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Participating in the Benefit Plans > Paying for Coverage
Paying for Coverage
You and Diageo share in the cost of health care coverage. The cost of your coverage depends on the options you elect and the level of coverage you choose. You pay for your share of health care coverage, FSAs, and vision coverage with pre-tax money that is deducted from your regular paycheck before taxes have been withheld (except for partner coverage). Diageo pays for the rest.
When you enroll in medical, dental, and/or vision coverage, you must choose one of the following coverage levels:
  • Employee
  • Employee + 1
  • Employee + 2
  • Employee + 3 or more
Tax Savings Example
Your annual base salary is $40,000, and your total for benefit deductions (including Spending Accounts and CERA) is $5,000 per year.
 
Pre-tax Deductions
After-tax Deductions
Your annual base salary
$40,000
$40,000
Pre-tax deductions
- $5,000
$0
Taxable income
$35,000
$40,000
Federal taxes (15%)
- $6,533
- $7,283
Social Security / Medicare (FICA) (7.65%)
- $2,678
- $3,060
Take-home pay after taxes
$25,789
$29,657
After-tax deductions
$0
- $5,000
Take-home pay
$25,789
$24,657
Estimated tax savings*
$1,132
 
*You may save more if state and local taxes are included. This estimate is based on current tax law and is subject to change.
 
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