GroundRules
20 CFR 404.1051: Payments on account of sickness or accident disability, or related medical or hospitalization expenses.
Where this section sits in the code
- Title 20—Employees' Benefits
- CHAPTER III—SOCIAL SECURITY ADMINISTRATION
- PART 404—FEDERAL OLD-AGE, SURVIVORS AND DISABILITY INSURANCE (1950- )
- Subpart K—Employment, Wages, Self-Employment, and Self-Employment Income
(a) We do not include as wages any payment that an employer makes to you, or on your behalf, on account of your sickness or accident disability, or related medical or hospitalization expenses, if the payment is made more than 6 consecutive calendar months following the last calendar month in which you worked for that employer. Payments made during the 6 consecutive months are included as wages.
(b) The exclusion in paragraph (a) of this section also applies to any such payment made by a third party (such as an insurance company). However, if you contributed to your employer's sick pay plan, that portion of the third party payments attributable to your contribution is not wages.
(c) Payments of medical or hospitalization expenses connected with sickness or accident disability are excluded from wages beginning with the first payment only if made under a plan or system of your employer as explained in § 404.1049(a)(1).
(d) Payments under a worker's compensation law are not wages.
Collected 2026-08-27T02:24:45Z. Source file · JSON