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Long-Term Care Insurance Plans Available
May 15, 2012 | Source: UW System AdministrationUnited of Omaha Life Insurance Company is offering two long-term care insurance plans, CASH-First and Assured Solutions Gold, to eligible University of Wisconsin Employees, Annuitants, and their spouse, domestic partner, parents and in-laws. Those eligible may apply for this insurance at any time. These voluntary purchase long-term care insurance policies are offered at a group-discounted premium and are administered locally by HealthChoice.
Long-term care insurance is designed to help protect against the high costs of long-term care if you or a family member can no longer perform activities of daily living without the need of assistance. Medicare and most health insurance will not pay for these services.
Some of the benefits of the CASH-First and Assured Solutions Gold policies include:
- If, prior to age 65, you sustain an injury requiring home health, assisted living facility or nursing home care, your policy will pay up to two times the maximum benefit.
- CASH-First benefits can be used any way you choose – you receive the full monthly cash benefit you select. Your cash benefit can be used to pay for out-of-pocket expenses – there's no need to collect or submit bills.
- Many other additional benefits and features are listed in the information packet.
Employees who purchase an insurance plan through HealthChoice are also eligible for CareOptions OnLine (COOL.net) services. The CareOptions OnLine program can assist you or family members with issues related to wellness, illness, disability, or aging.
If you are interested in exploring the benefits of these two long-term care insurance plans, you may:
- Request an Information Packet
- Contact HealthChoice toll-free at 1-800-833-5823. In Madison, (608) 833-5823
- Visit healthchoice.com
- Email info@healthchoice.com
For general information about the group long-term care insurance plans visit: http://etf.wi.gov/members/benefits_ltci.htm
Some Bargaining Units May Now Have Union Dues Deducted from Paychecks
May 11, 2012 | Source: UW System AdministrationEffective with the May 31, 2012 pay date, employees in the Trades, SEIU and WEAC bargaining units may have unions dues deducted directly from their paychecks. If you wish to have your dues deducted from your paycheck, you must complete an authorization form and submit it to your Payroll office. You can do this at any time, but your authorization form must be received by May 14, 2012 if you wish to have the deductions begin with your May 31 paycheck.
The authorization form, Authorization/Revocation for Voluntary Deduction of Union Dues, may be found on the Service Center website at the following links:
- Non UW-Madison Campuses: http://uwservice.wisc.edu/docs/forms/pay-union-deduction.pdf
- Madison: http://uwservice.wisc.edu/docs/forms/pay-union-deduction-a.pdf
For additional details about this change visit: http://uwservice.wisc.edu/docs/publications/pay-union-deduction-notice.pdf.
New State Group Life Insurance Provision to Add or Increase Employee Coverage
Updated April 11, 2012 | Source: UW System AdministrationEffective May 1, 2012, employees covered by the Wisconsin Retirement System (WRS) may enroll in State Group Life Insurance (Employee Basic Coverage), or add one level of employee coverage within 30 days of gaining a dependent (spouse, domestic partner or child). There are five levels of employee coverage – Basic, Supplemental and one, two or three units of Additional coverage. Each level of coverage is equal to one times an employee's highest calendar year WRS earnings.
Employees may add one unit of employee coverage within 30 days of every addition of a dependent. For example, an employee could add a level of employee coverage at marriage and another unit with each child until the maximum employee coverage level is reached.
Coverage is effective on the 1st of the month on or following receipt of the application.
There are no changes to the eligibility rules for Spouse/Domestic Partner & Dependent coverage – employees may enroll in this coverage within 30 days of gaining a dependent (spouse/DP or child) for the first time.
If an eligible employee does not carry State Group Life coverage and gets married (previously had no other dependents such as children), the employee could add one level of employee coverage (Basic coverage), and one or two units of Spouse/DP & Dependent coverage. There is no opportunity to add additional levels of Spouse/DP & Dependent coverage, or enroll Spouse/DP & Dependent coverage if the employee already has other dependents.
Employees are also eligible to apply to enroll in or add additional coverage levels at any time through Medical Evidence of Insurability (acceptance is not guaranteed).
This new provision applies to all family status changes that occur on or after May 1, 2012.
Please see the updated State Group Life Insurance plan brochure for additional information: http://etf.wi.gov/publications/et2101.pdf.
