Page 6 - TCW_Benefit Guide_2019 FINAL

YOUR 2019 BENEFITS & ENROLLMENT GUIDE

MAKING CHANGES
When you elect medical, dental, and vision insurance and enroll in FSAs, your elections
generally stay in effect until December 31. You cannot change your coverage, start or stop
coverage, or add or drop any family members during the plan year unless you experience a
life event that permits an election change in accordance with Internal Revenue Code (IRC)
rules and TCW’s policies. Examples of life events include, but are not limited to: change in
marital status; change in number of dependents; change in dependent eligibility; or change
in your spouse’s or domestic partner’s employment status. You must report your qualifying
life events and submit benefit election changes within 31 days from the date of the event. Life
events that are not reported timely will not be processed.

PAYING FOR COVERAGE
Employee Contributions
You and TCW share the cost of certain coverage. Your portion of the cost varies according
to the benefits and coverage levels (i.e., single, family, etc.) you elect. The premium cost for
coverage does not include your costs for any applicable deductibles, copays, out-of-network
charges or non-covered items.
Active employees generally pay their contributions for health benefits on a “pre-tax basis,” that
is, before any required income and employment taxes are deducted from their paychecks. In
addition, contributions to any flexible spending accounts (FSAs) or health savings accounts
(HSAs) are deducted pre-tax (as permitted by federal/state/local laws). Paying for benefits on a
pre-tax basis generally means that income and Social Security taxes will not be deducted for the
pre-tax contribution. As a result, the earnings used to calculate your Social Security benefits at
retirement will not include these payments. This could result in a small reduction in the Social
Security benefit you may be eligible to receive when you become eligible for such benefits.

Taxable Coverage for Certain Individuals
Due to federal and state tax regulations, benefits provided to individuals who cannot be
claimed as your tax dependent, including most domestic partners, are generally taxable
and therefore deducted from your pay on an after-tax basis. Additionally, any premium
contributions made by TCW on behalf of your domestic partner are generally considered
taxable income to you. Contact Human Resources if you believe your domestic partner is
exempt from federal or state taxes.

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