CBP Leave and Work-Life Benefits 3

Question 1

Which work-life benefit helps employees manage childcare costs through a pre-tax salary reduction of up to $5,000 per year?

Accepted Answer

Dependent Care FSA

Answer

A Dependent Care FSA (DCFSA) allows employees to use up to $5,000 per year in pre-tax dollars to pay for eligible dependent care expenses, including childcare and elder care.

Question 2

Under the Tax Cuts and Jobs Act, employer-paid qualified adoption assistance benefits are excluded from employee income up to what annual amount (2024)?

Accepted Answer

$16,810

Answer

For 2024, the income exclusion for employer-provided qualified adoption assistance is $16,810 per eligible child, indexed annually for inflation.

Question 3

What is the key difference between a wellness program 'participatory' reward and an 'outcomes-based' reward under HIPAA/ACA rules?

Accepted Answer

Outcomes-based rewards require achieving a health standard; participatory rewards are available regardless of health status

Answer

Participatory wellness rewards are available to all employees regardless of health outcome, while outcomes-based (health-contingent) rewards require meeting a specific health standard, triggering stricter HIPAA nondiscrimination rules and a reasonable alternative standard requirement.

Question 4

Which leave type specifically covers the death of a family member and is typically provided as a separate, paid leave benefit?

Accepted Answer

Bereavement leave

Answer

Bereavement leave provides employees paid time off following the death of a family member to grieve and attend funeral or memorial services.

Question 5

What does 'unlimited PTO' typically mean in practice for employers offering this benefit?

Accepted Answer

Both B and C are correct

Answer

Unlimited PTO policies allow discretionary time off subject to business needs and manager approval, and a key employer benefit is eliminating PTO accrual liability since no time is earned or owed at separation.

CBP - Certified Benefit Professional Practice Test

CBP - Certified Benefit Professional Practice Test

CBP Leave and Work-Life Benefits 3