UNM Premium Only Plan (POP) for Pre-Tax Benefit Plan Contribution
Pre-Tax Benefit Plan Contributions
When you enroll in medical, dental, and/or vision coverage, you can elect for your benefit plan contributions to be deducted from your gross salary before computing taxes, reducing the amount you pay in federal, state, and social security taxes. This method of pre-tax contributions generally increases your take-home pay over making benefit plan contributions on a post-tax basis.
The POP is offered to all regular UNM employees who:
- Are presently enrolled in a UNM-sponsored medical, dental, and/or vision insurance benefit plan
- Have benefit plan contributions deducted through UNM payroll
- Review the Eligibility and Enrollment information on the HR Web site for additional eligibility details and enrollment procedures
If you elect this benefit, you may not use your medical, dental, and vision premiums as deductions when you file your federal and state income tax returns.
General Provisions of the POP
- POP allows you to have your medical, dental, and/or vision benefit contributions deducted from your pay before income taxes are deducted, thus lowering your taxable income and reducing the amount you pay in taxes
- Once you choose to enroll in the POP, you cannot make changes to your benefit plans unless you experience a Qualifying Change in Status event
- You should consult a tax advisor for information on how the POP may impact Social Security benefits
- POP does not include FSA - for information about FSA, review the FSA information
- Review UNM's Section 125 Plan Document for additional details