When an individual pays the full cost of disability income insurance, a disabled employee's benefit will be ____________________.

When an individual pays the full cost of disability income insurance, a disabled employee's benefit will be ____________________.



A. Taxable in part, up to 60% of the employee's pretax wage


B. Taxable in full, regardless of the employee's wage


C. Nontaxable in full, regardless of the employee's wage


D. Nontaxable up to 60% of the employee's pretax wage



Answer: Individual insurance premiums are not deductible and the benefits payable are not taxable.

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