Premium Conversion Plan Overview

The Premium Conversion Plan is changing, effective 1/1/2009.  You will automatically have all eligible premiums deducted pre-tax, unless you actively opt-out during Open Enrollment in the Fall of 2008.

The MOCafe Premium Conversion Plan allows you to have certain state-sponsored insurance premiums deducted before State and Federal income taxes, and FICA taxes are assessed.  Most people save anywhere from 25-40% on each dollar that is set aside in this program (the actual amount of savings will vary depending upon your tax bracket). 

The voluntary programs that are eligible for the Cafeteria Plan include:

AFLAC -- Cancer, ICU and Hospital Indemnity plans

Allstate -- Critical Illness plan

CompBenefits -- Dental, Advantage Dental and Vision.

Dental Source -- Dental Premier A, DHMO, Indemnity Basic, and Indemnity Premier.

Spectera -- Vision

If you have a current payroll deduction for one of these products, your deduction will be pre-tax unless you actively Opt Out during the annual open enrollment period.  The MOCafe plan year is January 1 through December 31st. Open Enrollment is held from October 1 through December 1 each year. Cafeteria Plan requirements can be found in the Plan Summary document.

 

New Hires and/or Mid-Year Changes:

• A new employee must enroll in the Cafeteria Plan within 31 days of his/her hire date to participate in MOCafe.
• Coverage for mid-year new-hire enrollments may be effective on the first day of the month following approval of the enrollment form.
• You may also make future changes to your account within 60 days of any qualifying change in status event.