Transcript NEW HIRE CHECKLIST - Electronic Resource Center

December 2, 2005
NAVIGATING THE MAZE OF
NEW HIRE PAPERWORK
PRESENTED BY:
Tom Beerheide
Sunset Ridge School District 29, Northfield, IL
Direct Line: 847-881-9460
Email: [email protected]
Illinois ASBO 13th Annual Educational Support Professionals’ Conference
Why a Checklist?
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Record keeping
Tracking purposes
Quick reference guide
Helps create a smooth first
day experience for both
the new employee and the
district’s departments
Eliminates duplication of
tasks
A New Employee - Where to
Begin?
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Employment application should
be completed by new
employee if not already done
so
Resume and transcript(s)
should be on file (typically
necessary for Board Packet)
Copy of Social Security card or
Driver’s License (preferably
both)
New Hire Form
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Employee’s Full Name
Date Hired/Started
Address and important
telephone numbers
Social Security No.
Date of Birth
Position
Full Time Equivalent (FTE)
Location
Salary/Rate of Pay
(This form can be substituted and used as a Change of Status form also)
Form W-4
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Make sure employee has
signed and dated the form
If Marital Status is not indicated
– withhold at the Single rate
If no W-4 is submitted, withhold
at single, zero
Employer must keep copy on
file
(See IRS Publication 505 for more details
on tax withholding and form W-4)
Form W-4 Cont.
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An employee can claim exemption if both of the
following situations apply:
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For 2005 employee had right to refund of all FIT
withheld because he/she had no tax liability
For 2006 employee expects a refund of all FIT
withheld because he/she expects to have no tax
liability
An exemption is good for only 1 year. Employee
must submit a new W-4 by February 15th of
following year to continue exemption
Form W-4 Cont.
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No longer required to send copies of
questionable W-4’s however, they are
still subject to review if directed to do so
in a written notice by the IRS. (i.e.
claiming 10 allowances, etc.)
Do not tell an employee what to claim
only advise
Refer them to Publication 919, “How do
I Adjust My Tax Withholding?” and to the
withholding calculator available on
www.irs.gov
Form IL W-4
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Employer must keep copy on file
Form IL-W-5-NR – Employee’s Statement of
Nonresidence in Illinois
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Employees who reside in Iowa, Kentucky, Michigan and
Wisconsin must complete this form to be exempt from
SIT withholding requirements. If your employee does not
complete this form, you must withhold Illinois Income
Tax.
See Booklet Il – 700 – Illinois Withholding Tax
Guide (www.revenue.state.il.us/Forms/IL700.PDF)
Direct Deposit Form
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Employee Benefits include:
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No more special trips to the bank or waiting in long lines to cash or
deposit paycheck
No possibility that your paycheck may be lost or stolen
Payroll information is more confidential (Decreases chances of identity
theft)
No special arrangements or fear of missing a payday if on vacation or
sick
Funds begin earning interest and are available for use on payday
Paycheck will not get lost in mail and there is no waiting for mail to
arrive
403b and 457 Providers
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Listing of all 403b and
457 Vendors approved
by Board of Education
Distribute to ALL
employees
Authorization from
Employee (Salary
Reduction Agreement)
For 2005 maximum
contribution is $14,000
into each type
Form SSA-1945
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TRS covered employees are not covered by
Social Security but rather public retirement
system
Explains how a pension could reduce Social
Security Benefits because of the Windfall
Elimination Provision and Government
Pension Offset Provision
Any certified employee hired after 1/1/05 must
read and sign
www.socialsecurity.gov/form1945 or 800-7721213
Social Security Number = Employee’s ID #
TRS Employer # = Employer’s ID #
Must mail copy of signed form to TRS
INS Form I-9 – Employment
Eligibility Verification Form
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Requirement of the Immigration and
Naturalization Service
Applies to any employee hired after
11/6/1986
Must be completed within 3 days of hire
date
Employee must present documentation to
establish identity and work authorization
(acceptable documents listed on form)
INS Form I-9 (Cont.)
