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Retirement Planning
Chapter 13: Employee Benefits & Fringe Benefits/GROUP MEDICAL PLANS
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Chapter 13: Employee Benefits & Fringe Benefits

GROUP MEDICAL PLANS

01.Core Concepts

• Provides benefits for employees, their spouses, and their dependents in the event of personal injury or sickness. • Premiums paid are deductible for employer and excluded from the employee’s taxable income. • Coverage may continue after age 65 (Medicare eligibility age) for active employees. • Summary Plan Description provides details of how the group coverage coordinates with Medicare and whether group coverage remains available at separation of service after age 65. • Most group plans do not cover retired employees.