Insurance Premium Withholding Program

The Pension Protection Act of 2006 allows certain retired and disabled public safety officers to reduce taxable income by up to $3,000 annually to pay qualified insurance premiums.

If you enroll in this program, MSRS will deduct insurance premiums from your retirement benefit and send directly to your insurance provider. Premiums for a spouse and dependent children are eligible for the tax exclusion; however, survivors do no maintain eligibility for this provision after the death of an eligible public safety officer.

 

Full retirement age
To qualify for the premium withholding program,  you must retire at full retirement age or are collecting a disability. If you retire prior to full retirement age, you are not eligible for the tax exclusion.  
Full retirement age by plan:

     Full Retirement Age by Plan

 

     Correctional Plan

   age 55 or older

     State Patrol Plan

   age 55 or older

     Judges , elected/appointed before July 1, 2013

   age 65 or older

     Judges elected/elected after June 30, 2013

   age 66 or older


Qualified insurance premiums
Qualified insurance premiums include health, dental or long-term care insurance coverage for you, your spouse and your dependents. Premiums must be deducted from your monthly benefit and paid by MSRS to the insurance provider.


To Enroll
You can enroll at anytime. You must complete an Authorization for Insurance Premium Deduction form and provide proof of insurance.  MSRS must receive your form by the 15th of the month in order to deduct a premium payment from your next retirement benefit. 

 

For more information
See the Insurance Premium Withholding FAQ or contact MSRS at 651-296-2761 or 1-800-657-5757.