Case Study · Nationwide Hospice Care · Multi-state

Affinity Hospice — Multi-State, CBIZ-Vetted, $140K+/Year in Savings

CFO Ariel Joudai is a practicing CPA. Before enrolling his nationwide hospice organization, he commissioned CBIZ Advisors LLC — a top-7 U.S. accounting firm — to independently review the program against IRC §§ 125, 105, 106, ERISA, ACA, and COBRA.

Annual savings
$140K
reported per year
Notes
  • · Multi-state organization
  • · CBIZ independently vetted
  • · CFO is a CPA
IRS Section 125 — Federal Law Since 1978
No New Insurance Required
No Changes to Current Benefits
ACA · ERISA · COBRA · HIPAA Compliant
Live in 30–60 Days

CBIZ conducted rigorous vetting and issued a letter determining that the plan qualifies as a cafeteria plan meeting the requirements of IRC Section 125.

Ariel Joudai, CPA, CFO, Affinity Hospice
What this case study tells you

The structure that produced this result

CBIZ's August 22, 2025 letter concluded the program satisfies the requirements of ERISA, the ACA, and COBRA when operated per its provisions. Ariel published the letter publicly in his testimonial — a level of disclosure that's atypical for a multi-state CFO and tells you what kind of confidence he had in the structure.

Hospice organizations are unusually clean fits for Section 125: large W-2 caregiver workforces, predictable payroll, and an existing focus on health benefits that complements the program's preventive-care wellness layer. The math is mechanical — every enrolled employee earning $25K+ produces $681.60/year in net employer FICA savings, and the program's wellness benefits package (24/7 telemedicine, free generic medications, dental savings) is genuinely valuable to caregivers.

Affinity's example is the clearest evidence brokers and CPAs ask for: a fellow CPA, on the buying side, commissioning a top-7 accounting firm review, then putting his name and his organization's on the public record after enrolling.

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The calculator returns your exact net employer FICA savings + a Workers' Comp reduction estimate. Same math, your headcount. Verified by CBIZ + HitesmanLaw.

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Minimum 10 W-2 employees  ·  $25K+ salary  ·  ACA-compliant health coverage required
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Legal & Accounting Proof

Verified by the Best in the Country

Skepticism is the right response. We don't ask you to take our word for it — we bring institutional proof that convinced CPAs, CFOs, attorneys, and insurance brokers to enroll their own companies.

Darcy L. Hitesman, J.D.

HitesmanLaw P.A. · Minneapolis, MN

35+ years as an Employee Benefits attorney specializing in IRC Section 125, ERISA, HIPAA, and the ACA. Her May 5, 2025 opinion letter concludes: “In this firm's opinion, the Program described satisfies applicable IRS requirements.”

She specifically reviewed the IRS Chief Counsel Advice memoranda on "double-dip" arrangements — the exact schemes the IRS has flagged — and concluded this program is built differently and compliantly.

Named a Super Lawyer every year since 2000. AV-rated (highest possible rating) in Martindale-Hubbell since 1998.
Co-author: ERISA Compliance for Health & Welfare Plans (Thomson Reuters/EBIA) — the national compliance standard manual since 1999.
Member, Technical Advisory Group — Employers Council on Flexible Compensation. She helps set the industry standards for Section 125 plans nationally.

CBIZ Advisors LLC

Top-7 U.S. Accounting Firm · Cleveland, OH · 135,000+ Clients

CBIZ independently reviewed the program against IRC §§ 125, 105, and 106, plus ERISA, ACA, and COBRA requirements. Their August 22, 2025 letter concludes: “If operated per its provisions, the Program appears to satisfy the requirements of ERISA, the ACA, and COBRA as well.”

This review was commissioned by Affinity Hospice's CEO before enrolling his nationwide organization — and the CFO (himself a CPA) shared the letter publicly in his testimonial.

Top-7 U.S. accounting firm. 10,000+ employees across 100+ offices. Serves 135,000+ clients nationally.
Review covers: IRC §125 cafeteria plan, §105/106 wellness benefit rules, ERISA plan asset treatment, ACA integration, and COBRA obligations.
$500,000 legal protection per enrolled employer · $10,000 per employee participant · Insurance-backed.
🏛️

Direct From the U.S. Government

Section 125 has been in the Internal Revenue Code since 1978. Congress wrote it there specifically to encourage employers to fund preventive healthcare for American workers. This is not a loophole — it is the precise, intended use of a 47-year-old federal law, grounded in IRS Revenue Ruling 69-154, the specific published ruling supporting the benefit payment structure.

→ Verify on IRS.gov — Section 125 Cafeteria Plans ↗
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Verified: CBIZ Advisors LLC (Aug 2025) · HitesmanLaw P.A. (May 2025)
$500K legal protection per enrolled employer · IRS Section 125 · Federal law since 1978