Ripcord currently has a long-term disability plan that has a six-month waiting period and provides a maximum benefit of 60% of covered salary in the event of occupational or non-occupational disability. It covers a monthly salary up to $10,000. The plan definition of disability is own occupation for the first two years of disability and modified own occupation thereafter. Ripcord pays the premium for 40% of the covered salary and allows the employee to pay the premium on an additional 20% of covered salary.

Maria, a Ripcord employee making $130,000 in annual salary, became disabled on 1 July 2020 when she fell off a ladder while washing the second-story windows on her house. At that time, Maria was covered under the LTD plan. She had paid after-tax premium for the additional 20% coverage in addition to the coverage provided by Ripcord. Maria has been disabled and unable to work throughout 2021 and will not be able to work in November or December of 2021, according to her doctor. How much will Maria receive in payments from the LTD plan and what is the dollar amount of these payments subject to income tax for 2021?