Better Benefits

What Better Benefits does

Better Benefits is a privately held LLC based in New Rochelle, United States, that sells a supplemental employee health and wellness benefits program to US employers with 20 or more W-2 employees. The program is built on IRS Section 125 and is funded through pre-tax payroll deductions, allowing the employer to receive a reduction in FICA payroll tax liability while the employee pays for the benefits out of pre-tax wages, producing a "zero employer cost" structure that operates alongside — and does not replace — existing employer health plans and broker relationships.

The offering bundles $0 copay 24/7 telehealth, $0 copay prescriptions at retail pharmacies, mental health support, accident and hospital coverage, $0 copay pet telehealth, a medical concierge service, and weekly health education. Underlying administration is handled by an independent licensed plan administrator responsible for Section 125 compliance, and the company integrates with seven payroll and benefits administration platforms (Paychex, ADP, QuickBooks, Workday, Paylocity, Namely, and Employee Navigator) to operationalize pre-tax deductions on the employer's existing payroll infrastructure. No proprietary technology stack, mobile app, or API is disclosed.

The company employs a sales-led go-to-market motion initiated through a Calendly-scheduled 15-minute qualification call, followed by a custom plan build and a two-week implementation timeline. Revenue is generated on a recurring basis through the employer's FICA tax savings realized when employees participate in the program. The company is structured as an LLC, operates only in the United States, has 51-100 employees, and discloses no funding rounds, revenue figures, customer counts, or management team details in the available source material.

Name

Better Benefits

Legal name

Better Benefits LLC

Website

https://betterbenefits.com

Company type

Private

Founded year

2026

Operating status

Operating

Headcount range

51–100 employees

Short description

Better Benefits provides supplemental employee health and wellness programs to US employers with 20+ W-2 employees, funded through pre-tax payroll deductions under IRS Section 125 at zero employer cost while reducing FICA payroll tax liability.

Ownership category

akta.pro rank

Product category

Employee Benefits Administration

NAICS

Pharmacy Benefit Management and Other Third Party Administration of Insurance and Pension Funds (524292), Payroll Services (541214)

SIC

Insurance Agents, Brokers & Service (6411), Hospital & Medical Service Plans (6324)

akta.pro primary industry

Flexible Benefits Administration (FSA/HSA/HRA) (HLAEALAK)

akta.pro secondary industries

Ancillary Employer Benefits (Life/Disability/Accident/Critical Illness) (HLAEAAAK), Workforce Benefits Administration (Enrollment & Deductions) (BPACAIAF), Voluntary/Worksite Critical Illness & Hospital Indemnity (Employee-Paid) (FSAIAKAF)

Keywords

• Supplemental health benefits
• Section 125 plans
• Voluntary employee benefits
• Payroll tax savings
• Employer benefits administration

Headquarters

HQ city

New Rochelle

HQ country

United States

HQ region

North America

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Marketing or Sales, Operations, Technology or R&D

Revenue model

1. Employer FICA Tax Savings: Revenue is generated through employer FICA (payroll tax) savings realized when employees participate in the Section 125 voluntary benefit program. Employees fund their own benefits through pre-tax payroll deductions. Employers receive tax relief at zero direct cost.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels2 records

Core offering

Better Benefits delivers a voluntary supplemental health and wellness program for employers with 20+ W-2 employees. Funded entirely through employee pre-tax payroll deductions under IRS Section 125, the program adds telehealth, prescriptions, mental health, accident coverage, medical concierge, pet telehealth, and weekly health updates alongside an employer's existing health plan — at zero direct employer cost while reducing employer FICA payroll tax liability.

Product overview

Better Benefits offers a single unified supplemental health and wellness program built around IRS Section 125 that works alongside existing employer health plans. The program comprises multiple integrated features including $0 Copay 24/7 Telehealth, $0 Copay Prescriptions (available at retail pharmacy locations), Mental Health Support, Accident & Hospital Coverage, $0 Copay Pet Telehealth, Medical Concierge, and Weekly Health Updates. All benefits are funded through pre-tax payroll deductions, resulting in zero employer cost while reducing the employer's FICA payroll tax liability.

