A cafeteria plan is a benefits plan that allows employees to select from a pool of choices,some or all of which may be tax-advantaged.

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A cafeteria plan is a type of benefits plan that allows employees to choose from a selection of options, such as health insurance, retirement plans, or other benefits, often with the ability to pay for these benefits with pre-tax dollars. This can provide a tax advantage to employees and can help employers offer more flexibility in their benefits packages.

A Cafeteria Plan Is a Benefits Plan That Allows Employees