Why A Cafeteria Plan Still May Be The Best For You

Before there were HDHPs (High Deductible Health Plans) and HSAs (Health Savings Accounts), the only way to pay for out-of-pocket medical expenses in pre-tax dollars was through a “Cafeteria Plan” – a special tax provision of IRC Section 125 sometimes referred to as a Flexible Spending Account or FSA. If you’ve been offered an opportunity to participate, this may be your best choice.

IRS Modifies Cafeteria Plan Rules Important Changes For Employers & Employees

The IRS has issued a new Notice that may help employees who would benefit by being covered for health insurance under an exchange rather than under their employer’s group health plan. Enrollment in an exchange plan is not available to those covered under an employer plan.