How New IRS Rules Make Direct Primary Care a Smart Benefit for Small Businesses
Small businesses are feeling the pressure from every direction — rising insurance premiums, tighter labor markets, and increasing competition for quality employees. For many employers, the cost of offering traditional health insurance has become one of the biggest barriers to attracting and retaining talent.
But new guidance from the Internal Revenue Service opens the door to a more affordable, flexible, and employee-friendly solution: Direct Primary Care (DPC).
At Aslan Health, we believe this change is a game-changer for small businesses.
The Challenge Small Businesses Are Facing
Health insurance costs continue to rise faster than wages. Many small employers are forced into difficult choices:
- Absorbing premium increases year after year
- Passing more costs on to employees
- Offering high-deductible plans with limited access to care
- Or opting out of health benefits altogether
Unfortunately, this puts small businesses at a disadvantage when competing with larger employers that can afford richer benefit packages.
Employees want healthcare they can actually use — not just insurance cards they avoid because of high deductibles and surprise bills.
A Big Change in the Rules: DPC + HSA Now Work Together
Beginning January 1, 2026, new IRS guidance clarifies that employees can participate in a Direct Primary Care (DPC) arrangement and still be eligible to contribute to a Health Savings Account (HSA) — as long as certain limits are met.
What does that mean in practical terms?
- Employees can receive primary care through a DPC membership
- They can continue contributing to their HSA
- They can even use HSA funds to pay for DPC fees (within allowed limits)
- All while remaining enrolled in a high-deductible health plan for major medical coverage
This change removes one of the biggest historical barriers to offering DPC as a benefit.
What Is Direct Primary Care?
Direct Primary Care is a simple, transparent model:
- A flat monthly fee covers most primary care services
- No insurance billing for routine visits
- No copays, no surprise bills
- More time with the provider and better access to care
At Aslan Health, our DPC model emphasizes relationship-based, whole-person care — addressing physical health, lifestyle factors, and preventive care before small problems become expensive emergencies.
Why DPC Helps Small Businesses Compete for Employees
1. Predictable Costs for Employers
Instead of unpredictable premium increases, DPC offers stable, transparent pricing that is easier to budget year over year.
2. Real Access to Care for Employees
Employees actually use DPC. Same-day or next-day visits, longer appointments, and direct communication lead to higher satisfaction and better health outcomes.
3. A Stronger Benefits Story
Offering DPC alongside a high-deductible plan allows small businesses to say:
“We may not be a Fortune 500 company — but we make sure you can actually see a doctor.”
That matters to today’s workforce.
4. Fewer Lost Workdays
Better access to primary care means:
- Fewer urgent care and ER visits
- Earlier treatment of illness
- Less time away from work
A Smarter Alternative in a Time of Rising Costs
As insurance premiums continue to rise, small businesses need options that don’t force them to choose between affordability and quality.
Direct Primary Care isn’t about replacing insurance — it’s about making healthcare usable again, while controlling costs and supporting employees where it matters most: primary care.
With the new IRS guidance, DPC is no longer just innovative — it’s practical, compliant, and tax-advantaged.
How Aslan Health Supports Small Businesses
Aslan Health partners with local employers to:
- Design DPC options that fit their workforce
- Educate employees on how DPC and HSAs work together
- Provide affordable, relationship-driven primary care
- Help businesses offer meaningful benefits without breaking the budget
Our mission has always been to remove barriers to care — and now, those same principles can help small businesses thrive.
Interested in learning how Direct Primary Care could work for your business?
Contact Aslan Health to start the conversation and explore a better way forward for your employees — and your bottom line.