Section 125 Cafeteria Plans offer Employers a number of advantages:

Improved benefit packages offered to Employees, as each participant can save from 30-40% of dollars put through the plan.

Employers payroll taxes reduced due to matching FICA/Medicare for a total of 7.65% (1.45% for municipalities).

Cafeteria Plan Advisors, Inc. provides a number of services in administrating an employers Plan:

Develop plan documents (Plan Adoption Agreement, Summary Plan Description).

Provide consultation in setting up plan, including any payroll conversions.

Conduct onsite meetings for employees.Enroll participants in plans annually.

Provide 800# support for employees questions/guidance.

Perform Non-discrimination testing.

Prepare and file 5500 form with the IRS, if required.

Respond to IRS inquiries relating to Cafeteria Plans.

Set up individual system accounts for each employee enrolled in Plan.

Deposit budgeted dollars into non-interest account for employer/employee.

Process participant claims for Flexible Spending Accounts at least twice a month.

Provide ongoing account status reporting for Plan, to Employer and Employee.

Assume fiduciary responsibility for the Plan.

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