IQVIA Benefits Handbook
TAX TREATMENT OF STD BENEFITS
Because IQVIA pays for your STD coverage, any benefit payments you receive are subject to federal and state income taxes. You may want to consult with your tax advisor regarding the proper income tax treatment of your benefit payments.
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Up Close and Personal: Marie
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Marie works for IQVIA and is making $52,000 a year ($1,000 a week) when she becomes disabled due to an accidental injury. Under the STD Plan, Marie is entitled to receive a total of $1,000 a week from all disability income sources. Here's how her STD benefit is calculated:
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Marie's earnings for weeks 1-4 (100% of weekly earnings)
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$1,000
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Marie's earnings for weeks 5 -26 (70% of weekly earnings)
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$700
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If Marie received any benefit offsets during her disability, these amounts would be deducted from her STD payments.
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