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Posted by Ron Rosenfeld on February 21, 2008, 10:25 am
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On Tue, 19 Feb 2008 20:09:19 EST, Harlan Lunsford
>She should have already received a W2 from the third party IF those
>premiums were "pre tax". And it sounds like it, since FICA was withheld.
>this is what I've seen from Unum, a big insurance company up in
>Maine.
The OP mentioned that the premium was withheld from her paycheck.
This may indicate that this was employee-paid disability.
If that was the case, then UNUM should not have been withholding anything,
and she should not be receiving a W2.
UNUM has made mistakes in this area in the past (personal experience).
--ron
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Posted by Harlan Lunsford on February 21, 2008, 5:39 pm
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Ron Rosenfeld wrote:
> On Tue, 19 Feb 2008 20:09:19 EST, Harlan Lunsford
>
>> She should have already received a W2 from the third party IF those
>> premiums were "pre tax". And it sounds like it, since FICA was withheld.
>> this is what I've seen from Unum, a big insurance company up in
>> Maine.
>
> The OP mentioned that the premium was withheld from her paycheck.
>
> This may indicate that this was employee-paid disability.
Au contraire, mon frere! It doesn't indicate anything except two
possibilities; either it was pre tax or post tax. And we don't know.
>
> If that was the case, then UNUM should not have been withholding anything,
> and she should not be receiving a W2.
>
> UNUM has made mistakes in this area in the past (personal experience).
> --ron
>
On the last point, ron, I will certainly agree with you!
ChEAr$,
Harlan Lunsford, EA n LA
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<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
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<< to this newsgroup as well as our anti-spamming policy >>
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Posted by Ron Rosenfeld on February 21, 2008, 10:11 pm
Please log in for more thread options On Thu, 21 Feb 2008 17:39:20 EST, Harlan Lunsford
>> The OP mentioned that the premium was withheld from her paycheck.
>>
>> This may indicate that this was employee-paid disability.
>
>Au contraire, mon frere! It doesn't indicate anything except two
>possibilities; either it was pre tax or post tax. And we don't know.
Oh, I certainly agree that we don't know. That's why I wrote "may"
indicate.
By the way, I don't know what the usual procedure is. But in my case, the
W2, had it been issued, would have come from my employer, and not from
UNUM.
--ron
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<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
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Posted by curiousgeorge408 on February 22, 2008, 10:22 am
Please log in for more thread options > in my case, the W2, had it been issued, would have come
> from my employer, and not from UNUM.
That was my expectation, too. And in fact, my sister
"discovered" later that she did indeed receive two(!) W-2s
from the employer, the second presumably covering the
disability insurance payments. Even that seems odd to
me, at least if the EIN is the same on both W-2s. But I
have not seen the W-2s myself; and I would not rely on
my sister's interpretation of the facts.
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<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
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<< Copyright (2007) - All rights reserved. >>
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Posted by Ron Rosenfeld on February 22, 2008, 12:07 pm
Please log in for more thread options On Fri, 22 Feb 2008 10:22:29 EST, curiousgeorge408@hotmail.com wrote:
>That was my expectation, too. And in fact, my sister
>"discovered" later that she did indeed receive two(!) W-2s
>from the employer, the second presumably covering the
>disability insurance payments. Even that seems odd to
>me, at least if the EIN is the same on both W-2s. But I
>have not seen the W-2s myself; and I would not rely on
>my sister's interpretation of the facts.
One important fact that I don't think has been addressed. You mentioned
that "Premiums were paid by a deduction from her paychecks."
This raises the question (at least in my mind) as to whether this was an
employee-paid disability policy using AFTER-tax dollars. If it was, then
she probably should NOT be receiving any W2 at all -- the payments would be
non-reportable. And she certainly should not have had any FICA withheld.
However, if the amount deducted on her paycheck to pay for the policy was
NOT part of her taxable income (i.e. part of a cafeteria plan), then the
disability income would be fully taxable to her.
This link http://www.irs.gov/faqs/faq4-9.html and IRS Publication 525
(http://www.irs.gov/publications/p525/index.html ) have more information.
--ron
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<< ------------------------------------------------------- >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2007) - All rights reserved. >>
<< ------------------------------------------------------- >>
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