An employer-sponsored medical plan that allows each employee to have pretax earnings deposited into a specially designated account for the purposes of paying specific types of expenses is called a

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The employer-sponsored medical plan described in the question is referring to a flexible spending account (FSA), which is commonly offered as a benefit to employees. FSAs allow employees to set aside a portion of their pre-tax earnings to pay for qualified medical expenses such as deductibles, copayments, and prescriptions. This can help employees save money on their healthcare expenses and reduce their overall tax burden.

An Employer-Sponsored Medical Plan That Allows Each Employee to Have