payroll deductions--medical

[ruxpin68]

What is the name of your state? Pennsylvania
Is whether a medical insurance payroll deduction pre-tax or after-tax statutory? If so, which is it? Or is it up to the discretion of each employer?

 

[Beth3]

It's up to the each employer. They can't just start making group heath premium deductions pre-tax though. They must put a Plan Document in place that complies with 125B legislation and file that with the DOL and the IRS first. Once that's done, then premium deductions can start being withheld on a pre-tax basis. The employer must also then comply with all the requirements of that section of the tax code regarding the deductions and when and why changes can be made.

 

[ruxpin68]

thank you

Thank you for your reply. It was very helpful.