<p>Just got my W-2 from a a new job. All of the health insurance premiums taken out of my pay are listed as "Other Cafe 125". I was confused, because on my weekly pay stubs it lists the amounts clearly as health insurance premiums.</p>
<p>I've started looking into it, and it seems that there are certain costs that a company can take out pre-tax under the heading "Cafe 125". But is that something that would need explaining on the FAFSA, PROFILE or with Finaid Officers? Since it doesn't clearly say it is insurance premiums, but it is taken out pretax, I am worried that the amount will be added back in, and we are right near a cut-off bracket.</p>
<p>I know certain pretax things like 401Ks are added back in (and I have a small transportation salary reduction that I will add back in) but I believe that health insurance premiums are not added back into income.</p>
<p>Is it necessary to send the schools any sort of documentation about what this is?</p>
<p>I have searched the CC forum and not found anything about Cafe 125.</p>
<p>Last year my college-aged child was selected for verification, and it is likely that we will have to send our tax forms/W-2s in again this year as well as upcoming years with multiple kids in college. I want to be prepared with whatever documentation I will need.</p>