I am still a bit confused on payment schedules for COBRA payments. For example, if an employee terminates on 5/31, they have until 7/30 to make the first payment. When is the second one due? I keep seeing information that the first payment has a 45 day grace period and subsequent payments have a 30 day grace period. Does this mean the employee can always be a month behind in payments?

Can someone please explain this to me using my example - actually giving me dates, like the 1st payment is due 7/30, the second is due 8/1...etc?

Ok, here goes. Maximum time periods for everything:

E's terminates 1/31. 44 days later (3/16), receives the notice. Elects within 60 days (5/15) and has 45 days (6/29) to make first payment. At this point, ALL payments which have come due become payable (February through May-but not June quite yet).

For months beginning with may, the payment is due 30 days afterthe first day of the month for which premiums are being paid. Therefore, 7/1, an additional payment must be made for June. All months thereafter, the ex-employee has this 30 day grace period, so, yes, they could be a month behind.

Agree? Disagree?

I was told there would be no math.