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New Member
posted May 31, 2019 7:14:26 PM

WHAT IS A CAFETERIA PLAN

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2 Replies
Alumni
May 31, 2019 7:14:28 PM

Generally that is an employee benefits plan which allows you to pay for medical/dental/vision insurance with pre-tax money. That means that the money is not taxed and is not included in your taxable income shown in Box 1 of your W-2. Since the insurance premiums are payed with pre-tax money, you can not deduct them as medical expenses.

Level 15
May 31, 2019 7:14:30 PM

AKA Flexible Benefits or [IRC] Section 125 plan.