Employer Contribution Question

[Guest RMiller]

Can an employer provide different cafeteria contributions for different rank and file employees? Example: can a secretary get $100 and a driver get $200 towards their health costs.

[SLuskin]

The only time I have seen contribution differences is when health plans have different costs. For example, we administer a plan for a law firm whose primary location is West Palm Beach. They have a branch in Tallahassee. They contribute an amount equal to the employee only HMO premium to each employee. It is about $175 in WBP and about 60% of that in Tallahassee.