An updated enrollment application is available online at: http://uwservice.wisc.edu/docs/forms/et2304.pdf.
State Group Life Insurance Annual Update
April 5, 2012 | Source: UW System AdministrationAn employee's State Group Life Insurance coverage level and premium have historically been based on the employee's highest calendar year of Wisconsin Retirement System (WRS) earnings (typically the prior year's earnings) and the employee's age as of April 1st. Due to issues surrounding the changes in the WRS contribution rates during the summer of 2011, the annual process to update an employee's WRS earnings for State Group Life Insurance will not occur in 2012. This means that an employee's coverage level will be the same for 2012 as it was in 2011. However, premiums will be updated if an employee moves to a different premium category due to age or if there is a premium change associated with the employee's age (premiums for some age brackets are decreasing). Any premium changes will be effective with premiums paid for May coverage (paid April 26th for classified employees and paid May 1st for unclassified employees).
If a covered employee (or retiree) dies in 2012, Minnesota Life, the underwriter of the State Group Life Insurance plan, will confirm the employee's 2011 WRS earnings with the UW, and the death benefit will be based on the employee's highest year of WRS earnings (even if the highest year of earnings occurred in 2011).
The next earnings update will occur in 2013 when both 2011 and 2012 WRS earnings will be loaded to Minnesota Life's system, and coverage will be based on the highest year. No retroactive premiums will be due.
The 2012 premiums are available online at: http://uwservice.wisc.edu/premiums/#life.
If you have any questions, please contact your institution's payroll and benefits office.
Summer Benefit Deductions for Unclassified Nine-Month Employees – New "May Multiples" Process
Updated April 5, 2012 | Source: UW System AdministrationUnclassified academic year (nine-month) employees, who are expected to return to employment for the fall semester, are required to have multiple benefit deductions taken from earnings paid during the spring semester to cover insurance premiums over the summer months. Previously, three additional insurance deductions were taken from the June 1st paycheck to maintain insurance coverage over the summer. In the past, this was referred to as “May Multiples.”
Due to an increase in the employee health insurance premium, a decision was made to spread these multiple insurance deductions over several months to lessen the impact of having three additional insurance premium deductions for each benefit plan taken from the June 1st paycheck. These deductions will now be referred to as “Summer Prepay” and will be taken as illustrated in the chart below. Please note that these Summer Prepay deductions will be taken along with your regular monthly insurance deductions.
If these additional deductions are taken and it is later determined that you are not returning to employment for the fall semester, refunds may be due. If your department/division determines that you are eligible for Summer Prepay deductions, it is not a guarantee of a summer or fall employment contract.
IMPORTANT: The chart below illustrates how deductions will be taken for a typical employee who is eligible for Summer Prepay deductions. Your individual situation may vary. Your division/department/benefits office office will determine how your employment situation and/or your end date impact your eligibility for Summer Prepay deductions.
| Benefit Plan | Premium(s) to be Taken | Paycheck on Which Premium(s) Taken |
|---|---|---|
|
Regular premium deduction PLUS one Summer premium deduction |
Two premiums will be taken for each plan on the following paychecks:
|
|
Regular premium deduction |
March 30 |
Regular premium deduction PLUS two Summer premium deductions |
May 1 |
|
Regular premium deduction PLUS one Summer premium deduction |
June 1 |
|
|
These plans are NOT eligible for Summer Prepay deductions - an academic year employee will receive nine deductions per year for these plans |
|
Summer prepay deductions will appear as a lump sum amount in your earnings statement. All deductions taken pre-tax (most medical-related premiums and portion of State Group Life) will be added together under the name “Prebtx” and all deductions taken post-tax (most life insurance premiums) will be added together under the name “Preatx.” Your regular benefit deductions for the month will continue to be listed under the plan name. For example, if you carry family Dean Health Insurance and Single VSP Insurance, you will see a $201 deduction under Dean Health Plan and a $5.24 deduction under Vision Service Plan (VSP). These deductions are typically taken on a pre-tax basis. If you have one extra deduction for each plan, there will be a total of $206.24 ($201.00 + $5.24) listed under Prebtx on each earnings statement impacted by the additional deductions.
If you have questions, please contact your institution’s payroll and benefits office.
