Looking For
A Tax-Deduction?
To help
people realize some tax benefits, the Internal Revenue
Service has defined some requirements for these kinds of
plans in Section 125 of the I.R.S. Code. These plans are
thus often called Section 125 plans, or Cafeteria Plans
(because you don't have to enroll in all the offered
policies). Employees pay their own premiums, and depending
on the plans these may be flexible premiums (you determine
how much coverage you want and pay just for
that).
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