Program BasicsState of Iowa employees who work at least 1040 hours/year, have the option to pay their share of health, dental and supplemental term life insurance premiums with pretax* dollars. Employees are automatically enrolled in this plan and may elect out of the plan. Participating in the Premium Conversion Plan helps you...
The term pretax, for purposes of the Premium Conversion Plan, means "before federal, state and FICA taxes". Your pretax premium amount will reduce the amount of wages reported to social security. The effect on your social security benefit will be proportional to the amount of total pretax premiums you pay.
* Based on estimated federal tax of 15% , state tax of 6%, and FICA of 7.65% |
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