Transcript Document

Understanding
Your Benefits
Mandatory Benefit Deductions
• OASDI
• HI
• Federal Withholding
• State Withholding
• TSERS
• ORP
Benefits and Payroll
Information
Your Monthly Check Stub:
OASDI (Old Age and Survivors Disability Income)
or
Social Security Tax = 6.20% of monthly salary.
Extension matches this tax at 6.20% monthly.
HI (Health Insurance)
or
Medicare Tax=1.45% of monthly salary.
Extension matches this tax at 1.45% monthly.
Federal Withholding:
Based on marital status and exemptions claimed.
State Withholding:
Based on marital status and exemptions claimed.
TSERS (Teachers and State Employee’s Retirement System):
Employee contributions= 6% of monthly salary before
taxes.
Extension matches State Retirement of 5.815 %
ORP (Optional Retirement Plan):
Employee contributions= 6% of monthly salary before
taxes.
Extension matches State Retirement of 10.485%
Deadlines for Changes
The University has a payroll deadline of the 10th
of the month with the exception of December.
Benefit Plan Deadline
Whenever changes to benefit plans need to be
made, such as adding or deleting dependents,
forms must be completed and received in our
office by the 10th of the month prior to the
desired date change is to take place.
Direct Deposit of Salary
• University Employees must participate in the Direct
Deposit Program.
• Changes in banking institutions must be completed and
processed no later than the 10th working day in any
month.
We suggest the old account “NOT” be closed until
deposit into the new account has been made.
University Leave Programs
•Annual Leave
•Family Illness Leave
•Sick Leave
•Civil Leave
•Shared Leave
•Military Leave
•Family Medical Leave
•Mentor/Volunteer Leave
Annual and Sick Leave
Accrual
•Annual and Sick Leave are Accrued Monthly.
•Employees must work greater than half the
working days of the month to accrue annual
and sick leave.
• Annual and Sick Leave must be taken in 15
minute increments.
Annual Leave Accrual
• Vacation Leave is Accumulated through
December 31st of each year.
• Vacation Leave Accrued above the
Maximum limit allowed by the University
as of December 31st of each year will
convert to sick leave.
Calendar Year Annual Leave
Maximum accumulation:
Full-time employees is 240 hours
3/4 time employees is 180 hours
1/2 time employees is 120 hours
Sick Leave Accumulation
• Accumulated indefinitely
• Sick Leave can be used towards retirement
credit
• Employees do not forfeit unused sick leave
except upon
resignation.
EPA Leave Earning Rates
Leave Earnings based on FTE status
FTE
Hours
Earned Per
Month
Hours
Earned Per
Year
Days Earned
Per Year
Sick Leave
Hours
Earned Per
Month
Full Time
16 hrs
192
24
8
¾ Time
12 hrs
144
18
6
½ Time
8 hrs
96
12
4
SPA Leave Earning Rates
Vacation Leave is Earned Based on an
Employee’s FTE and Years of Service.
FTE
Full Time
Years of Hours Earned Sick Leave Hours
Service
Per Month
Earned Per Month
0-2
7 hrs 50 min
2-5
5-10
9 hrs 10 min
11 hrs 10 min
10-15
15-20
20+
13 hrs 10 min
15 hrs 10 min
17 hrs 10 min
8 Hours
Creditable State Service
Employee transferring from another creditable NC State Government Agency
or county agency can rollover their annual, bonus, sick leave balances under
the following provisions.
SPA Employees:
• Vacation leave will be accepted from your previous employer.
• Accumulated vacation leave is transferable if there is not a break in service.
EPA Employees:
• Annual Leave – NC State University does not accept the transfer of annual
leave. This includes any leave from State of North Carolina agency or local
North Carolina Government,or a UNC constituent institutions.
• Accumulated sick leave is reinstated if re-employed within 5 years from date
of separation from a state or eligible local agency.
