Final answer:
A cafeteria plan allows employees to choose between pre-tax benefits and cash compensation, but cash itself cannot be part of a cafeteria plan. Group-term life insurance, qualified adoption assistance, and medical savings accounts can all be included in a cafeteria plan as long as they meet IRS requirements.
Step-by-step explanation:
A cafeteria plan is a type of employee benefit plan that provides employees with a choice between receiving certain qualified benefits on a pre-tax basis or receiving cash compensation. The purpose of a cafeteria plan is to allow employees to select benefits that best meet their individual needs. However, not all benefits can be included in a cafeteria plan.
Among the options listed, Cash cannot be part of a cafeteria plan. Cash is not considered a qualified benefit and is not eligible for pre-tax treatment. The other options mentioned - Group-term life insurance, Qualified adoption assistance, and Medical Savings Accounts - can all be part of a cafeteria plan as long as they meet the specific requirements set forth by the Internal Revenue Service.