Cafe 125 refers to IRS Section 125, which covers cafeteria plans. These cafeteria plans allow employees to set aside pre-tax income for certain benefits, including dependent care assistance, group term life insurance, and adoption assistance. Learn more
Focuses on cafeteria benefit plans in the United States. Advantages that are afforded by Section 125 plan; Types of benefits offered in the plan.Webster, George DAssociation Management
Not to be confused with a place to go for coffee, Cafe 125 is short for a “cafeteria plan” established under Section 125 of the U.S. tax code. A cafeteria plan is a type of employee benefits plan that allows workers to choose from a variety of benefits options and generally pay for...
Employer contributions to HSA (Health Savings Account) occur in two ways: with a Section 125 plan or 'Cafeteria Plan' or without a Section 125 plan. About HSAs and Section 125 A Health Savings Account (HSA) is a tax savings benefit for employees. The plan allows employees to allocate a ...
Section 125 cafeteria plansgenerally cover most of the employee benefits pre-tax. Examples of pre-tax voluntary benefits are: Adoption assistance programs 401(k) contributions Long-term and short-term disability coverage Employer-sponsored accident and health plans (which includes FSAs and accidental de...
In many cases, your hotel provides free breakfast, so check out the cafeteria in the morning to see if breakfast is included. Keep in mind, however, that the Chinese version of a “continental breakfast” may differ greatly from what you’re used to. Consider it a culinary adventure!
A payroll audit is a breakdown of a company’s payroll processes. It looks at aspects of a company’s payroll such as the number of wages, employee pay rates, active employees, and tax withholdings. Businesses should carry out a payroll audit annually at least. This helps to check their ...
A college's cafeteria can really make or break your campus experience. Here's what you should know about dining dollars and different college meal plan options!
to an FSA plan. You must establish an FSA at your business for employees to open accounts. Self-employed individuals are not eligible to have an account, and highly compensated employee restrictions also exist. An FSA is a qualifying benefit under aSection 125 plan, or cafeteria plan. ...
Section 125 Cafeteria Plan rules dictate how an FSA works. They include the following rules: Employees elect their contribution amount.Employees choose an FSA annual contribution amount before the start of each 12-month plan year. Elections cannot be changed during the year, except in connection wi...