Grace's employer is now offering group-term life insurance. The company will provide each employee with $185,000 of group-term life insurance. It costs Grace's employer $875 to provide this amount of insurance to Grace each year. Assuming that Grace is 31 years old, use the tale to determine the monthly premium that Grace must inckude in income as a result of receiving the group-term life benefit. EXHIBIT 12-08 Uniform Premiums for $1,000 of Group-Term Life Insurance Protection 5-Year Age Bracket. Cost Per $1,000 of Protection for One Month Under 25 $0.05 25 to 29 0.06 30 to 34 0.08 35 to 39 0.09 40 to 44 0.10 45 to 49 0.15 50 to 54 0.23
Grace's employer is now offering group-term life insurance. The company will provide each employee with $185,000 of group-term life insurance. It costs Grace's employer $875 to provide this amount of insurance to Grace each year. Assuming that Grace is 31 years old, use the tale to determine the monthly premium that Grace must inckude in income as a result of receiving the group-term life benefit.
EXHIBIT 12-08 Uniform Premiums for $1,000 of Group-Term Life Insurance Protection
5-Year Age Bracket. Cost Per $1,000 of Protection for One Month
Under 25 $0.05
25 to 29 0.06
30 to 34 0.08
35 to 39 0.09
40 to 44 0.10
45 to 49 0.15
50 to 54 0.23
Group Term Life Benefit:- It is a policy of insurance coverage that is provided to a group of people. It is liable for a $50,000 exemption on the first term of a group of life insurance as per IRC section 79.
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