Cafeteria Plans

Cafeteria Plans are employee benefit programs that allow workers to choose from a variety of pre-tax benefits, such as health insurance, dental, or flexible spending accounts. These plans let employees customize their benefits package to suit their needs while reducing taxable income, which can save money on taxes. Employers benefit too, as these plans often lower payroll taxes. Essentially, it’s like a menu of options where employees pick benefits they value the most, making benefits more flexible and cost-effective for both parties.