Do not create or change a payroll deduction solely because an employee enrolled in individual health insurance through your ICHRA.
Before setting up a deduction, confirm:
Whether the deduction is permitted
Whether it must be processed after tax or may be processed pre-tax under a cafeteria plan
Whether the employee has provided the required authorization
Whether the amount matches the applicable premium period
How you will handle changes or missed deductions
How the deduction will be handled when employment ends
A payroll deduction does not replace your responsibility to maintain accurate ICHRA eligibility and administration records.
For more information about the employee-paid portion of a premium, see How ICHRA Allowances and Employee Premium Payments Work with Payroll.