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Debit Cards Can Be Used to Purchase OTC Drugs

Debit Cards Can Be Used to Purchase OTC Drugs Only When IRS Requirements Are Met The Patient Protection and Affordable Care Act (health care reform) limited the ability of health plans to cover over-the-counter (OTC) drugs, permitting reimbursement from flexible spending accounts (FSAs) and health reimbursement accounts (HRAs) beginning January 1, 2011, only when OTC […]

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Flexible Spending Accounts – Another Way to Add to Your Benefits

Cafeteria Plan Employee Benefit Should be Another Feather in Your Benefit Program’s Cap IRS code allows for employers to implement a pre-tax Section 125 Cafeteria Plan as an employee benefit.  This plan allows for unreimbursed insurance expenses to be paid pre-tax.  Examples include insurance premiums, doctors office co-pays, prescription co-pays, eye exams, eye glasses, contact […]

Who can sponsor a cafeteria plan?

Who can sponsor a cafeteria plan?

Virtually any company can sponsor a cafeteria plan for its employees, regardless of size. Eligible companies include: “S” or “C” Corporations Partnerships Non-Profit Organizations Government Entities Limited Liability Companies (LLC) Limited Partnerships (LLP) Sole Proprietorships There are some IRS restrictions on who is eligible to participate in the plan, however. Only employees of the plan sponsor (company) […]

Cafeteria Plan Administrators and Why You Should Outsource

Cafeteria Plan Administrators and Why You Should Outsource Section 125 of the IRS code allows for employers to implement a pre-tax Section 125 Cafeteria Plan, which allows for unreimbursed insurance expenses to be paid pre-tax.  Examples include insurance premiums, doctors office co-pays, prescription co-pays, eye exams, eye glasses, contact lenses, laser eye surgery, orthodontics, and […]