Annual Health Insurance Satisfaction Survey
March 20, 2012 | Source: University of Wisconsin Service CenterEach year the Department of Employee Trust Funds (ETF) contracts with a survey vendor to conduct the Consumer Assessment of Health Care Systems (CAHPS®) survey. This year, ETF has contracted with Morpace, a consumer research firm, to conduct a survey of selected state and University employees who are participants in the State Group Health insurance program. The survey began the week of March 5 and is expected to be completed in May or June.
The University of Wisconsin System has approved employee participation in the survey during scheduled work hours without loss of pay. Since the survey is a random sampling, not all employees will be contacted. Employees who do receive the survey may participate, and can rest assured that it is legitimate.
Surveys will be sent to employees' work email. Employees who do not respond will receive a follow-up letter sent to their home address. Survey responses will be kept confidential.
Duplicate Tax Statement Requests
March 14, 2012 | Source: University of Wisconsin Service CenterDuplicate tax statements for 2011 W-2, 1042-S, and Fellowship/Scholarship informational letters are available in My UW under the Work Record tab. To print a duplicate tax statement view the Tax Statements tab in the Payroll Information module under the Work Record tab.
Duplicate tax statements are also available by completing a Duplicate Tax Statement Request: http://uwservice.wisc.edu/tax/duplicate-statement-request.php
Duplicate tax statement requests are processed and statements are mailed to employees within 10 days of the request receipt.
Requests for 2011 duplicates are processed at no charge. Processing fees for other years are:
- Requests for duplicates from the previous 2 - 5 years are $5.00 per statement.
- Requests for duplicates from the previous 6 or more years are $10.00 per statement.
Submit a check payable to the University of Wisconsin for the correct dollar amount. Duplicates will not be processed or issued without payment. Mail the check to: UW Service Center, 21 N Park Street, Suite 5101, Madison, WI 53715.
Distribution of 1042-S Forms
Updated March 13, 2012 | Source: UW Service CenterThe 1042-S Forms (Foreign Person's U.S. Source Income Subject to Withholding) have been distributed to employees.
The 1042-S Forms are now available electronically to employees who elected electronic distribution of their 1042-S Form through GLACIER (the online system used to handle data collection for UW foreign nationals).
On March 12, hard copy 1042-S Forms were mailed via U.S. mail to employees who did not elect electronic distribution through GLACIER. 1042-S Forms will be posted on the UW portal as soon as possible after distribution of the forms is completed.
As a reminder, the deadline for filing state and federal income tax returns is April 17, 2012.
Final 2011 WRS Interest Rates and Delay in Annual WRS Statement of Benefits
March 6, 2012 | Source: UW System AdministrationThe Department of Employee Trust Funds (ETF) released the final Wisconsin Retirement System (WRS) interest rates and annuity adjustments for 2011. The Core Fund effective rate of interest is 1.5% and the Variable Fund effective rate of interest is -3.0%. This is the amount of interest your WRS account will receive for 2011. If you are in the Variable Fund, that portion of your WRS account will lose 3% for 2011.
For detailed information, including how retirement annuities will be impacted by last year's investment returns, please see ETF's press release and open letter to retirees.
Employees usually receive their annual Wisconsin Retirement System (WRS) Statement of Benefits in late March/early April every year. Due to the implementation of the changes to WRS contributions during the summer of 2011, ETF has indicated that the statement will be delayed and it is not yet known when the statement will be available. Once the statement is released, it will be available in My UW on the Work Record tab (under Benefit Information – Statements).
Social Security Tax Rate Reduction Extended Through December 31, 2012
February 22, 2012 | Source: UW System AdministrationThe 2% Social Security tax rate reduction (from 6.20% to 4.20%) has been extended by Congress through December 31, 2012. The tax rate reduction had been in effect for 2011, and then temporarily extended through February 29, 2012. This reduced Social Security withholding will have no effect on employees' future Social Security benefits.
The Social Security wage base, the amount of an employee's salary that can be taxed for Social Security purposes, has risen from $106,800 in 2011 to $110,100 for 2012. This means that the first $110,100 of an employee's wages are taxable for Social Security purposes. An employee's entire salary is taxable for Medicare purposes.
Through December 2012, the employee and employer tax rates for Social Security (full FICA) will be 5.65% (4.20% Social Security plus 1.45% Medicare) for wages up to $110,100. All wages over $110,100 are subject only to the 1.45% Medicare rate. The rate remains at 1.45% for those who are subject only to Medicare.
