A Section 125 (cafeteria) plan is an employer-sponsored plan that gives employees access to health insurance and childcare pretax benefits. Find out if you're eligible.

Section 125 plans have upsides and downsides for employees and employers. Pros. Both employers and employees can reap the following benefits from Section 125 plans: Employees pay less in taxes: ...

A cafeteria plan - also known as a Section 125 plan, after the portion of the IRS code that regulates the plans - lets employees redirect part of their salaries and wages to pay for certain benefits.

The structure and operation of Section 125 plans — which allow employers to offer certain benefits on a pre-tax basis — is one of the hardest things for employers to master. So, I thought it might be ...

Account-based plans, or spending accounts, permit employees to set aside part of their salary on a pretax basis for unreimbursed expenses. Cafeteria plans are often referenced by other names — most ...

Section 125 cafeteria plans are relatively easy to set up and are extremely beneficial to both employers and employees, but they should not be considered “set-it-and-forget-it plans.” An increase in ...

Benefits that do not qualify under Section 125 are taxable. Employers who want to qualify their programs under Section 125 must have their plans reviewed and must not discriminate based on job ...

A Section 125 plan is part of the IRS code that enables and allows employees to take taxable benefits, such as a cash salary, and convert them into nontaxable benefits.