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Group Term Life (GTL)

Beginning with the pay date of 1/6/2017 Group Term Life Insurance will start to be reflected on the first check of every month as opposed to one lump amount on the last paycheck of the year. This will allow our payroll system to automatically calculate the amounts to be taxed rather than the District manually calculating the amount at the end of the year. Please see below information from Publication 15-B from the IRS:


"Coverage over the limit. You must include in your employee's wages the cost of group-term life insurance beyond $50,000 worth of coverage, reduced by the amount the employee paid toward the insurance. The amount is subject to social security and Medicare taxes, and you may, at your option, withhold federal income tax."