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Check for expired documents
Retain for 3 years after date of
hire or 1 year after termination
of employment
Not required to keep copies of
eligibility documentation
Keep I-9 forms in separate file
Criminal History Background Check
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Perform pre-employment background checks on all job
applicants
Ask specific and thorough questions on the application;
allows for easy termination if proven later employee lied
on application
Background check tips:
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Get specific and word questions carefully
Ask references to complete parts of form
Warn applicant about lying on application
Use Google to research applicant
Follow up on applicant’s history
Review District’s background investigation policies regularly
Thorough background checks can help to prevent
expensive negligence lawsuits and harm done to any
child
Criminal History Background
Investigation Form
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Required by Illinois law
ALL employees (including substitutes)
Districts must either do a criminal history or
fingerprint check but not both
Contact local police department about Live Scan
fingerprinting technology
According to HB 3977 all applicants must now
undergo a fingerprint based criminal history records
check
Criminal History Background
Investigation Form (Cont.)
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Can be done electronically with the Illinois State
Police:
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Decrypter Software called FEESUB
(www.isp.state.il.us/services/convictioninquiries.cfm)
Security
Based on Name, Sex, Race, Birth Date
Employer notified if a “hit” is found
Finger-Print sheet is sent to employer
Child Abuse Form
Acknowledgment of Mandated Reporter Status
from the Department of Children and Family
Services Statutory Requirement
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Requires employee to report any incidents of
child abuse or neglect or face penalties
District may require employee to complete
their form in addition
Drug and Alcohol Policy
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Required by the Drug-Free Schools
and Community Act of 1986 and the
Drug-Free Workplace Act of 1988
District may require employee to signoff on policy after review
Illinois school districts are required to
establish a drug and alcohol use policy
Sexual Harassment Policy
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Protects District from potential law
suits
Encourages and fosters appropriate
conduct among employees
Distributed to all employees in the
District
District may require employee to signoff on policy after review
House Bill 3451
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Became law 7/14/05
All school districts must
perform a check of the
Statewide Sex Offender
Database for each
applicant for employment
www.isp.state.il.us/sor/sor.
cfm
National Sex Offender
Public Registry:
www.nsopr.gov
Certificate of Physical Fitness and
Immunity from Communicable Disease
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Employee must submit
statement from physician
indicating he/she is free of
communicable disease and is
physically fit to engage in
their assignment
Employee must provide
employer a copy of the
results of either a skin test or
a chest x-ray from his/her
tuberculosis exam
Network ID Application
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Establishes network ID/Login connection for
employee
Assigns email address
Sets forth the “Acceptable Use Standards”
Benefits - Agenda
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Know Your Benefits
Benefit Meetings/Communications
Benefit Materials – Checklist
Processing Enrollments
Online Services
Legislation – Medicare D, HIPAA, COBRA
Know Your Benefits
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Who are your Providers?
Are your Forms up to Date?
Do you have enough Benefit Booklets?
Who are your contacts?
Basic Plan Summary – Comparisons
Timely Enrollment
Type of Employee
Full-time or Part-time
Benefit Meetings/Communications
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Give overview of benefit programs and furnish
corresponding benefit materials:
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Health/Section 125
Dental
Vision
Life/AD&D
Disability
Flexible Spending Accounts
Employee Assistance Plans (EAP)
Sick, Personal, Vacation Days
Stress employee’s ownership of benefit plans –
participation is a responsibility!
Benefit Materials - Checklist
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Enrollment forms (Medical, Dental, Rx, etc.)
Plan Description Booklets - required by law
Online Resources – Provider & District
Websites
ID Cards (typically furnished by carrier/TPA)
Copy of Medicare D Certificate of Creditable
Coverage
Copy of COBRA rights & obligations
Copy of HIPAA regulations
Copy of Flexible Spending Plan Document
Waiver of Coverage/Signature
Processing Enrollments
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Check that forms are complete and
signed
Submit online, by fax or mail
Send employee a copy of all
enrollment forms with verification
memo
Check insurance bills to verify
employees are enrolled
Online Services
Advantages:
 Changes done in real time
 Start a transaction, save it and
complete at a later time
 Decrease time spent on phone calls
 Receive reports online
 Employees have access to care
quicker
 Employees receive their ID cards
quicker
Online Services Cont.
