Employee contributions to Adoption Assistance Plans

[Guest Don Hughes]

It is contemplated that employees may contribute to adoption assistance programs (IRC 23 & 137)and that this is accomplished via a salary reduction agreement. It appears to me that in order for an employee to do so, the benefit must be offered under a Section 125 plan. My review of the literature and applicable statutes indicates this to be the case, but I have not found it stated explicitly. My question is, does anyone know whether it is required that such contributions be made within a cafeteria plan? If this is not the case, how are such contributions handled?