N.Y. Retirement & Social Security Law § 79: Cafeteria plans

§ 79. Cafeteria plans. To the extent permitted by section one hundred

twenty-five of the internal revenue code and any regulations adopted

pursuant thereto, any salary reduction elected by an employee who is a

participant in either the New York state employees' retirement system or

the New York state teachers' retirement system under a cafeteria plan or

flexible benefit plan shall be considered part of annual compensation

for the purpose of computing employer and employee retirement plan

contributions and for computing retirement benefits.