Asked by
Aziza Ladraa
on Oct 30, 2024Verified
Benefit plans that permit employees to choose the types and amounts of benefits they want from a set of alternatives are called
A) preferred provider plans.
B) cafeteria-style plans.
C) defined-benefit plans.
D) flexible spending accounts.
E) cash balance plans.
Cafeteria-Style Plans
Flexible benefit plans allowing employees to choose from a variety of pre-tax benefits options to create a package tailored to their personal needs and preferences.
Flexible Spending Accounts
Tax-advantaged accounts that allow employees to save pre-tax dollars for eligible health care and dependent care expenses.
Defined-Benefit Plans
A type of pension plan where an employer promises a specified pension payment upon retirement, which is determined based on the employee’s earnings history, tenure of service, and age.
- Evaluate the significance of cafeteria-style plans in providing versatile benefits to accommodate the varying needs of employees.
Verified Answer
OG
Learning Objectives
- Evaluate the significance of cafeteria-style plans in providing versatile benefits to accommodate the varying needs of employees.