Differentiator

Problem solved

Functional benefit

Segments1 record

Ideal customer profiles1 record

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

Seven partnerships are on record, tiered core.

• PaychexcoreTechnology or IntegrationIntegrated payroll provider partner. Better Benefits program connects with Paychex payroll system to enable pre-tax deductions and Section 125 compliance for employee benefit enrollment.
• ADPcoreTechnology or IntegrationIntegrated payroll provider partner. ADP payroll integration enables seamless pre-tax benefit deductions and compliance administration for participating employers.
• QuickBookscoreTechnology or IntegrationIntegrated payroll provider partner. QuickBooks integration allows employers to administer Better Benefits through existing payroll infrastructure.
• WorkdaycoreTechnology or IntegrationIntegrated payroll provider partner. Workday integration enables Section 125 compliant benefit administration and pre-tax payroll deductions.
• PaylocitycoreTechnology or IntegrationIntegrated payroll provider partner. Paylocity platform integration supports benefit enrollment and payroll deduction management.
• NamelycoreTechnology or IntegrationIntegrated payroll provider partner. Namely HR and payroll integration enables Better Benefits enrollment and administration.
• Employee NavigatorcoreTechnology or IntegrationIntegrated benefits administration partner. Employee Navigator integration supports benefits enrollment and management.

Scale indicators2 records

Recent moves3 records

Expansion highlights3 records

Direct peers

• PeopleKeep: PeopleKeep is a direct competitor administering Section 125 plans and HRAs for small and mid-sized employers. Highly comparable because it sells the same pre-tax payroll-deduction mechanism and targets the same employer pain points around rising healthcare premiums.
• Take Command Health: Take Command Health administers Section 125, ICHRA, and QSEHRA plans for employers. It is a direct peer because it monetizes the same IRS Section 125 framework Better Benefits relies on and serves the same employer customer base.
• Zane Benefits: Zane Benefits is a long-standing Section 125 administration brand (now associated with Zenefits' benefits workflow). It is comparable because both companies built employer-side benefits administration on the same Section 125 pre-tax deduction model.
• Aflac: Aflac is the dominant US worksite/voluntary accident, hospital indemnity, and critical illness carrier sold at the worksite through payroll deductions. Comparable because Better Benefits sells overlapping voluntary accident/hospital coverage funded via the same payroll-deduction mechanism.

Broad incumbents

• Unum: Unum is a large group disability and supplemental benefits carrier with strong worksite distribution. It overlaps directly with Better Benefits' accident and hospital coverage offerings and competes for the same employer benefit dollars.
• MetLife: MetLife is a major group benefits carrier offering voluntary and employer-sponsored ancillary products (accident, hospital, critical illness, dental). Comparable because it occupies the same employer-ancillary benefits category, but at much larger scale and as part of a broader portfolio.
• Paychex: Paychex is a leading payroll, HR, and benefits administration provider for small and mid-sized businesses. Comparable because Paychex is both an integration partner and a competing benefits administrator serving the same employer segment Better Benefits targets.
• ADP: ADP is the dominant US payroll and HR services provider with a sizable benefits administration arm. It is comparable because Better Benefits explicitly integrates with ADP payroll and ADP itself sells Section 125 and voluntary benefits administration directly to the same employer base.
• OneDigital: OneDigital is one of the largest US employee benefits brokerages and HR advisory firms, with growing benefits administration capabilities. It is comparable because it sells and administers ancillary and voluntary benefits to mid-market employers, often as part of a broader broker relationship.

Emerging players

• Gusto: Gusto is a fast-growing payroll, HR, and benefits platform for small businesses that has steadily expanded into benefits administration. Comparable because it sells employer benefits funded through payroll deductions and is increasingly overlapping with Better Benefits' SMB target segment.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat3 records

Key highlights6 records

Customer concentration

• LinkedInlinkedin.com/company/betterbenefitsdotcom

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Better Benefits