Long-term disability benefits are an important process to get the relief you need during this difficult time. It’s also important to know if these benefits are taxable or not, which depends on who is paying the premium for the long-term disability benefits.
Employer Pays the Premium
If your employer pays for part of or the entire premium, then your benefits will be taxable as income. If your benefits are taxable then the insurance company with normally withhold the amount of taxes from each payment sent to you.
You Pay the Premium
In the case that you pay the entire premium, your benefits will be considered not taxable as income. The funding you receive from the benefits will not be deducted in any way, and you keep what you receive.
While this question has a simple answer, it’s difficult to keep track of everything. At Findlay Law, we know long term disability claims can feel overwhelming, and it's hard not to get lost in the abundance of online information. Check out some of our other blog posts on long-term disability to stay up to date with your benefits.
Any questions about long-term disability claims and disputes? Call 905-522-9799 for a free legal consultation with Findlay Personal Injury Lawyers.
Disclaimer: The information throughout this website is not intended to be taken as legal advice. The information provided by Findlay Personal Injury Lawyers is intended to provide general information regarding personal injury law, catastrophic injury cases, wrongful death claims, medical malpractice lawsuits, car accidents, truck accidents, motorcycle accidents, and more for residents of Hamilton, Burlington, Stoney Creek, Brantford, Niagara Falls, and nearby areas in Ontario. This website is not intended for viewing or usage by European Union citizens. If you are interested in learning more about our law firm, please contact us for a personal consultation.