New fiscal year brings new benefits

New fiscal year brings new benefits

tballard@govexec.com

Federal workers returning to the office Monday will greet more than just a new day-fiscal year 2001 has officially begun.

So far this year, Congress has sent only two completed fiscal year 2001 spending bills to the president for his signature, the Defense and Military Construction measures. The Senate adopted a continuing resolution passed by the House, agreeing to fund through Friday those government agencies whose fiscal year 2001 budgets have not been enacted.

Though Congress has yet to approve all of the appropriations bills, there are plenty of new federal employee benefits that kick off with the new fiscal year.

For the first time, federal workers' health insurance premiums will be deducted from pre-tax dollars. As a result, most employees will benefit from lower taxable income.

Federal agencies in the D.C. Metropolitan area have to provide up to $65 per month for employees who take mass transit or carpool to work, under an executive order signed in April by President Clinton.

Instead of following the calendar year, now new per diem rates take effect with the start of the new fiscal year. The General Services Administration released the fiscal 2001 per diem rates last month. The rates establish how much money federal travelers can spend on lodging, meals and incidental expenses.