Pre-tax benefits can provide you with tax savings by allowing you to pay for your health and dental premiums, eligible dependent daycare, out-of-pocket medical, dental, and work-related transportation expenses with tax-free dollars. Contributions towards these accounts are taken from your paychecks before taxes are deducted, and since you pay less in taxes, your net income may be greater.
The benefits are available to employees who are paid through the State’s Central Payroll. Employees of other organizations participating in SEGIP, paid through independent payroll systems, may have similar benefits (ask your Human Resources office about the availability of pre-tax benefits).
121 Benefits is the administrator for the state's pre-tax benefits. Visit the 121 Benefits website for state employees for more information regarding the pre-tax benefits. You will find:
- Complete pre-tax plan information
- A searchable list of eligible expenses
- The Pre-Tax Plan Year Summary
- Frequently asked questions regarding the IRS $500 Carry-over rule for the MDEA
- Instructions and FAQ for using the debit card
Visit the 121 Benefits website for Minnesota State Colleges and Universities if you are a Minnesota State college or university employee.