Here’s how the PHMP puts money back into your paycheck.
Since the plan premium is pre-deducted from your taxes, that means, if you make $1,000 per week, you’re only being taxed on $825.77. ($1,000 – $174.23 = $825.77)
Without the PHMP, you are ordinarily taxed on the full amount of money you make. So, in this case, you’d be taxed on the full $1,000.
The picture here shows what you’d be taxed without the PHMP.