Under a Cafeteria Plan (also known as a Section 125 Plan), employees are granted flexibility in their benefits selection. The plan is so-called because each employee spends their benefits “allowance” on insurance programs offered through the employer’s “menu” of available options. A Cafeteria Plan allows the employee to choose the plans most suitable for themselves and their family, and purchase them with tax-free payroll deductions. In doing so, the employer reduces payroll taxes, and eliminates inequalities in their plan offerings. Give us a call or click to chat about your particular needs.