Bonus Leave (All NCCE Employees): The transfer of bonus leave will be
accepted based on the agreement in place by the employing county and
NC State University – NCCE.
There are Three Categories
Of Pre-Taxed Benefits
 Retirement
Health Insurance
NC Flex
Teachers State
Employees Retirement
System
TSERS
Immediate Participation
Defined Benefit Retirement
System
Contributions Paid Before
Taxes
5 year Membership Required
for Vesting
Guaranteed Retirement Benefits
Retirees Receive State Health
Coverage Cost Free
Employee Contribution
 Employee Contributes 6% of Monthly
Gross Pay - Extension Matches at
5.815%
 All Contributions are Deposited in the
State Retirement System
Death Benefits
12 Months of Contributing Service
Equal to Previous 12 Months of
 Salary
Continues up to 180 Days After
Retirement/Separation
Minimum $25,000
Maximum $50,000
DIP
Disability Income Plan
Employees are Eligible for Short-Term
Disability Coverage After One Year of
Creditable Service
60 Day Waiting Period to Qualify for ShortTerm Disability
Employees are Eligible for Long-Term
Disability Coverage After Five Years of
Creditable Service
When Can I Retire ?
Service Retirement
Eligibility - Full Benefits
30 Years with No Age Limitation
25 Years & at Least Age 60
5 Years & at Least Age 65
Early Retirement Eligibility
-Reduced Benefits
20 Years & at Least Age 50
5 Years & at Least Age 60
Optional Retirement Program
ORP
Optional Retirement Program
• Alternative to the Teacher’s and State
Employees Retirement System (TSERS)
• Defined Contribution Plan
• Allows portability and greater choice of
investment and distribution options
Who is Eligible?
• Employees in EPA positions who work 30
hours or more per week
• Employees with the following appointments
can participate in the ORP:
Senior Academic & Administrative Officers
Faculty with the rank of Instructor or above
Lecturers who are equivalent to Instructor
Cooperative Extension Field Faculty,
Instructional and Non-Research Faculty
Defined Contribution Plan
vs.
Defined Benefit Plan
Defined Contribution Plan
 Retirement Benefits not
based on predetermined
formula
Defined Benefit Plan
 Retirement Benefits based
on predetermined formula
 Employee determines
investment options for
employee/employer monthly
contributions
 TSERS oversees investment
of monthly contributions
ORP Election Period
• Eligible employees have 60 days to
elect participation in the ORP
• ORP election is irrevocable as long as
the employee remains in an eligible
position
• Failure to enroll within eligibility period
automatically becomes a member of
TSERS
ORP Contributions
• Employee and Employer contributions are
established yearly by General Assembly
• Fiscal Year Contributions are:
Employee – 6% Employer – 6.84%
(Other 3.645% Paid for Health and Disability Insurances).
• Contributions are made on a pre-taxed basis
• Contributions are invested in an annuity contract
or mutual fund offered by approved carriers
Allocation of Monthly
Contributions
$ Multiple options - Contributions can be
allocated to one or more approved carriers
$ Flexibility – Allocations may be changed at
any time within university payroll deadlines
ORP CARRIERS
• TIAA-CREF
• VALIC
• LINCOLN LIFE
• FIDELITY INVESTMENTS
ORP Vesting & Portability
• Immediate vesting in the value of your
contributions
• Employer contributions are vested after five years
of contributory service
• Portability – Ability to transfer accumulated
retirement benefits using same carrier or change
your benefit to a retirement plan sponsored by
your new employer
Disability Benefits - ORP
ORP Account available for income benefits
upon retirement
Coverage under NC Disability Income Plan
Voluntary coverage under Standard
Disability Plan
Eligible to participate in voluntary
supplemental plans offered by University
ORP - Death Benefits