Membership Capabilities:
 Membership maintenance
 Enroll a new employee
 Add a dependent
 Cancel & reinstate a member
 Change name/address for a
member
 Request an id card
What are the responsibilities of my
organization under Medicare D?
Medicare D Overview &
Responsibilities
Overview:
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Effective January 1, 2006 for people with Medicare
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Provides prescription drug coverage subject to
deductible and coinsurance
Responsibilities:
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By November 15, 2005 – All eligible employees and
retirees must be notified whether or not the employer
drug coverage is actuarially equivalent to Medicare D
(Certificate of creditable coverage)
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New hires will need to be provided a certificate of
creditable coverage
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www.medicare.gov
What are the responsibilities of my
organization under HIPAA when hiring a
new employee?
HIPAA Overview & Responsibilities
HIPAA – Health Insurance Portability and Accountability Act
Overview:
 HIPAA provides rights and protections for participants
and beneficiaries in group health plans.
Responsibilities:
 Disclose your health plan’s pre-existing condition
limitation & provide notice of the ability of employee to
offset limitation with creditable coverage
 Offer employee assistance in obtaining a certificate of
creditable coverage
What does my organization need
to know about COBRA when a member
begins coverage?
COBRA Overview & Responsibilities
COBRA - Consolidated Omnibus Budget Reconciliation Act
Overview:
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COBRA gives workers and their families who lose their health benefits
the right to choose to continue benefits provided by their group health
plan for limited periods of time under certain circumstances.
Circumstances include voluntary/involuntary job loss, reduction in hours
worked, transition between jobs, death, divorce, and other life events.
Responsibilities:
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A general COBRA notice, including a description of the rules relating to
preexisting conditions, must be provided when coverage begins.
Employers and plan administrators should mail notice of COBRA rights
to the last known address of the qualified beneficiary.
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Posting notice at the employer’s place of business is not adequate.
Teachers’ Retirement System
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Certified Employees:
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Teachers’ Retirement System of the State of Illinois
Contribution Type
2005-06
2006-07
TRS Contributions
Member TRS retirement
contribution
9.40%
9.40%
Employer TRS retirement
contribution
0.58%
0.58%
Employer TRS contribution on
federally funded salary
7.06%
*
Member THIS (insurance)
contribution
0.80%
0.80%
Employer THIS (insurance)
contribution
0.60%
0.60%
THIS Fund Contributions
Teachers’ Retirement System (Cont.)
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TRS Beneficiary Designation Form
2.2 and Optional Service Credit forms (must
renew these forms if coming from another
district and was paying in at that district)
Retired members – No TRS Deduction (Certain
rules apply - Public Act 93-0320 is a recent law that will allow some
TRS annuitants to return to full-time, TRS-covered employment
without loss of their pensions — but only in subject areas where the
regional superintendent of schools certifies that a personnel
shortage exists. The act is a five-year program that expires on June
30, 2008. )
(Above forms must be mailed or faxed to TRS and cannot be completed on-line)
Teachers’ Retirement System
Website
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www.trs.state.il.us
Remit payments on-line using the webbased remittance system
Download and print forms and publications
Obtain legislative information
Sick leave reporting facts and information
Illinois Municipal Retirement
Fund
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Educational Support Personnel:
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Illinois Municipal Retirement System
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Notice of Enrollment in IMRF (IMRF
Form 6.10)
4.5% Employee Contribution
Employer contribution based on
actuarial costs for retirement, death,
and disability payments
Designation of Beneficiary (IMRF
Form 6.11)
To qualify employee must work 600
hours
Unused, unpaid sick days count
towards additional service credit (240
days = 1 year credit)
(Above forms must be mailed or faxed to IMRF and cannot
be completed on-line)
IMRF Website
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Log-in to Member
Access
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View wages and contributions
Calculate pension estimate
View address
Submit changes to member’s
information
View death benefit estimate
View years and months of
service credit
Download and print
forms and publications
Electronically submit
forms
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Termination
Member Information
Changes
Adjustment of Earnings
Certificate of Disability
Transmit Monthly wage
report
Monthly Deposit Summary
Display employer
contribution rates
Monthly reminders
The New Hire Registry
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New Hire Reporting Law (enacted
October 1, 1997) requires employers
to report all new employees within 20
days of their date of hire
Includes full-time, part-time, temporary
(substitute) and rehires
Aids in tracking down parents who owe
child support, unemployment claims
The New Hire Registry (Cont.)
