Is this all I need to do when switching an employee to a 125 cafeteria Plan?

In 2025, when I enter a payroll check into Quicken I create a split transaction that looks like this:

Salary & Wages:Pastor’s Salary 2506.00

Payroll – Health Insurance -2000.00

The amount entered as Payroll- Health Insurance results in a debt being withheld to pay his health insurance and there’s a second check transaction in 5 days that includes the Health Insurance amount being paid to the insurance company reducing that debt to a zero balance.

In 2026 the employee is has elected to participate in a 125-cafeteria plan where the health insurance is paid in pre-tax dollars. I’m thinking that all I need to do is create another category under Salary and wages called “125 Wage Reduction” and when I enter the payroll check transaction in Quicken it will look like this:

Salary & Wages:Pastor’s Salary 506.00

Salary & Wages:125 Wage Reduction 2000.00

Payroll – Health Insurance -2000.00

Am I correct, that this is what’s needed to show the fact that we paid $2000.00 per month into his 125 wage reduction account? I'm thinking this is correct but I need a confirmation please.