Filing your personal taxes can be easier than it used to be. Unfortunately, what you could claim last year may not be the same this year. I have compiled a list of the common personal tax laws that have changed since last tax season on my website. I have also provided several tips that can help you get the biggest return possible without manipulating your tax forms. You can learn how to get the biggest return while following the IRS guidelines so you do not have to worry about tax audits or getting a penalty letter a few years after getting your check.
Most employers provide discounted disability insurance for their employees, and federal agencies are no different. However, this long-term disability insurance can fall short for many people's needs. It's important to find supplementary short-term federal employee disability insurance as it can help cover temporary losses in income better than federal programs can. Plus, it's affordable, and there's flexibility in the cost of the plans as well.
Covers The Gaps
Typically, federal employees are eligible for a form of long-term wage replacement after 18 months of work but only if their disability is long-term. If you break your hand or leg or otherwise can't work, you won't be eligible for that type of insurance. Meanwhile, these types of injuries can't be covered with paid time off alone. This grey area of coverage can be disastrous for the worker or their household, as a few months can mean the difference between foreclosure or eviction and financial stability.
Even if you have enough savings to cover a 3-6 month-long lack of income, it can be difficult to rebuild afterward. Loans taken out on a mortgage or credit card lines can be expensive to repay, and burning through any savings requires the difficult process of rebuilding those savings. Recovering from an injury could, financially speaking, take longer than the recovery from the physical injury itself. Why do that when you can pay for insurance instead?
It's Affordable
Finally, short-term disability insurance is more affordable than you might think. Federal employees are partially covered by their employer, so they can focus on the insurance that works best for them, namely, short-term insurance only. Additionally, the average cost for short-term disability is only around 1-3% of your annual income. This means that if you make $40,000 a year, you'll most likely pay between $400 to $1200 a year, or $33 to $100 a month. These costs differ in terms of the work you do, your health, your insurance company of choice, and how much of your income you want to be covered during a short-term disability period.
This flexibility can be a lifesaver for the federal employee. You can choose a higher amount of coverage if you want more security or a lower amount if you know that savings or paid time off can cushion the blow during an injury.
Overall, there are many benefits to investing in short-term disability insurance as a federal employee. You already have long-term insurance prepared through the federal government, but short-term injuries can still be disastrous. If you are interested in protecting yourself from these kinds of financial situations, find a federal employee disability insurance provider to learn more.
Share17 February 2021
