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What is an Employee Benefit Plan?
An employee benefit plan protects employees and their families from economic hardship brought about by sickness, disability, death, or unemployment; it provides retirement income to employees and their families; and it provides a system of leave or time off from work.

A comprehensive benefit plan can include health insurance, disability insurance, life insurance, retirement plan, flexible compensation (cafeteria plans), and leave from work.

Broadly defined, a benefit plan can include other components such as bonuses, service awards, reimbursement of employee educational expenses, and other benefits appropriate to employee responsibility.

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