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Employers have the options of submitting
information via:
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the New Hire Reporting form provided by the Illinois
Department of Employment Security; (can be downloaded
at www.ides.state.il.us/employer/newhire/newhire2.pdf)
copies of the employee's W-4 form, with all information
completed legibly, including the employer information;
a separate listing of new employees, with the required
data; or
electronic or magnetic submission of data, reported twice
monthly
Reports may be sent via first class mail, faxed, or emailed
to the IDES.
The New Hire Registry (Cont.)
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Required data includes –
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Employee’s name, address, social security number, hire
date, employer’s name, address, and FEIN
Mail New Hire Reports via first class:
Illinois New Hire Directory
P.O. Box 19473
Springfield, IL 62794-9473
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Fax data to: 1-217-557-1947 (24-hour fax line)
Email data to: [email protected]
For information on the file format for reporting via
magnetic tape, cartridge or diskette call 312-793-9856
Calendar of Pay Dates
PAYROLL RUN DATES 2002-03
It is essential that the due dates for all payroll related time sheets, custodial
time cards, and other miscellaneous reports be honored so that the payroll
dates will be met and you can be paid on a timely basis. Time cards for
custodians and maintenance staff are due on Mondays and should be sent to
the Payroll Office. All time sheets must be signed by the School Principal
and into the payroll office by noon on the day that they are due (See
Second Column) unless indicated at a different time below. Checks will
be released according to the dates listed in the last column.
Due Dates For Time
Sheets
2002
Payroll Run Date
Payroll Checks Will Be
Released
July 1
July 16
July 8
July 22
July 12
July 26
August 1
August 16
August 7
August 21
August 13
August 27
September 3
September 17
September 9
September 23
September 13
September 27
October 1
October 16
October 7
October 21
October 11
October 25
November 1
November 18
November 6
November 21
November 13
November 27
December 2
December 16
December 9
December 20
December 13
December 27
Social Security Number
Verification
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Website: www.socialsecurity.gov/employer/ssnv.htm
Only use after employee(s) are hired
Requires pin and password to access
Direct keying of up to 10 names/SS#’s with immediate results
If name does not match:
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Check for typographical error
Check actual Social Security card
Ask employee to contact Social Security to resolve
Maintain consistent company policy and treat all employees the same
Telephone Verification – 1-800-772-6270
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Up to five names and numbers
Things You Should Know
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2005 Social Security Wage Base = $90,000
Social Security Tax = 6.2%
Medicare Tax = 1.45%
2005 Mileage Rate = 48.5 cents per mile
IRS recommends that new W-4’s be
distributed to all employees annually by
Feb. 15
Keep 403b/457 Salary Reduction
Agreements in separate folders in case of
IRS audit
Security Issues
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Arrange time for
picture ID for ID
Badge
Record and assign
building access key
Are We Done Yet?
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All new hires must complete Bloodborne
Pathogen training
Telephone training, extension, and
authorization of voice mail box
Attendance procedures (i.e. who
to call for sub, leave of absence form)
School Calendar
Summary
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Stay Organized!
For New Hires - Have fun
as this is a great way to
meet new people in the
organization
Carefully review all forms
for mistakes
Continue to streamline
processes