Cafeteria Plan Document

[Guest staceelynn]

Can an employer if he has 2 stores that are under one plan document and one store wants to offer ONLY premium components and one wants to offer premium AND medical reimbursement. Can you do this under one plan document?

Would you have to do 2 plan documents? Or would they all have to be offered the same components under 1 plan document??

Thanks

Stacey L. Pederson, CRPS

JCCS Employee Benefits Division

[Guest b2kates]

You do not address how the companies are organized. Also you do not consider the impact of the controlled group and dsicrimination rules necessary to make a determination

[Guest staceelynn]

So it is ok for them to let one store have it one way and the other another way?

Stacey L. Pederson, CRPS

JCCS Employee Benefits Division

[E as in ERISA]

There may not be a legal rule that strictly prevents it, but practically speaking in many cases the demographics would not allow it (e.g., if most of the keys and/or HCEs are in the plan with the medical spending, you will have a problem...)