How is GTL 2020 calculated?

Group Term Life Insurance is calculated as the taxable cost per month of coverage and is calculated by multiplying the number of thousands of dollars of insurance coverage (figured to the nearest tenth) less 50,000, by the cost from the group insurance table.

How is GTL payroll calculated?


  1. Determine the excess of the GTLI (Value of GTLI – $50,000 allowable).
  2. Divide the excess amount by 1,000.
  3. Multiply the result by the age-appropriate value in the table below.
  4. Multiply that result by the number of months of coverage.
  5. Subtract after-tax premiums paid by the employee.

What does GTL on Paystub mean?

Group Term Life Insurance
1. Group Term Life Insurance (GTL) District Paid Group Term Life Insurance. The cost of district-provided group term life insurance (which includes cafeteria plans) in excess of $50,000 is reported as “other compensation” in Box 1, 3, 5, 16, and Box 12 Code C on the W-2 statement.

How are auto fringe benefits calculated?

Employees who use the Cents-Per-Mile Rule must determine the number of commute/personal miles driven in the vehicle. The fringe benefit is calculated by multiplying these commute/personal miles by the IRS standard mileage rates.

How do you explain GTL to employees?

If you see GTL which stands for Group Term Life on your paycheck, it means your employer has elected this organization-wide benefit that essentially pays your beneficiaries a portion or full amount of your annual salary.

How do I calculate imputed income?

One simple way to do the calculation is to determine the difference between your company’s cost of an employee-only monthly premium and the cost of an employee-plus-one monthly premium. Multiply that number by 12 and you will get your total.

What is GTL policy?

Group Terms Life Insurance/GTL is a pure Term Insurance policy that provides for financial assistance to its employees or their family members. Normally, a company takes this to cover the financial loss to its employees or their family members in the event of Death/ Accidental Injury, etc.

Are fringe benefits included in gross income?

Fringe benefits are generally included in an employee’s gross income (there are some exceptions). The benefits are subject to income tax withholding and employment taxes. There are other special rules that employers and employees may use to value certain fringe benefits.

What percentage is fringe benefits?

The rate depends on how much you pay employees and how much an employee receives in benefits. Although rates vary, according to the Bureau of Labor Statistics, the average fringe benefit rate (aka benefit costs) is 30%.

Is imputed income taken out of paycheck?

Can imputed income be taxed and also be deducted from your paycheck as a post-tax deduction? The additional $175 of imputed income is not actually money that you receive. It is reported to the IRS as taxable income because it is a benefit that is not eligible for a tax deduction. But it doesn’t change your cash wages.

What is considered imputed income?

The definition of imputed income is benefits employees receive that aren’t part of their salary or wages (like access to a company car or a gym membership) but still get taxed as part of their income. The employee may not have to pay for those benefits, but they are responsible for paying the tax on the value of them.