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Premium Reserve: benefit continuity when hours fall short

A customizable cushion of fringe dollars that covers premium shortfalls automatically, so a slow month never costs an employee their coverage.

What the reserve delivers

Your fringe obligations stay funded through hour fluctuations, so prevailing wage compliance holds even in a bad month. Skilled trades keep their coverage through slow seasons, which reduces turnover before the next ramp, and employees never face a surprise lapse.

The reserve runs automatically with no payroll-side intervention, and you set its depth to match your project cycles and workforce.

Where reserve dollars sit

Each month, health and welfare contributions flow through four stages in this order. The Premium Reserve sits at stage three, funded before any retirement allocation.

The fringe dollar priority order

Stage 1

H&W contribution

Employer submits fringe dollars.

Stage 2

Benefit premiums

Medical, dental, vision, life, disability.

Stage 3

Premium Reserve

Employer-selected months set aside.

Stage 4

Retirement plan

Excess funds directed here.

The reserve cycle

1

Set the duration

You choose how many months of premium to hold, typically three, tuned to your seasonal patterns.

4

Transfer at separation

Any reserve balance remaining at separation moves directly to retirement. Nothing is forfeited.

Premium

Reserve
Cycle

2

Absorb the shortfall

When monthly contributions fall short, the reserve covers the deficit and coverage stays active.

3

Refill automatically

When hours rebound, excess fringe dollars refill the reserve before flowing to other allocations.

A three-month reserve in practice

An employee with $800 a month in elected premiums and a three-month reserve target.

$800

Monthly premium

3 mo

Reserve duration

$2,400

Reserve target

Monthly H&W contribution vs. premium cost

J F M A M J J A S O N D
Contribution covers the premium Shortfall absorbed by the reserve $800 monthly premium

In the three short months, the reserve covers the gap and coverage never lapses. When hours rebound, excess fringe dollars rebuild the cushion before anything flows to retirement, and the portal logs every contribution, premium draw and ending balance as audit-ready proof.