Defining Cafeteria Plan Contributions

A cafeteria plan is an employee benefit plan that enables employees to choose from a variety of pretax benefits. A cafeteria plan can also be referred to as a flexible benefit plan or Section 125 plan.

To establish the contribution to an employee cafeteria plan, use the Cafeteria Plan Contribution form.

To establish the contribution to an employee cafeteria plan:

1.

In the Cafeteria Plan Contribution form, provide the following information:

Use this option	To define this
Effective Date	The date when the contribution amount goes into effect.
Contribution Amount	The flat Contribution Amount for this cafeteria benefit plan. The system allocates the company's contribution automatically.

2.

Click Save.