Total value of account (employee/employer
contributions) is 100% vested and available
to beneficiary
If death occurs while an active employee,
beneficiary can designate distribution option
If death occurs during retirement, payments
will continue according to annuity option
chosen
ORP Retirement
Health Insurance
 Eligible to continue health insurance
coverage upon retirement with five
years of ORP Participation
ORP Annuitant must begin to receive
an ORP on a monthly basis
When Can I Retire ?
ORP – Retirement Benefits
• No age or service requirements to meet
• Monthly benefit is based on account
balance, age of employee, age of annuity
partner, and income option selected.
Questions
&
Forms
Health Insurance
The State Health Plan
 Choose Your Own Physician
 Physicians Services with Co-pay
 Deductible (July 1 - June 30)
 Minimum $350 Per Year With $1050 Limit
 80/20 Formula
 Wellness Benefit
 NO Preventative Dental/Vision Coverage
 Co-Pay Prescription Drug Plan
$10.00 Generic
$25.00 Preferred Brand without Generic
$40.00 Preferred Brand with Generic
$50.00 Non- Preferred Brand
State Health Plan
Monthly Premiums
Employee Only – $0.00
Employee/Child(ren) – $200.18
Family Coverage – $480.14
Employer Matching Contributions for all
levels of coverage is $321.14
Who is Eligible?
 The University pays the full cost of the
premium for Employees working at least ¾
time in a permanent position for 9 or more
months per year.
Note: Permanent employees who work between 20-29 hours per week
(0.5 FTE) for 9 or more months per year are eligible for health
insurance; however, they are responsible for the total cost of the
premiums.
When Does Coverage Begin?
 1st Day of Month Following Hiring
Date
 Must Elect Coverage Within
30 Days of Hire
 Coverage is Pre-taxed and Pre-paid
Enrollment Dates & Changes
Annual Enrollment for Health
Insurance is August of Each Year
With an October 1st Effective Date
Changes Can be Made With
Qualifying Events
Examples of Qualifying Events
 Marriage, Divorce, or Legal Separation
Birth or Adoption of Dependent Child
 Commencement or Termination of
Employment for Employee or Spouse
 Switch from Full-Time to Part-Time
(vice-versa by employee or spouse)
 Dependent Child Ages Off Coverage or
Change of Student Status (Age 19 or 26)
For answers to your
questions, refer to:
Your Health Benefits
Summary Plan Description
or
statehealthplan.state.nc.us
benefits at a glance handout
Savings
Convenience
Flexibility
Offers five popular benefits:
• Health Care Flexible Spending
Account
• Dependent day Care Flexible
Spending Account
• Vision Care Plan
• Voluntary Accidental Death and
Dismemberment Insurance
• Traditional Dental Plans
• Supplemental Medical Plan
• New in 2005 – Cancer Plan
• New in 2005 – Term Life Insurance
After Tax Voluntary Plans
Life & Disability
Plans
MetLife
- Group Term Life Insurance
• Provides coverage to employees’ up to five times their
salary:
Minimum $20,000 Maximum $500,000
• Premium is based on: Face amount of coverage,
and the rate per $1,000 of coverage associated with
age bracket.
• Spousal and Dependent coverage
Spouse: $10,000 Increments Up to $50,000
Dependent Children: $2,000 or $10,000.
• Portable
Liberty Mutual Disability
Insurance
 Voluntary Long-Term Plan
 60 Day Waiting Period
 Receive up to 66 2/3 % of Monthly Gross Salary
($250 minimum, $10,000 maximum)
 Suspends During Paid Leave & Workers
Compensation
 Coordinates with Social Security & DIP
STANDARD DISABILITY
• Replaces a percentage of employees monthly
salary
• Defines disability as being completely unable
to perform normal occupation or any other
occupation
• Protects employee’s retirement income
• Provides partial disability benefits
• Assists with Social Security Application
Process
• Pays survivor benefits
Additional Benefits

