The Contractors Plan has designed and administered retirement, healthcare, and specialty benefits for prevailing-wage contractors since 1983, and it is widely regarded as the original bona fide fringe benefit solution for open-shop trades. For HVAC employers that perform Davis-Bacon federal work, Service Contract Act jobs, or state prevailing-wage projects, the platform lets owners funnel fringe dollars into a qualified retirement plan rather than paying them as taxable cash wages. That structure slashes payroll burden (FICA, FUTA, workers' comp, general liability) on the fringe portion of wages and can sharply improve bid competitiveness on public-works HVAC and mechanical contracts.
The retirement offering is a 401(k)/profit-sharing plan engineered around the realities of prevailing-wage compliance, with fringe contribution tracking per job and per classification, hour-banking for part-time and seasonal techs, and documentation built to satisfy DOL audits. Employers can layer safe harbor designs, new comparability allocations to maximize owner contributions, and separate non-prevailing-wage accounts for office staff. Fringe Benefit Group pairs the retirement plan with major medical, dental, vision, and life products so a mechanical contractor can meet ACA obligations and Davis-Bacon fringe requirements under one roof.
Headquartered in Austin, Texas with regional offices nationwide, Fringe Benefit Group serves thousands of construction and mechanical contractors. The Contractors Plan is endorsed by ABC's Insurance Trust and is a common choice for HVAC shops that have started bidding on schools, military bases, VA hospitals, and other federally funded mechanical work where Davis-Bacon fringes must be paid in cash or bona fide benefits.