Tax-Advantaged Plans – Using Section 125, 105 & 106 Plans (Board of Pensions – PCUSA)


Tax-advantaged plans use the tax code ― Sections 125, 105, and 106 ― to allow employees to pay for certain expenses with pretax dollars. These plans need to be established and sponsored by employers and permit employees to use voluntary, pretax deductions from their paychecks to reimburse certain eligible expenses tax-free. This results in tax savings for the employee, and it’s why the plans are called “tax-advantaged.” 


Learn more about this religious on-demand webinar on taxes and healthcare from Board of Pensions (PCUSA)

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