Preliminary WRS Returns and Delay in Annual WRS Statement of Benefits
February 20, 2012 | Source: UW System AdministrationThe Department of Employee Trust Funds (ETF) released the preliminary investment returns for 2011. Please see ETF's open letter regarding the impact of the 2011 returns and the January issue of the WRS News for details. Final investment returns will be released in March.
Employees usually receive their annual Wisconsin Retirement System (WRS) Statement of Benefits in late March/early April every year. Due to the implementation of the changes to WRS contributions during the summer of 2011, ETF has indicated that the statement will be delayed and it is not yet known when the statement will be available. Once the statement is released, it will be available in My UW on the Work Record tab (under Benefit Information – Statements).
Income Continuation Insurance (ICI) Annual Update and Premium Increase
February 17, 2012 | Source: UW System AdministrationEach year there is review of your earnings (all employees) and leave usage (classified employees only) to determine your Income Continuation Insurance (ICI) premium for the year. For classified employees (paid bi-weekly), the ICI premium is based on last year's earnings reported to the Wisconsin Retirement System (WRS) and an employee's sick leave balance and usage through the end of the last pay period paid in 2011 (pay period that ended on 12-17-11). For unclassified employees (paid monthly), the ICI premium is based on last year's WRS-reported earnings and the selected elimination period.
ICI premiums are increasing for 2012. The new premiums are available at:
https://uwservice.wisc.edu/premiums/#ici
Both the new ICI premiums and any changes to your ICI coverage due to an increase/decrease in earnings and/or sick leave usage will be reflected on your February earnings payable February 23 for classified employees and March 1 for unclassified employees.
Each January employees have the opportunity to enroll in the ICI plan and/or the Supplemental ICI plan if certain conditions are met. Employees may enroll in ICI if certain sick leave balance and/or sick leave usage requirements are met and may enroll in the Supplemental ICI plan if the prior year's WRS earnings were greater than $64,000. If you enrolled in ICI or added Supplemental ICI coverage during this January enrollment opportunity, this coverage will be effective on April 1 and the first deduction associated with the new coverage will be reflected on your April earnings payable April 19 for classified employees and May 1st for unclassified employees.
For more information about the ICI program, see the recently updated ICI plan brochure.
Employee Reimbursement Account (ERA) Grace Period for Medical and Dependent Care Expense Claims
February 17, 2012 | Source: Fringe Benefits Management Company (FBMC)Services received and reimbursable items purchased in 2011 and during the grace period between January 1 and March 15, 2012, may be reimbursed from remaining 2011 ERA plan year funds.
Any remaining funds in your medical account from 2011 will be available on your new myFBMC card and will be used first when the new card is used for payment. If you enrolled in the ERA medical expense account for 2012, you should have received a new myFBMC card with instructions on how to activate your card prior to use by visiting www.myfbmc.com. Remember, when you use the myFBMC card to pay for eligible expenses, funds are electronically deducted from your medical expense account.
The deadline for submitting 2011 medical and dependent care claims to FBMC is April 15, 2012. All claims must be received by the Fringe Benefit Management Company or postmarked by April 15, 2012 to be reimbursed from 2011 funds. If you do not submit your claims by the deadline, any money remaining in your account for 2011 will be forfeited.
You can submit claims by any of the following methods:
- Mail to: FBMC, PO Box 1800, Tallahassee, FL 32302-1800
- Toll-Free Fax to: 1-888-326-2658
- Online Claims Submission at: www.myFBMC.com
- Use myFBMC card to pay for eligible expenses.
For questions contact www.myFBMC.com or FBMC Customer Service at 1-800-342-8017 (Mon-Fri, 6:00am to 9:00pm CST).
Related Link: myFBMC General FAQs
W-2 Now Available Online; To Be Mailed by January 31, 2012
Updated January 25, 2012 | Source: UW Service CenterFor tax filing, employees may use their W-2 form now available under the 'Tax Statements' tab in the 'Payroll Information' module in the My UW Work Record tab. W-2 paper copies will be postmarked by January 31, 2012. Some employees will also receive additional tax forms from the University. These forms will be posted to the My UW portal as soon as they are available.
Employees should not use their final 2011 Earnings Statement to file their taxes. Some employees have had adjustments made to their 2011 taxable earnings since the last 2011 payroll was paid. These employees will have an additional earnings statement with 'Earned' dates of 12/19/2011 – 12/19/11, reflecting these adjustments. The 'Paid' date on the additional statement is the adjustment date.
