Disability Benefits
The disability benefits provided by Tishman work together to help you pay your household expenses if you become disabled and cannot work. Our disability benefits also work with other sources of income to replace a certainpercentage of your earnings. As a result, the disabilitypaymentsyou receive from our plans will be reduced by any benefits you are eligible to receive from Social Security, Workers' Compensation, Retirement Benefits, or most other disability coverages to which you are entitled. Statutory Short-Term Disability Benefits Short-Term Disability benefits will be provided to employees working in California, Hawaii, New Jersey, New York, Puerto Rico, and Rhode Island through the applicable state-mandated disability program. If you work in one of the aforementioned states and would like more specific information concerning the disability benefits available to you, please contact your local state disability office. Salary Continuance Tishman's Salary Continuance Policy provides employees who are on an approved short-term disability leave with supplemental income replacement. This policy increases the weekly disability benefit employees are eligible to receive to 100% of base annual earnings. Employees become eligible to receive salarycontinuance: 1) after the completion of six (6) monthsof continuous service; and 2) short- term disability has been approved by the short-term disability carrier or local state disability office. The maximum length of time salary continuation will be paid is based upon your years of service with Tishmanas indicated in the tableto the right. Long-Term Disability (LTD) Benefits Your coverage under Tishman's LTD program is effective the first of the month following 12 months of continuous employment. If you remain disabledfor 90 calendar daysdue to any one injury or illness, you may beeligible to receive LTDbenefits.This coverageprovidesa continued source of income that equals 60% of your monthly base earnings to a maximum benefit of $30,000 per month or 70% of your base earnings less any other deductible sources of income. The premium for this benefit is typically paid entirely by Tishman at no cost to you.However, youwillbegiven theoptiontopayforthisbenefityourselffortaxpurposes. Payment Option1: Basic LTD(Company-Paid) If you choose this option, Tishman will pay the entire premium for your LTD at no cost to you. However, if you become disabled, your monthly disability benefit amount will be subject to taxes, thus lowering your overall benefit payment. Payment Option 2: Voluntary LTD(Employee-Paid) Youhave the option to pay for your LTDcoverage premium with after-tax dollarsthrough payrolldeduction. You may choose to elect this option for the purpose of receiving future disability benefit payments tax-free. You will not be requiredto submit Evidence of Insurability if you elect VoluntaryEmployee-Paid LTD.
Years of Service
Benefits Payable
Up to 4 weeks within a 52- week period Up to 12 weeks within a 52- week period
0-3Years
3+Years
Employees are eligible to receive salary continuance once within a 52-week period.
What is the advantage to choosing Voluntary Employee-Paid LTD?
Contributory LTD Plan Value Example
Employer-Paid Employee-Paid Advantage
Example Notes:
Monthly Gross Earnings Monthly Gross Benefit % of Benefit That is Taxable
$8,333 $5,000
$8,333 $5,000
Example assumes total compensation of $100,000. This example is illustrative only. Exact amounts will depend on employee's actual earnings and associated tax bracket.
100%
0% -- --
TaxDeducted From Benefit (assumes30% tax rate)
$1,500 $3,500
Net Benefit Amount
$5,000
Increase in Benefit Amount
-- --
$1,500 (monthly) / $18,000 (annually)
EmployeeCost Per Paycheck (Bi-Weekly)
$0
$32.69
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