In this edition of The Gusto Benefits Brief, we’re introducing Gusto 401(k), powered by Guideline, bringing seamless retirement savings into the same trusted platform you use for payroll and HR. You’ll also find faster, more reliable COBRA management, along with new enrollment tools that help employees choose benefits with confidence. And don’t miss expert advice on keeping health benefits affordable in 2026—because when managing benefits feels easy, your business can focus on what matters most: your people.
Featured update: Meet Gusto 401(k)
After more than a decade of partnership, we’ve officially acquired Guideline. Together, we’re bringing small businesses a modern 401(k) experience, integrated with payroll and HR. With Gusto 401(k), you can offer top-tier retirement benefits that simplify complexity, automate admin, and help your team save for their future—all in one trusted place.
Plus, eligible businesses may qualify for up to $16,500 in federal tax credits over three years—potentially covering the full cost of the plan—and Gusto automatically generates the IRS form to make claiming those credits easy.
What’s new in benefits
Save 20% with Level-Funded Health Plans
Looking for a smarter way to save on health benefits? Gusto’s Level-Funded Plans help small businesses cut premiums by an average of 20%—without sacrificing coverage or employee satisfaction.
Plans are now available to both renewing customers and companies offering health insurance for the first time.
Faster COBRA management through Anuvi
COBRA ensures that employees can keep their health coverage after leaving a job, helping them stay protected during life transitions while also keeping employers compliant. At Gusto, we’re upgrading how COBRA works to give customers a faster, more reliable experience. We’ve partnered with Anuvi, our new Federal COBRA vendor, to streamline fulfillment, improve accuracy, and reduce processing time.
Here’s what you and your team will get:
Faster communication: COBRA enrollment notices now arrive within 2–3 days of a qualifying event—down from 2–3 weeks.
Better automation: Including automatically syncing groups, employees, and plan data, even during renewals.
Improved accuracy: Enrollment changes and terminations are processed more reliably.
Stronger support: Anuvi offers responsive customer service via chat, email, and phone.
Simplified administration: All contracts and authorisations are managed directly through Anuvi.
And best of all? This partnership brings significant cost savings—another way Gusto is making benefits simpler, smarter, and more affordable for small businesses.
Four new tools help employees choose benefits with confidence
Choosing the right benefits can feel overwhelming—especially when plan details and costs aren’t easy to compare. That’s why we’ve built a new set of tools designed to help employees explore their options with confidence, clarity, and ease.
At the top of the plan selection page, the new Choose With Confidence banner brings together everything employees need to make smarter decisions about their coverage.
Employees can now:
Compare plans side by side, including external plans—like those from a spouse or partner—to see how they stack up.
Download all plan details as a CSV for a deeper look at costs, deductibles, and coverage levels in a format that’s easy to analyze.
Access built-in educational tips that explain key terms and guide employees through what to consider when selecting a plan.
See employer contributions clearly on every plan card, making it easy to understand how much their company covers and the full value of their benefits package.
Together, these updates help employees feel more informed and supported during open enrollment, while helping businesses drive stronger engagement and appreciation for their benefits programs.
Benefits education: Top tips for affordability
There are smarter ways to save on benefits—strategies most small businesses don’t know about (yet). Our benefits experts are pulling back the curtain with three powerful resources to help you cut costs and boost value in 2026:
Download: Get our comprehensive guide packed with expert-backed, underused tips for accessing affordable health benefits even as premiums rise.
Read: Gusto’s GM of Benefits, Julia Miller, reveals overlooked plan types—like HRAs and level-funded plans—that can lower costs and offer more flexibility.
Watch: See our quick video for a two-minute breakdown of the smartest ways to pick plans that fit your team and your budget.
Bonus Video: Gusto vs local broker
Want to see how Gusto simplifies benefits end to end? Watch our 2-minute explainer on how Gusto compares to traditional brokers—less paperwork, a better employee experience, and more peace of mind.
What’s changing in compliance
California’s retirement mandate: What employers need to know
California’s CalSavers program now requires nearly all employers with at least one employee to offer a workplace retirement plan, like a 401(k). Key deadlines include:
1–4 employees: Comply by Dec 31, 2025
5+ employees: Deadline passed—act now to avoid penalties
Get the guidance you need with our on-demand webinar and state mandate resources.
Want to explore all that Gusto benefits has to offer?
Log in and navigate to the benefits tab to get started.
Stay tuned. We’ll be back in March with our next edition.
