Section 125 Compliance: What Every HR Manager Needs to Know

An HR manager talks to an employee about their benefits.

Section 125, or “Cafeteria” plans, are a vehicle for employers to offer certain benefits to employees on a tax-free basis. These plans are named after the section of the Internal Revenue Code (IRC) that regulates such arrangements. Employees enrolled in Section 125 plans can reserve part of their pretax cash earnings to cover the costs […]