March is about getting more from the benefits you already offer, especially at tax time. Discover more personalized benefit renewals, guided plan selection for employees, plus 401(k) tax-season tips, videos, and more.
Featured update: Smarter benefits renewals, built for real businesses
Renewing employee benefits can be time-consuming and challenging. You are likely navigating rising premium costs while also weighing coverage tradeoffs. You’re asking yourself—do I just renew my existing benefits for less of a headache? Or explore alternate options to potentially find cost savings? All of that can feel overwhelming. That’s why we’ve upgraded benefits renewals in Gusto to take more of the heavy lifting off your plate.
When you work with a benefits advisor at renewal, they’ll personally evaluate your plan options and recommend the best fit for your business, supported by AI-driven insights on cost, coverage, and provider preferences. Instead of starting from scratch each year, you get custom recommendations, with a clearer view of which plans align best with your needs, helping you move through renewals faster with fewer open questions.
We also added dental and vision benchmarks so you can see how what you offer compares to other companies like yours—by industry, company size, and region. That means you can make renewal decisions grounded in real-world data, not just instinct, with less time spent searching for outside advice.
What’s new in benefits
Plan selection without the guesswork
Choosing a medical plan can feel overwhelming for employees. To make the process easier, Gusto now offers guided plan selection that helps employees find the right option faster—without needing to become benefits experts.
Employees can answer a quick, optional quiz about their healthcare priorities, like costs, coverage needs, and provider preferences. Based on their responses, we’ll highlight the best-fit plan options, reducing second-guessing and decision fatigue.
Automation investments deliver less manual work
Benefits administration comes with a lot of behind-the-scenes work—and enrollment processing is one of the biggest sources of avoidable friction. That’s why we’ve expanded our automation capabilities, helping enrollment go more smoothly behind the scenes, reducing errors and admin work.
Gusto is helping businesses save on employee benefits
We just crunched the numbers and Gusto level-funded plans are helping more teams lower premiums and earn refunds at renewal.1
20% average premium savings with Gusto level-funded plans
33% of groups received surplus refunds
$7.4K average refund at renewal
Benefits education: Lower taxes, manage health costs2
How four tax credits could cover 100% of your 401(k) costs
If you’ve been hesitating to offer a 401(k),3 cost may be the deciding factor. Recent legislation expanded tax credits that may help eligible employers offset plan startup costs and employer contributions—potentially lowering the net cost of offering a plan in its first years.
This resource breaks down how the credits work, what eligibility can look like, and how to approach plan design without stretching your budget.
Rising healthcare costs are testing small businesses (Fast Company)
Rising healthcare costs don’t just affect employees—they can meaningfully impact hiring plans, retention, and overall business growth. In this Fast Company article, Gusto co-founder Tomer London shares why small businesses need more affordable healthcare options and what often gets missed in the broader public conversation.
What small businesses can do about rising health costs
When costs go up, the hardest part is knowing what to do next. This video walks through a practical framework for evaluating your coverage options, understanding the tradeoffs that matter most, and making confident decisions. Plus, access a bonus downloadable guide.
What’s changing in compliance
New IRS 2026 limits are live—double-check your payroll and benefits settings
The IRS has updated 2026 contribution and reimbursement limits for several common, tax-advantaged benefits. The standout change this year is a major increase to the dependent care FSA (DC FSA). The annual limit increased from $5,000 to $7,500—well beyond a typical inflation adjustment. If you have employees with dependent care needs, it’s a great way to help them pay for eligible childcare expenses with pre-tax dollars with low employer costs. Learn more
If you offer FSAs (health or dependent care), commuter benefits, adoption assistance, or HRAs like QSEHRA or ICHRA, confirm the new limits are reflected in payroll deductions, employee elections, and any plan documents or enrollment materials. Good news—if you get these benefits through Gusto, we’ve applied the updated 2026 limits for you. If you don't get benefits through Gusto, learn about your options in our Help Center.
Stay tuned. We’ll be back in June with our next edition.
1 Average premium savings based on Gusto level-funded groups compared to prior fully insured premiums. Surplus refund data based on a sample of 18 renewing groups, of which 6 (33%) received a surplus refund. Average refund of $7,400 applies only to groups that received a surplus refund. Results vary.
2This content is not to be taken as tax, legal, benefits, financial, investment, or HR advice. Since rules and regulations change over time and can vary by location, consult a lawyer, tax, or HR expert for specific guidance.
3This is not investment advice or recommendation. 401(k) products are offered by Gusto Retirement, powered by Guideline.
