Section 125 & Pre-Tax Benefits

This is the “Section 125 & Pre-Tax Benefits” section of the Benefits Compliance FAQ: ACA, COBRA, ERISA, HIPAA & More.

A Section 125 plan allows employees to pay for certain benefits with pre-tax payroll deductions.

Common examples include:

  • Health insurance premiums
  • Dental and vision coverage
  • Flexible Spending Accounts

Disclaimer

This information is provided for general educational purposes and should not be considered legal, tax, or compliance advice. Employers should consult with qualified professionals regarding their specific compliance obligations.