Would you like to customize your benefits and save money doing so? A 125 Cafeteria Plan (also called a Section 125 Plan) is a cost-effective way to offer employee benefits, with tax advantages for both employers and employees.

This plan enables employers to:

• Enhance benefit programs.
• Reduce the employer’s share of FICA and FUTA taxes.
• Increase employer savings as participation rates increase.
• Give employees funds to cover out-of-pocket medical, dental and vision expenses, dependent care, and health insurance premiums.

Sponsor up to four pre-tax options for employees

• Flexible Spending Account (FSA)
• Limited Purpose FSA for dental and vision expenses
• Dependent Care Assistance Plan
• Premium Only Plan

Other qualified pretax benefits—and who qualifies

Employees, their spouses, and dependents may access a 125 Plan for:

• HSAs
• Group health
• Accident and disability coverage
• Adoption assistance
• Group term life insurance

Contact CHR to get started

Contact us to discuss how a 125 Cafeteria Plan may benefit your company and your team, and for assistance implementing one in your workplace.