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contributory plan |
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contributory plan, n a method of payment for group insurance coverage in which part of the premium is paid by the employee and part is paid by the employer or union. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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| Therefore, the Amended Plan is not a contributory plan and, accordingly, there is no need to determine the portion of amounts received that is attributable to employer contributions (pursuant to regulations prescribed under Sec. While this makes sense in respect of a contributory deferred compensation arrangement where amounts set aside for the benefit of an employee are also beyond reach of the employer's creditors, it does net follow that a contributory plan must be treated the same as a noncontributory plan. And for employers with a contributory plan, sharing premiums on a 50-50 basis is a better way to start instead of the proposed 80-20. |
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