[Gene Eric]

Laws, rules vary by state.

[Syntyr]

“Laws, rules vary by state.”

Sorry but thats incorrect. Section 125 Cafeteria Plan rules are federal and as such apply the same regardless of the state you are in.

http://www.irs.gov/Government-Entities/Federal,-State-&-Local-Governments/FAQs-for-government-entities-regarding-Cafeteria-Plans