits like a W-2 employee who left corporate. We fix that.
Independent Consultants & Strategy Advisors
Management consulting, operations, process optimization you run a one-person high-margin business netting $120K–$250K. The ACA subsidy cliff just turned your health premium into a $15K+ annual tax bill. We route it through Section 125 and cut that in half.
Solo Attorneys & Legal Consultants
You left the firm to go solo or of-counsel. You’re netting $150K–$300K but paying retail health rates and handling your own payroll compliance. We give you the liability protection (EPLI), pre-tax benefits, and compliance infrastructure you had at the firm without the firm.
Concierge Doctors, Therapists, Dietitians
You help people with their health but you’re stuck with terrible health insurance yourself. Private practice nets you $120K–$250K, and you’re paying $1,000+/month for narrow-network HMO coverage. As a healthcare professional, you know this is broken. We fix it.
Small Agencies & Creative Firms
Marketing, dev, design, PR you run a 2-to-10 person team with strong margins, but small-group health premiums and workers’ comp deposits are killing your cash flow. You want to offer real benefits to keep your best people, but the retail market makes that impossible. We unlock Fortune 500 rates.
Remodeling Contractors
The Math Explained
Run the calculator to see your numbers. Then read the breakdowns below to understand where the savings comes from.
The FICA Leak: The Hidden Tax on "Retail" Insurance
The Question: I’m paying $1,100/month for health insurance. Why does it feel like more?
The Reality: On the ACA marketplace, you pay premiums with “expensive” dollars. You earn income, the IRS takes Federal tax, then they take 7.65% in FICA (Social Security/Medicare). Only what’s left goes to your premium. Even if you take the self-employed health insurance deduction, it only saves you income tax—it does zero to stop the FICA hit.
The Math: A consultant paying $1,100/mo ($13,200/yr) loses an additional $1,010 in dead FICA tax just for the privilege of paying their bill. Through a PEO, that premium is deducted before FICA is calculated. You stop paying the IRS a fee to pay your insurance carrier.
Solo Operators: Age-Based vs. Composite Rates
The Question: How much does a 52-year-old actually save?
The Reality: In the retail market, you are age-rated. A 52-year-old pays significantly more than a 28-year-old for the exact same network. You are currently paying roughly $14,210 annually when you factor in taxes and premiums for a high-deductible HMO.
The PEO Pivot: *Composite Pricing: Inside a PEO master plan, age is irrelevant. Everyone in your tier pays the same rate.
- Pre-Tax Shield: Your $850/mo premium is deducted pre-tax (Section 125).
- The Result: Your true annual cost drops to $6,600. You save over $5,000/year while gaining a $2,500 lower deductible and a national PPO network.
W-2 Teams: Plugging the Cash Flow Drain
The Reality: Small teams are hit with a “complexity tax.” You’re likely paying retail small-group rates, separate payroll fees, and massive upfront Workers’ Comp deposits.
The PEO Pivot: *Consolidation: Your payroll, HR, and large-group health are bundled into a flat $150/person fee.
- Capital Recovery: We eliminate the $10,000–$15,000 upfront Workers’ Comp deposit and replace it with real-time, pay-as-you-go billing.
- The Result: A 3-person team typically sees $9,000+ in annual premium savings plus the immediate return of their tied-up working capital.
The Leverage Gap: Risk Pool Mechanics
The Question: Why are group rates so much cheaper?
The Reality: It isn’t about “shopping better”—it’s about the size of the room you’re sitting in.
- Retail Market: You are in a tiny pool. If one person has a health event, your rates spike. You have zero leverage.
- PEO Master Plan: You are pooled with 250,000+ employees. A single high-cost member has zero impact on the aggregate rate. You are accessing Fortune 500 volume discounts that simply aren’t available to a standalone small business.
Workers' Comp: Ending the "Interest-Free Loan"
The Question: What’s the catch with deposits and audits?
The Reality: Standalone carriers force you to “guess” your payroll and pay a 25% deposit upfront. That is your cash sitting in their account for 12 months. Then, they audit you at year-end and send a surprise bill if you grew.
The PEO Pivot: Workers’ comp is calculated on actual payroll in real-time. No guess, no deposit, no audit. Your cash stays in your operating account where it belongs.
SUTA Stability: Shielding Your Payroll from Spikes
The Question: How bad is an Unemployment (SUTA) tax spike?
The Reality: One “bad hire” who files for unemployment can cause your state tax rate to jump from 1.5% to 5.0%. That penalty applies to every person on your payroll for the next three years. For a 5-person team, that’s a $6,000+ unforced tax bill.
The PEO Pivot: Your team is absorbed into a massive pool. A single claim creates zero measurable impact. You hire and fire based on business needs, not fear of a tax penalty.
The 2026 ACA Cliff: Why Income is a Liability
The Question: What changed in 2026?
The Reality: The “Enhanced Credits” that lowered marketplace premiums expired at the end of 2025.
- The Cliff: If your family earns $1 over the threshold, you lose 100% of your subsidies. A $1 raise could cost you $15,000 in premiums.
- The Clawback: Repayment caps are gone. If you underestimate your income, the IRS will claw back every dollar of subsidy at tax time—with no limit.
The PEO Pivot: Your premiums are fixed to the group pool, not your personal income. You can earn $500k without your health insurance costs moving an inch.
Bottom Line Comparison
| Feature | Retail/Small-Group Market | USA OPS (PEO Structure) |
|---|---|---|
| Tax Treatment | After-Tax (FICA + Income Tax hit) | Pre-Tax (Section 125 Shield) |
| Pricing | Age-Rated & Individual | Composite-Rated & Group |
| Network | Narrow HMO / Local | National Tier-1 PPO |
| Workers' Comp | Upfront Deposits & Audits | Pay-As-You-Go ($0 Deposit) |
| Liability | You carry 100% of HR Compliance | Co-Employment Liability Shift |
| Cost Basis | Percentage of Payroll (ADP/Gusto) | Flat $150/mo Infrastructure Fee |
Ready to see your specific numbers?
The calculator will tell you if the math works for your specific entity and income level. We don’t take clients where the structure doesn’t deliver a definitive net-win.
Calculate Your Numbers. Book Time. No Commitment.
We pull up your calculator results, confirm the math is accurate for your specific situation, and walk through what the first 30 days look like. If this structure doesn’t make financial sense for you, we’ll say that on the call. We’d rather you know upfront than find out after the paperwork starts
- No sales team and no handoff after the call
- Calculator results reviewed before the call
- If the math doesn’t work, you’ll see it instantly