Voluntary Payroll Deduction Plan

An optional, individual plan in which employees purchase life insurance and/or disability income insurance and pay the premiums by having their employer deduct a portion of their paycheck every month or pay period. The employer does not make any contributions to the plan and, as a result, employees may take the plan with them if they change jobs.

References in periodicals archive ?

These insurance benefits can be employer paid or made available as a voluntary payroll deduction plan. They are great ways of lessening employees' pain when implementing higher and higher deductibles and co-pays.

Stop holding your breath

Voluntary payroll deduction plans for life insurance and for long-term health care offer a cost-effective way for employers to alleviate employee health and financial concerns--without increasing their own.

Payroll deductions are a popular option for long-term health care and life insurance