Case Study · Assisted Living · San Diego, CA

Golden Living Point Loma — $120,000/Year, Attorney-Owned, Attorney-Reviewed

A 51-W-2-employee assisted living facility in San Diego whose owner — Dan Salceda — is a practicing attorney. He didn't outsource the legal review. He read the IRS codes himself, consulted CPAs, and secured an independent legal opinion. Then he enrolled.

Annual savings
$120K
reported per year
Headcount
51
W-2 employees
Notes
  • · 51 W-2 employees
  • · Owner is a practicing attorney
  • · San Diego, CA
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

Being a lawyer myself, I implemented a rigorous evaluation — review of tax codes, consultations with CPAs, and securing a robust legal opinion. We proceeded unanimously.

Dan Salceda, Owner & Practicing Attorney, Golden Living Point Loma
What this case study tells you

The structure that produced this result

Senior care facilities are among the cleanest fits for Section 125: 30–200 W-2 caregivers per facility, predictable payroll, group health coverage already in place. On 51 employees, the FICA math alone returns $34,761.60/year in net employer savings. Dan's reported $120,000/year combined annual savings layers on additional Workers' Comp reduction at the assisted-living 6% rate.

What makes Dan's case persuasive isn't just the dollar number — it's the path he took to get there. Most senior-care operators don't have an in-house attorney; Dan does, and he applied that scrutiny before signing. The Hitesman opinion letter and CBIZ review held up to that scrutiny. So did IRS Rev. Rul. 69-154 itself, which Dan read directly.

For other San Diego senior-care operators, the math generalizes: a 50–80-bed facility with 60 W-2 caregivers nets $40,896/year in FICA savings + roughly $25,920/year in WC reduction (conservative half-rate), approaching $67,000/year combined. The 15-minute analysis call returns the precise number for any specific facility.

Run the math for your business

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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
Verified by CBIZ & HitesmanLaw  ·  Zero cost  ·  Zero obligation

⚖️ Federally Funded  ·  Zero Cost  ·  IRS Law Since 1978
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 ↗
Zero Cost · Zero Obligation · 15 Minutes

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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