From a tax perspective alone, ICHRA comes with many benefits. First, any amounts contributed by employers are not wages, and therefore are not subject to employer matching payroll taxes. Second, amounts contributed by employers are contributions to a health and welfare plan, and therefore are a qualified business expense. Also, amounts contributed by employers are not wages, and therefore do not add to an employee’s gross income, thus making it a tax-free benefit. Finally, any amount owed by the employee above what the employer contributes is eligible for pretax deduction. If an employer offers this option, the whole individual policy can be paid tax free.