The CHAMP Plan™

The Plan Where Everyone Wins
Why champ? the overview
What CHAMP Does for Employers
Enhanced Benefit Offering
✓ Supplemental
✓ Standalone (<50 FTE)
✓ Financial impact
Zero Plan Disruption
✓ Retain existing coverage
✓ Easy implementation
✓ Front-line benefit - Redirect
Bottom Line
Impact
✓ Combat Rising Healthcare
✓ Employees pay goes up
✓ Employers save on FICA
Stronger Retention
✓ Remove barriers to care
✓ Life-style friendly
✓ Families Benefit as well
health benefits - The overview
What CHAMP does for your Employees
All $0 Out of Pocket Legend: ■ Employee Only ■ Employee + Family
PCP & Urgent Care
✓ In-person Benefits
✓ Nationwide Network- 1st Health
✓ Preventative Care
Blood Lab Testing
✓ At Home Kit
✓ Multiple Comprehensive Panels
✓ No Lab Visit Required
Lifestyle Content
✓ Personalized Health Content
✓ Activities Completed in App
✓ Monthly Reminders in App
Virtual Primary Care
✓ On Demand - 7 Minute Visits
✓ Scheduled Visits, if Preferred
✓ Ongoing PCP Access
Formulary/Rx
✓ Over 600 Covered Medications
✓ 70,000+ Pharmacies
✓ $0 Cost or Highly Discounted
Virtual Mental Care
✓ Licensed Therapist
✓ Peer-to-Peer - 24/7
✓ AI Companion - Bella -24/7
Vitals Scanning
✓ 30-seconds
✓ FDA Approved
✓ Holistic View
Virtual Vet Care
✓ Licensed Vet
✓ 24/7 Chat
✓ 4 Virtual Appts.
health benefits - employee only
What CHAMP does for your Employees
All $0 Out of Pocket Legend: ■ Employee Only
PCP & Urgent Care
✓ In-person Benefits
✓ Nationwide Network- 1st Health
✓ Preventative Care
Blood Lab Testing
✓ At Home Kit
✓ Multiple Comprehensive Panels
✓ No Lab Visit Required
Lifestyle Content
✓ Personalized Health Content
✓ Activities Completed in App
✓ Monthly Reminders in App
health benefits - employee + family
What CHAMP does for your Employees
All $0 Out of Pocket Legend: ■ Employee + Family
Virtual Primary Care
✓ On Demand - 7 Minute Visits
✓ Scheduled Visits, if Preferred
✓ Ongoing PCP Access
Formulary/Rx
✓ Over 600 Covered Medications
✓ 70,000+ Pharmacies
✓ $0 Cost or Highly Discounted
Virtual Mental Care
✓ Licensed Therapist
✓ Peer-to-Peer - 24/7
✓ AI Companion - Bella -24/7
Vitals Scanning
✓ 30-seconds
✓ FDA Approved
✓ Holistic View
Virtual Vet Care
✓ Licensed Vet
✓ 24/7 Chat
✓ 4 Virtual Appts.
health benefits - The overview
What CHAMP does for your Employees
All $0 Out of Pocket Legend: ■ Employee Only ■ Employee + Family
PCP & Urgent Care
✓ In-person Benefits
✓ Nationwide Network- 1st Health
✓ Preventative Care
Lifestyle Content
✓ Personalized Health Content
✓ Activities Completed in App
✓ Monthly Reminders in App
Blood Lab Testing
✓ At Home Kit
✓ Multiple Comprehensive Panels
✓ No Lab Visit Required
Virtual Primary Care
✓ On Demand - 7 Minute Visits
✓ Scheduled Visits, if Preferred
✓ Ongoing PCP Access
Formulary/Rx
✓ Over 600 Covered Medications
✓ 70,000+ Pharmacies
✓ $0 Cost or Highly Discounted
Virtual Mental Care
✓ Licensed Therapist
✓ Peer-to-Peer - 24/7
✓ AI Companion - Bella -24/7
Vitals Scanning
✓ 30-seconds
✓ FDA Approved
✓ Holistic View
Virtual Vet Care
✓ Licensed Vet
✓ 24/7 Chat
✓ 4 Virtual Appts.
CHAMP PLAN FUNDING
Funding, Where Everyone Wins
section 125
Built on a 45-Year-Old IRS Rule - 125