Tax Sheltered Annuity (TSA) Annual Fee Deduction: What is "TSA Fee?" and What does it mean to defer 100% of salary?
January 20, 2012 | Source: UW System AdministrationTax Sheltered Annuity (TSA) Fee
If you are currently contributing to the TSA 403(b) Program, your first paycheck in 2012 had a "TSA Fee" of $15.00. For unclassified employees this was the January 3 paycheck, and for classified employees this was the January 12 paycheck.
In years past, the fee was deducted on the paycheck payable in March in a batch process. With the new payroll system, it became possible to deduct the fee automatically on the first paydate of the year. Employees who start contributing after their first 2012 paycheck will have the $15 fee automatically deducted at the time of their first 2012 TSA contribution. This is a great improvement from the old payroll system, which required staff time to run the batch process and manual entry for every employee who began deferrals after the March deduction.
The TSA fee is deducted only once a year for each employee who contributes to the program. This very low administrative fee is used to defray costs of managing the program, including staying in compliance with IRS regulations.
100% TSA deferral
With HRS, employees are able to defer a percentage of salary to their TSA 403(b) account up to 100% of salary.
Warning! If you defer 100% – either on the Salary Reduction Agreement or through the online process – your paycheck will be $0.00. Please be sure this is what you really intend.
Once you begin a 100% deferral, your paycheck will continue to be $0.00 until you have reached the 2012 maximum allowable contribution, which is $17,000 ($22,500 for employees age 50 or older). If you have 15 or more years of service with the University of Wisconsin, you may have an additional "catch-up" opportunity allowing extra contributions of up to $3,000 per year to a cumulative maximum of $15,000 over five or more years. Your campus benefits staff can determine if you are eligible for this.
If you want to defer the 403(b) maximum for the year and have questions about how much that is per payroll, please contact your campus benefits staff.
Activate Your myFBMC Card for 2012 ERA Medical Expense Account
January 17, 2012 | Source: UW System AdministrationIf you enrolled in the ERA Medical Expense Account for 2012, you recently received a new myFBMC card. There is a sticker on the card instructing you to activate your card by visiting www.myfbmc.com.
The myFBMC Card® is a reimbursement option that allows FBMC to electronically reimburse many eligible expenses under your employer's plan and IRS guidelines. Because it is a payment card, when you use the myFBMC Card® to pay for eligible expenses, funds are electronically deducted from your medical expense account.
Participants must go on-line to www.myfbmc.com to activate the card prior to use. To activate the card on-line, please log onto the myFBMC site. If you need assistance, you can call FBMC Customer Care at 1-800-342-8017.
Any remaining funds in the medical account from 2011 will be available on the new card. Money remaining in a 2011 account will be used first when the card is used for payment. The old myFBMC card will not work after 12/31/11.
Social Security Tax Rate Reduction Extended Through February, 2012
January 8, 2012 | Source: UW System AdministrationThe 2% Social Security tax rate reduction (from 6.20% to 4.20%) that was in effect for 2011 has been extended through February 29, 2012. The Temporary Payroll Tax Cut Continuation Act of 2011 temporarily extends the 2% payroll tax cut for employees. This reduced Social Security withholding will have no effect on employees' future Social Security benefits.
The Social Security wage base, the amount of an employee's salary that can be taxed for Social Security purposes, has risen from $106,800 in 2011 to $110,100 for 2012. This means that the first $110,100 of an employee's wages are taxable for Social Security purposes. An employee's entire salary is taxable for Medicare purposes.
Through February, the employee and employer tax rates for Social Security (full FICA) will be 5.65% (4.20% Social Security plus 1.45% Medicare) for wages up to $110,100. All wages over $110,100 are subject only to the 1.45% Medicare rate. The rate remains at 1.45% for those who are subject only to Medicare.
Office of Human Resources
University of Wisconsin-Madison
21 N. Park Street, Suite 5101 (5th floor), Madison, WI 53715-1218
Monday-Friday, 7:45am to 4:30pm
Benefits Phone: 608-262-5650 | Fax: 608-262-8436
E-mail: benefits@ohr.wisc.edu | payroll@ohr.wisc.edu
Web: benefits.wisc.edu Location Map