125
cafeteria benefit plan, which allows employees to choose between dependent care and other nontaxable benefits, or cash.
Some CPA firms provide payroll compliance auditing services, including retirement plans,
cafeteria benefit plans and health plans, to trustees of employee benefit plans.
Flexible spending accounts (FSAs), the health care and dependent care reimbursement feature of section 125
cafeteria benefit plans, have never been very popular with employers or their employees.
Another alternative is to expand the typical
cafeteria benefits program to include all compensation and benefits options.
More specifically, its impact has been seen on reward systems, firstly in a move away from payment-by-results systems and today in the growing proportion of
cafeteria benefits schemes, which allow individual employees to choose the fringe benefits which best suit them.
Twenty million employees are participating in
cafeteria benefits in one form or another, primarily through the large employee groups.
The FSA is the first step in the implementation of a full
cafeteria benefits plan.
Lack of respondent familiarity with terms such as "earned time off" or "
cafeteria benefits" may have influenced the validity of responses.