10-10-2022 Council Packet - Laserfiche WebLink

Home Browse Search

© Hitesman & Wold, P.A. 2019 Cafeteria Plan Summary Description (3-11) 54 PART VIII. CASH PAYMENT 8.1 What benefits are provided? The Plan permits you to receive a cash payment of all or a portion of the available Employer contribution not allocated for the purchase of other benefits under the Cafeteria Plan. 8.2 How do I become a Participant? To become a Participant in this portion of the Cafeteria Plan, you must first become a Participant in the Cafeteria Plan. If you satisfy those requirements, you become a Participant in this portion of the Cafeteria Plan by waiving coverage under the Group Medical Plan or enrolling in the Group Medical Plan with coverage for Employee Only, Employee Plus Children or Employee Plus Spouse. If you enroll in Employee Plus Family Group Medical you will cease to be eligible for cash payments under this portion of the Plan. To waive coverage under the Group Medical Plan, you must complete and submit a “waiver of coverage” form available from the Plan Administrator. 8.3 What amount of cash may I receive? Employees waiving Group Medical: receive $180.16 monthly. Employees selecting Employee Only Medical: receive $180.16 monthly. Employee selecting Employee Plus Children Medical: You may receive $333.13 monthly Employee selecting Employee Plus Spouse: receive up to $47.99 monthly Employee selecting Employee Plus Family: receive no cash payment. 8.4 When is the cash payment made? The cash payment will be pro-rated and made in substantially equal installments each month. The payments will be made by a separate check or incorporated into the Participant's regular paycheck. All cash payments constitute taxable income and are subject to withholding to the extent required by law. 8.5 What if I am no longer eligible? If your employment terminates, or you otherwise ceas e to be eligible to participate in the Cafeteria Plan, the cash payments cease. Only Participants are eligible to receive a cash payment.