|
|
Article: Federal Workers to Get Tax Break on Health Insurance
- Article from:
- The Washington Post
- Article date:
- February 28, 2000
- Author:
CopyrightThis material is published under license from the Washington Post. All inquiries regarding rights should be directed to the Washington Post. (Hide copyright information)
|
Civilian federal workers will get a slight tax break--beginning
this fall--when they can pay health insurance premiums using pre-tax
dollars.
But it will be a long time--if ever--before such a benefit is
extended to federal retirees.
President Clinton pledged the tax break for feds in his budget
proposal. It is one of the few things he promised that doesn't
require congressional approval. Under current tax law, many private
sector employees (but not retirees) already are paying health
premiums using pre-tax dollars, although the perk isn't a good deal
for everyone.
The practice, called "premium conversion," means that at the end
of the year the amount that the employee paid for health ...