555 S. Howes Street, Suite 206
Fort Collins, CO 80523-6004

Tel: (970) 491-MyHR (6947)
Fax: (970) 491-2337

Pre-Tax vs. Post-Tax Deductions

Current Employees

For some payroll deductions, you may choose to have the deduction taken pre-tax or post-tax in accordance with Section 125 Cornell Legal Information Institute and Section 132(f) Cornell Legal Information Institute of the Internal Revenue Code. These are currently limited to parking permits and several insurance-related deductions. Additional information is provided by HR Benefits.

Pre-Tax Deductions

Pre-tax deductions are taken before Medicare, Federal, and State taxes are calculated thus reducing your taxable income (your tax liability).

Post-Tax Deductions

Post-tax deductions are taken after taxes are calculated and deducted, so your Federal, State and Medicare tax liability is not affected.