Cafeteria Plan Administration
CIS will provide the appropriate Adoption Resolution necessary to put
the Cafeteria Plan document into effect. If an Adoption Resolution has
been previously prepared and accepted, CIS will review the Resolution
to verify it meets with the current needs of the Company.
A Cafeteria Plan Document for Premium Only Plans (POP) and Flex-Spending
Accounts will be prepared by CIS in conjunction with Mayer Hoffman McCann,
L.C. If a Cafeteria Plan document already exists, CIS will review it
to ensure it is up-to-date and accurate.
Employee Enrollment is the most important part of the Cafeteria Plan
cycle. Experienced insurance professionals will perform the employee
enrollment. All employees are interviewed to determine their individual
Summary Plan Descriptions are distributed to all employees. This document
outlines how the Cafeteria Plan works, the products which are available,
and the most frequently asked questions.
Flex Spending Accounts allow each employee to save additional pre-tax
money for certain medical and childcare expenses. An outline of the eligible
medical expenses for the Unreimbursed Medical Accounts will be distributed.
CIS will also conduct a Child Care Credit Calculation to show each employee
the greater benefit of the Cafeteria Plan versus claiming the expense
on the normal tax return.
A Tax Savings Worksheet will be completed to show each employee their
individual savings based on their elections.
Both electronic and paper Benefit Election Forms are used to enroll
the individual employees. Each employee will receive a copy of his or
her Benefit Election Form to keep for his or her own record.
The Mayer Hoffman McCann software CIS utilizes performs all necessary
discrimination testing. These tests are run to keep your Cafeteria
Plan within the current IRS regulations.
CIS will complete all IRS Form 5500 reports, including the appropriate
attachments and schedules.