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Hey all,
I am fairly unfamiliar with employer benefits as I'm still new to the "real world." Anyway, I did my research and decided to set up a cafeteria plan with a small amout of pre-tax deductions in order to back up my health insurance. I do not qualify for an HSA as my insurance is not high deductible.
From my understanding, after the year is over, the plan will close and sweep any money left over to my employer. Basically, use or it loose type of thing. My question: do employers keep the money or will they generally tax it and send to you? I like the idea of having the extra back-up in case I need it, however I am a very health person and have low risks across the board. Thanks!
I am fairly unfamiliar with employer benefits as I'm still new to the "real world." Anyway, I did my research and decided to set up a cafeteria plan with a small amout of pre-tax deductions in order to back up my health insurance. I do not qualify for an HSA as my insurance is not high deductible.
From my understanding, after the year is over, the plan will close and sweep any money left over to my employer. Basically, use or it loose type of thing. My question: do employers keep the money or will they generally tax it and send to you? I like the idea of having the extra back-up in case I need it, however I am a very health person and have low risks across the board. Thanks!