What is LTD on pay stub?

LTD on a pay stub stands for Long-Term Disability insurance. This is a type of coverage that provides income replacement for employees who become unable to work due to a long-term illness or injury. The premium for LTD insurance may be deducted from an employee's paycheck, and it typically begins to pay benefits after a specified waiting period, usually several months. It is designed to offer financial support during extended periods of disability.