What is a cafeteria-style benefit plan? What is meant by strategic planning gap? What is an IT strategic planning process? What is a business plan? What is a disaster recovery plan? What is the difference between planning and strategy?
An FSA is a qualifying benefit under a Section 125 plan, or cafeteria plan. Health FSAs are the most common type of flexible spending arrangement. You can offer FSA plans to employees as a standalone benefit or in conjunction with traditional health insurance or high-deductible health plans. ...
” let us explain. An HSA account or HSA plan is a savings account used to pay out-of-pocket medical expenses not covered by insurance. Out-of-pocket medical expenses examples are doctor visits, prescriptions, over-the-counter medicine, lab tests, and hospital stays....
A Health Savings Account (HSA) is a special type of savings and investment account designed to help you save for healthcare-related expenses. When used as intended, an HSA account offers arguably the best tax advantages of any type of account in your portfolio. But there’s a secret trick ...
Create a Section 125 cafeteria plan– By establishing a section 125 cafeteria plan, both employers and employees can contribute tax-free dollars toward their HSAs. This type of plan is available to employees, their spouses, and dependents, and it can be created by a business or a payroll ser...
*The IRS lets employees use HSA distributions to pay eligible long-term care insurance premiums or qualified long-term care services that are otherwise excluded from cafeteria plans. Do not include these benefits in a cafeteria plan: Archer medical savings accounts Athletic facilities De minimis (...
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...
(b) depending on the nature of the company; often, the company will match employee contributions to a certain amount. The choice generally depends on the amount of time the individual has left in the workforce, as well as on whether or not the company will match contributions, which is an...
The Employee Retirement Income and Security Act, known as ERISA, is a federal law that protects retirees in the private sector. Just a few of the benefit plans covered under ERISA are pension, health, disability, life and accidental death and dismemberment, and cafeteria plans....
(FSAs) are also non-portable. FSAs are a type of cafeteria plan that allows an employer to expand benefit choices on a tax-advantaged basis to employees with minimal extra out-of-pocket costs. Employees select cash and specified benefits by means of a payroll deduction that they elect each...