BASE® 125 Cafeteria Plan


With the BASE® 125 Cafeteria Plan, you are capable of providing various funding options and giving your clients the ability to customize their benefit plan to meet their needs. BASE® provides employers with the plan design, implementation and compliance services. BASE® will help employers to maximize tax savings as well as making sure plans are in compliance with all government and insurance rules and regulations.

The BASE® 125 Cafeteria Plan allows employers to customize benefits and save money. Employers that sponsor a BASE® 125 Cafeteria plan can allow employees who are paying medical expenses, insurance premiums or dependent care expenses to do so on a pre-tax basis. A cafeteria plan can create sizable savings for both the employer and employee with these various options:

Flexible Spending Account (FSA)

An employee funded plan that allows tax savings on medical expenses, typically saving 25% on every dollar spent towards medical. The BASE® FSA also has a debit card option to provide employers with the ability to automatically reimburse employees for eligible pre-tax expenses. Not only can the debit card increase plan participation, but it can also save employers money and time.

Limited Purpose FSA

A form of flexible spending account that is strictly for reimbursing eligible dental and vision care expenses. This type of plan is for employees who are enrolled in a high deductible health plan, and are enrolled in a Health Savings Account (HSA). When enrolled in a Limited Purpose FSA, employees save tax dollars, and are also open to utilizing HSA funds for savings and investment opportunities.

Dependent Care Assistance Plan (DCAP)

Also known as a Dependent Care FSA, this plan is an account established by an employer to allow employees to set aside money from each paycheck on a pre-tax basis to pay for qualifying dependent child or elder care expenses.

Premium Only Plan (POP)

For those employers who provide group health care coverage and other voluntary products, this plan allows premiums to be paid pre-tax through payroll reduction for the employee portion of the health insurance premium.