Pre tax premiums

[Guest maya24]

I have an employer who asked about pre tax premuims and if there is a maximum. The story is the employee was out on FMLA and used all vacation, sick time etc. Now that all that has run out, the employee has to pay all her insurance premiums. She will be geting a paycheck over the summer. The employer asked if she could have it all taken out pre tax from those checks. The amount she pays will wipe out the checks completely and I didn't think you could do that? Any help or guidance would be great. Thanks

[LRDG]

in general ERs can withhold pre-tax premiums from EEs final paycheck. The election would be consistant with COBRA, and nothing in the IRS regs/code prevents retroactive or advance payment of premiums pre-tax.

the specific circumstances under which the EE will receive a paycheck in the summer and the eligibelity of retroactive pre-tax premium payment will have to be reviewed to ensure compliance.