MMC Benefits Handbook
Cost of Coverage
If you elect Long Term Disability Bonus Income coverage, you pay the full cost for coverage.
- $25,000 ÷ 12 months = $2,083.33 × 0.1470% = $3.06 per semi-monthly paycheck
- $25,000 ÷ 12 months = $2,083.33 × 0.0678% = $1.41 per weekly paycheck
Where do I find enrollment information and my covered benefit amount(s) under each coverage option percentage?
Generally, invitations letters are sent in June of each year.
Will my cost change?
The cost of your Long Term Disability Bonus Income Plan coverage is based on your age as of the prior December 1st. As you get older, the incidence of disabilities increases, and the cost of providing coverage increases. Accordingly, your cost increases.
The amount of your eligible bonus and your elected covered coverage option percentage benefit amount will also impact your cost.
When will my cost change go into effect?
Your cost for Long Term Disability Bonus Income Plan coverage may change. Generally, these changes may occur each January 1.
The Company reserves the right to change the amount you are required to contribute at any time.
Do I pay for coverage with before-tax or after-tax dollars?
You pay for your Long Term Disability Bonus Income Plan with after-tax dollars which are deducted from your paycheck.
Do I pay taxes on the long term disability payments I receive?
Your long term Disability bonus income benefit is not taxable.