The new U.S. company I will work for has a so-called Cafeteria-Style Plan (IRS
Sections 125-1, 125-2). It is up to me to decide how much to deduct from my paycheck
in order to participate to this plan.
I am not getting much help from the company or the plan administrator in making this
decision, so I was wondering if someone can point me to some on-line help. First of
all, I would like to fully understand how such a plan works, its tax implications,
advantages/disadvantages, etc. I also need hints as to what information I need to
gather in order to make an informed decision concerning how much to contribute to the
plan.
Thanks in advance for all your suggestions.
Tiziano Bianchi