Est.1978, Section 125 is a benefit the IRS designed for working Americans.
two part plan
The CHAMP Plan Has Two Core Parts
Designed to work together — saving taxes and delivering real benefits.
PART 1
Minimum Essential Coverage
Pre-Tax
A qualifying health benefit through Section 125 of the IRS, that reduces taxable income.
$(1,200) Pre-Tax Deduction
PART 2
Indemnity Payment
Post-Tax
A fixed cash indemnity benefit paid directly to the employee 's paycheck as a non-taxable payment.
+$1,010 Tax-Free Earnings
Together, these two components reduce taxes and increase take-home pay.
Employees will see these on their paycheck
Part One
The Pre-Tax Deduction ($1200)
Minimum Essential Coverage (MEC) — Components:
Qualifying Employer-Sponsored Health Component

Section 125 Pre-Tax Structure

Reduction of Taxable Income

Within the CHAMP plan, $1,200 is removed from taxable wages before taxes are calculated.

Important Clarification
  • This does NOT mean the employee loses $1,200 in spending power.
  • It means that portion is being redirected through a qualified benefits structure instead of being fully taxed as ordinary income.
Part Two
The Post-Tax Indemnity Benefit + $1010
Tax-Free Earnings Through CHAMP Participation
Fixed Indemnity Benefit
Tied to engaement in the employee's monthly activity
Tax-Free Earnings
Structured as tax-free earnings to the employee
Participating employees receive $1,010 back as a tax-free CHAMP benefit.
funding summary
Summary of Funding Structure

The Bottom Line
The employee:
-Lowers taxable wages on the front end
-Receives a tax-free CHAMP benefit back
-Often still increases overall take-home pay — even after funding the CHAMP plan benefits.

Key Concept
These two components are what create the tax efficiency inside the CHAMP model.
employee's cost
How CHAMP Works
$1,200
Pre-Tax Reduction
Removed from Taxable Income (Part 1)
$1,010
Non-Taxable CHAMP Benefit
Earned Tax-Free (Part 2)
$190
Net Cost Total out-of-pocket per month Funded Through Tax Savings

Before CHAMP
Your Employee's Paycheck Before CHAMP
Taxed on Everything They Earn Nothing reduces their taxable income
Monthly Income
$4,000

Taxes Paid
$(810)

Take-Home Pay
$3190
After CHAMP
Your Employee's Paycheck After CHAMP
Taxable Income Reduced through Section 125
Monthly Income
$4,000

Taxes Reduced to
($508)

CHAMP Plan
($190)

*Funded by Tax Savings
Take-Home Pay
$3,302
employee impact
Savings at Glance
Monthly Pay Increase AFTER Funding Plan
$112

Taxes Saved
$302
CHAMP Employee Net Cost
$(190.00)
Employer Impact
Immediate Payroll Tax Savings
Employers save on reduced matching FICA taxes the moment CHAMP is implemented.
Gross FICA Savings
$91.80 -
7.65% × $1,200 pre-tax deduction
CHAMP Program Cost
$(44.00) =
Per employee per month
Net Monthly Savings
$47.80 or
After funding the plan
Annual Savings
$573+
Per employee, per year

ANNUALIZED SAVINGS
Annualized Savings by Team Size
10 Employees
$5,736/yr
10 × $47.80 × 12
50 Employees
$28,680/yr
50 × $47.80 × 12
100 Employees
$57,360/yr
100 × $47.80 × 12
champ billing
What You Send to Champion Health
Monthly Bill Cycle
$190
Employee Funded Portion
Employee Withholdings
Would have been paying in wages, but now redirected
+
$44
Employer Sponsored Portion
Administrative Cost
Comes directly from your $97.80 savings
↓
$234 Sent to Champ Per, Enrolled Employee Per Month, Billed in Arrears
qualification
Does your Organization Qualify?
&
How much will your Employees Save?
Next step
Payroll Savings Report
To calculate your savings, just send ONE pay period of payroll data.
Gross Pay
Total earnings before any deductions
Employee Taxes
Federal, state, Social Security, Medicare — broken out separately
Employee Deductions
Health insurance, 401(k), and any other benefit deductions — itemized
Net Pay
Final take-home pay after all taxes and deductions

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The CHAMP Plan™

The Plan Where Everyone Wins