A new law—President Trump’s “One Big Beautiful Bill”—quietly includes several updates that could impact your employees and their benefit plans.

While not everything may apply to your business, here are four big takeaways worth knowing:

1. HSAs Just Got Easier to Use

Telehealth can now be covered before the deductible and still qualify for HSA contributions.
Bronze and Catastrophic plans on the Exchange now count as HSA-compatible.
Direct Primary Care (DPC) services no longer disqualify employees from using an HSA (starting in 2026).

What this means: More flexibility for employers and employees using HSAs.

2. Dependent Care FSA Limit Goes Up

The annual limit rises from $5,000 to $7,500 in 2026.

Heads up: Higher limits may make it harder for these plans to pass fairness testing, which can affect higher-earning employees.

3. Student Loan Repayment Can Be Tax-Free

Employers can now permanently offer up to $5,250 per year in tax-free help with student loans.

Tip: You’ll need a simple written plan in place to offer this. Ask us “how”.

4. New “Trump Accounts” for Kids

Starting in 2026, parents can save up to $5,000 a year per child, tax-deferred. Employers can also contribute up to $2,500 per child or dependent.

Opportunity: A new way to support employees’ families and stand out as an employer.

Bottom Line:

This bill gives employers new ways to enhance benefits and support employees—especially around health, family care, and financial wellness. Some of these updates take effect now, others in 2026. Talk to your benefits advisor to see which ones make sense for your business.

The Individual Coverage Health Reimbursement Arrangement (ICHRA) has been hailed as a disruptive, employer-driven solution to rising healthcare costs. Yet, recent developments—especially its proposed transformation in Trump’s “Big Beautiful Bill” (“One Big Beautiful Bill” or OBBB)—are raising red flags. It’s time to recognize that ICHRA isn’t the panacea it claims to be—it might just be a different kind of problem.

1. What’s Driving the Latest Buzz?

ICYMI: ICHRA was introduced in 2020 via executive action, letting employers reimburse employees tax-free for individual health insurance. Early enthusiasm pointed to better individual choice, stable employer budgets, and potentially lower premiums from broader risk pool. Now, Trump’s OBBB bill would enshrine ICHRA in statute—renamed the CHOICE Arrangement—with further incentives: tax credits for small employers, pre-tax premium deductions, and expanded flexibility. Proponents call it a turning point.

2. “Refining Your Own Gasoline”: A Risky Metaphor

Imagine being told to refine your own gasoline: you might save money, but you also need a refinery, safety protocols, and expert handling—or face disaster. That’s what CHOICE Arrangements offer: flexibility with a license to self-service—but no guarantee you’ll avoid combustion.

• Appealing on paper: Employers set fixed budgets; employees pick their own plans. Sounds efficient.
• Hidden downside: It shifts complexity and risk onto individuals and employers who may lack the expertise and infrastructure to manage it effectively.

3. How OBBB looks like a Pig into a Dress

Trump’s bill dresses up ICHRA with attractive ribbons—tax credits, portability, pre-tax deductions—but keeps the pig underneath.

• Administrative burden: The laws regarding employee benefits mandate annual notices, compliance updates, and coordination with exchanges. Employers will still need deep HR and benefits teams.
• ACA disruption: By modifying subsidy rules and enrollment mechanisms tied to CHOICE Arrangements, the bill infuses new uncertainty into ACA markets. It could destroy the pools.
• Coverage erosion: As ACA subsidies shrink, more people risk losing coverage. CBO projects 11–16 million uninsured by 2034 under this bill. That’s the real danger.

4. Complexity Isn’t Innovation

Even as CHOICE Arrangements look sleeker, they add layers of complexity—including:

1. Dual enrollment: Employers can offer group plans and CHOICE Arrangements to the same class—great on paper, but in practice? It adds enrollment confusion.
2. Exchange volatility: Rewriting subsidy and enrollment mechanics midstream means major ripples in ACA platforms like Covered California.
3. Unintended consequences: More hoops for employees to jump through—especially those with lower incomes or irregular work—can equal more gaps in coverage.

5. Why This Isn’t the Future—It’s a Detour

• It fractures ACA’s foundation. The ACA depends on a large, stable risk pool across enrollment windows and subsidy continuity. CHOICE Arrangements erode transparency, introduce enrollment discretion, and make market forecasts tougher.
• It transfers cost and risk. Instead of insurers and governments spreading risk, CHOICE hands it to employees—especially risky for those without benefits knowledge.
• It hides real problems. Instead of addressing rising healthcare costs and provider accountability, CHOICE offers a sidenote distraction—like polishing knobs while the engine leaks.

Final Take

ICHRA and its CHOICE evolution aren’t inherently bad—they may help some employers offer flexible benefits. Especially in states where there is a cavern between individual and group pricing. But Trump’s OBBB spins them as a cure-all while slicing into ACA, increasing administrative complexity, and likely exposing low- to middle-income families to spotty coverage.

At CorpStrat we are always watching and seeking strategies to reduce costs and solve for best delivery of benefit plans and offerings for employers.

Every year, companies invest tens or even hundreds of thousands of dollars into employee benefits. Health insurance, life and disability coverage, retirement plans, HSA contributions, and voluntary perks are core elements of a competitive compensation package. But what if your employees don’t understand the value of what they’re receiving?

The truth is—many don’t.

When Benefits Go Unseen, Value Goes Unfelt

Employees often overlook or underestimate their benefits simply because they’re not clearly communicated. The result? Your people may assume their paycheck is the whole story—and your company loses out on the credit and loyalty those benefits are supposed to drive.

HR and leadership teams work tirelessly to secure these offerings, yet without engaging communication, they may go unnoticed. That’s not just a missed opportunity—it’s a silent drain on your culture, your retention, and your ROI.

The Good News? It’s Fixable—with Just Minutes a Week

Creating value from your benefits isn’t about big budgets or massive time investments. At CorpStrat, we’ve found that even a few minutes a week spent educating your workforce can completely transform perception.

We’re helping clients do just that using:

• Live, interactive benefits brochures
• Custom microsites tailored to each employer
• QR codes for instant access on mobile
• Flipbooks that bring benefit summaries to life

These tools make a small company look like a big player. They allow employers to compete for talent, no matter their size.

Leveling the Playing Field for All Employers

Here’s the truth: employers of all sizes are in the same sandbox when it comes to benefit offerings. Whether you have 10 employees or 1,000, you can often access the same group products, the same guaranteed issue life and disability limits, and the same voluntary benefit options.

Want to attract top-tier talent? You don’t need a Fortune 500 budget—you need a clear, compelling message.

This is especially true now, as expanded access to Health Savings Accounts (HSAs) and portable voluntary benefits make robust benefit programs more accessible than ever.

Make Your Benefits Sizzle. Let Them See the Value.

At CorpStrat, we believe benefits should feel like a gift, not a mystery. We specialize in helping employers turn dry summaries into dynamic assets that employees understand, appreciate, and talk about.

Ask us how we can help you create a live, professional benefits booklet and microsite for your team.

We’ll help you tell your story—because if you don’t, someone else will.