Mutual of Omaha and Med America

Personal Liability Plan


Hyatt Legal Plan
State Employees’ Credit Union


Travelers Insurance



Wachovia Bank
Savings Bonds
Tax Deferred Savings
College Savings Plan-529

Moving With the Pack
Prudential
Long-Term Care
 Provides Custodial Care, Adult Daycare,
Home Health Care and Nursing Care
 Monthly Premiums are Based on Age and
Benefit Options Elected
 Daily Benefits from $100 to $250
 Waiting Periods Ranging From 60 to 90
Days
Hyatt Legal Plan
 Provides Legal Representation for Various
Legal Liabilities as Set Forth by the Plan
 Monthly Premium $8.00
 One time a Year Enrollment - November of
Each Year with a January 1 Effective Date
Personal Liability Plan
 Provides
personal liability coverage to
employees against civil suits pertaining to
slander, defamation, false arrest, e.t.c.
 One-time
yearly premium based on
professional classification plus $15.00
administrative fee
 Coverage
Limits Based on Liability
Bodily
Injury - $500,000
Reimbursement of Attorney Fees - $5,000
Bail Bonds Reimbursement - $1,000
Prof. Liability Aggregate Limit – $2,000,000
State Employees’ Credit Union
 State Employees’ Credit Union Offers Various
Financial and Savings Programs for State
Employees and Their Immediate Family
Members.
 Please Contact 1-888-732-8562, the web at
http://www.ncsecu.org, or Visit Your Local
Branch for Additional Information.
Wachovia Bank
Wachovia Bank Offers “At Work Checking
Account” with NO Minimum Balance
requirement, NO Monthly Service Fee, and Free
On-Line Banking with Bill-Pay Feature.
Various Financial and Savings Programs to
Employees.
Employee ID Card could act as Bank/ATM Card.
Discounts Offered for Services such as
Financial Planning, Retirement Accounts, and
Broker-Assisted Trades, to name a few.
Travelers Insurance
 Provides
employees with discounted
auto, home, and renter’s insurance
through monthly payroll deduction
 Monthly
premium based on coverage
limits and quote by agent
Savings Bonds
Denominations Available
$50.00 for $100.00 Bond
$100.00 for $200.00 Bond
$250.00 for $500.00 Bond
$500.00 for $1000.00 Bond
Offered Through Monthly Payroll
Deduction
Tax Deferred Annuities
Offered Through
 401(k) Prudential
 457
Deferred Compensation
(Great West Insurance Company)
 403-B
VALIC
TIAA-CREFF
Nationwide
Fidelity
Lincoln National
MetLife
Prudential
 Monthly
contributions vary by each
vendor
 The
University does not match
towards these plans
 IRS
maximum yearly contribution
- $13,000 for the 457 plan
- $13,000 for the 401k plan
- $13,000 for the 403B plans
 Plans
are subject to applicable taxes
and penalties for early withdrawal
 Hardship
withdrawals are available
under most plans
 Plans
have loan provision
North Carolina College Savings
Plan-529
 Save for College through Post-Tax Payroll Deductions into
a very flexible and beneficial college savings program.
 Program is Administered by the North Carolina College
Foundation and Provides an array of Investment Options
ranging from Conservative to Aggressive.
 Employees may set aside money for college for their
children, themselves, or others and pay no income tax on
the earnings or interest.
 Visit their Website for more details at
www.cfnc.org/savings/cv0021.jsp
Moving with the Pack
Preferred Real Estate Services Program
For Current and New Employees can enjoy this benefit
whether moving To or Within the area.
Administered through Fonville Morrisey Relocation, employees
receive University negotiated discounts and value added
services.
A comprehensive Real Estate Services Program tailored to
meet the unique needs of each employee and designed to
minimize the stress associated with moving.
Services include cash-back incentives for home sale and
purchase, utility connection and disconnection convenience
services, mortgage discounts, rental assistance, moving van
services, and more…
For additional information visit: MovingwiththePack.com
“Who Should I Contact?”
Should you have any questions regarding
personnel matters please contact:
College Of Agriculture and Life
Science Personnel
Campus Box 7917
Raleigh, NC 27695-7917
(919) 515-2708
Fax: (919) 513-2617
Email: [email protected]