Are Insurance Benefits Pre Tax. However, disability benefits are subject to tax if your premiums are paid by an employer. For instance, the deductions enable staffers to participate in various health care insurance and life insurance plans, prior to having their gross income taxed.
Health savings account (hsa) flexible savings account (fsa) 401(k) On top of these benefits, your employer may offer you voluntary life insurance benefits, all of which are pretax to some degree. Specific examples of each type of payroll deduction include: