PAYROLL SERVICES: EMPLOYEE BENEFIT SERVICES 

CPU has formed an alliance with Colonial Supplemental Insurance Company. This alliance allows you to offer your employees supplemental insurance products through a Section 125 plan, sometimes referred to as a cafeteria plan. The Section 125 plan allows employees to earmark pre-tax dollars toward payment of insurance premiums, medical care, and dependent care expenses.  The dollars set aside for these purposes are not subject to Social Security, Federal, or most State taxes. In addition these dollars that the employees set aside are not subject to the employer portion of the Social Security contribution.  Many employers are finding that these products provide a way for them to give their employees additional benefits, without costing the company more money.  In fact, because these products are offered on a pre-tax basis, many employers end up saving money on their payroll taxes.

Our relationship with Colonial makes it very simple for you to participate in this program.  Colonial does all the program administration, employee benefit communications and employee sign-up.  CPU takes care of all the employee deductions and necessary reporting to Colonial as a standard part of our payroll processing.

Colonial Supplemental Insurance Portfolio Overview

• Accident
• Short Term Disability
• Cancer
• Critical Illness
• Hospital Confinement
• Life