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Many employers are catching onto the insurance plans that save them money as well as the employees’ money.  The plans are section 125 cafeteria plans.  You may have heard them called by different names like Flexible Benefits Plan or Medical Expense Reimbursement.  Basically, these plans are plans that allow the employer to save on FICA, and the employee to save on income taxes.  It is a win-win for all sides.  The plans are a separate written plan maintained by an employer in order to offer pre tax insurance plans to qualified employees.  Usually the employee agrees to use a portion of his/her salary to pay for benefits before taxes are taken out which makes them non taxable wages.