Voluntary Deductions
Amounts an employee chooses to route into employer sponsored benefits such as health insurance, retirement savings, life insurance, savings plans, or union dues.
Often confused with
- Mandatory Deductions
- Mandatory deductions are required by law and not chosen; voluntary deductions are elected by the employee.
- Pre-Tax Deductions
- All pretax deductions are voluntary, but some voluntary deductions are taken after tax instead.
Taught in
See also
5.1.C.4