Comments on: COBRA Alert – Take Steps Now http://www.hrmgsolutions.com/blog/cobra-alert-take-steps-now/ Expert advice on HR, Payroll, and Timekeeping Sat, 10 Jul 2010 14:25:05 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Jay Barrett http://www.hrmgsolutions.com/blog/cobra-alert-take-steps-now/comment-page-1/#comment-8574 Jay Barrett Mon, 09 Mar 2009 01:07:19 +0000 http://hrmgsolutions.com/blog/?p=55#comment-8574 Two questions on this new COBRA. If an employee on COBRA is required by the company to pay only $100 of the $500 premium, does he now only pay 35% of the $100, or does he continue to pay the $100? Does the employer need to go out with a notice telling COBRA employees that if their family adjusted gross income is over $290,000 ($250,000?) they can opt out of having the employer taking the immediate COBRA credit on payroll. Am I understanding this correctly, that if the company takes the credit for the COBRA employee and he is not eligible due to family adjusted income level, the employee will need to declare that on his income tax return? Two questions on this new COBRA.

If an employee on COBRA is required by the company to pay only $100 of the $500 premium, does he now only pay 35% of the $100, or does he continue to pay the $100?

Does the employer need to go out with a notice telling COBRA employees that if their family adjusted gross income is over $290,000 ($250,000?) they can opt out of having the employer taking the immediate COBRA credit on payroll. Am I understanding this correctly, that if the company takes the credit for the COBRA employee and he is not eligible due to family adjusted income level, the employee will need to declare that on his income tax return?

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