article thumbnail

Cleaning Up the Benefits Mess

Aberdeen HCM Essentials

The result of this model, as evidenced by a recent Columbia University case study, is that employees pick up the slack for the fallout in the form of higher out-of-pocket costs. While employees do reduce their FICA and income tax footprint, the net loss in tax revenue reduces the social safety net and infrastructure funding pool.

article thumbnail

Cleaning Up the Benefits Mess

Aberdeen HCM Essentials

The result of this model, as evidenced by a recent Columbia University case study, is that employees pick up the slack for the fallout in the form of higher out-of-pocket costs. While employees do reduce their FICA and income tax footprint, the net loss in tax revenue reduces the social safety net and infrastructure funding pool.