The Smart Employer’s Guide to Section 125 and Cafeteria Plans

Brightpathgrp25 Aug, 2025Business

A Section one hundred twenty five Plan, often called a “salary reduction” plan, is a advantage association that lets in personnel to set apart a part of their income on a earlier than-tax basis. This approach the amount taken out for eligible expenses—together with fitness-related offerings o section 125 plan health insurance —doesn’t count number as taxable earnings.