Employee Benefit Updates

BCBS Health Insurance Scottsbluff Public Schools is a member of the Employers Health Alliance (EHA) who have contracted with Blue Cross Blue Shield (BCBS) of Nebraska for health insurance. The District pays a portion of a single employee premium. This year we are seeing a 2.99% increase in premiums: CoverageEmployeeEe & ChildEe & Spouse Ee, Spouse and Child $600 Ded $1500 Ded Dental Employee Benefits

Vision Insurance Scottsbluff Public Schools offers Vision Insurance for employees working more than 15 hours a week. This year we were able to contract with a new provider that improves coverage as well as reducing premiums. New enhancements include: Increase in amount of coverage on frames Discount on procedures such as Lasix surgery Premiums Single7.72/month Employee/Spouse16.64/month Employee/Children13.48/month Family22.40/month Employee Benefits

Life/LTD Insurance Starting with the school year, we moved to Lincoln National as our provider for life and long term disability (LTD) insurance. Life insurance is paid for by the District for a term policy amounting to $15,000 for employees working more than 15 hours a week. The employee has an option to include family members with coverage of $5,000 and to increase their insurance to a maximum of $45,000 at a nominal cost. LTD insurance is paid for by the District for employees working 15 hours or more a week. Insurance pays 66 2/3% of an employees salary once they are disabled for short or long term. Payments begin once their sick time has been exhausted. Employee Benefits

Retirement Nebraska Public Employee Retirement System (NPERS) is mandatory for any permanent employee working 15 or more hours a week. As the employer, the District is required to match contributions at a rate of 101%. NPERS is a defined benefit plan by which an employee is promised a specified monthly benefit on retirement that is predetermined by a formula based on the employee's earnings history, tenure of service and age, rather than depending on investment returns. Per LB 382, the contribution for employees for the school year is 9.78%, and the employer is 9.88% Employee Benefits

403b Retirement Scottsbluff Public Schools offers a voluntary retirement plan called a 403(b) plan, also known as a tax-sheltered annuity. It is a tax-advantaged retirement savings plan available for public education organizations. It has tax treatment similar to a 401(k) plan. Employee salary deferrals into a 403(b) plan are made before income tax is paid and allowed to grow tax-deferred until the money is taxed as income when withdrawn from the plan. Beginning in 2006, 403(b) and 401(k) plans may also include designated Roth contributions, i.e., after-tax contributions, which, if certain requirements are met, will allow tax-free withdrawals. Primarily, the designated Roth contributions have to be in the plan for at least five taxable years. Employee Benefits

Section 125 Changes Scottsbluff Public Schools offers a cafeteria plan pursuant to Section 125 of the Internal Revenue Code. It allows employees to choose between different types of benefits, similar to the ability of a customer to choose among available items in a cafeteria. The District’s qualified cafeteria plan is excluded from gross income. This plan allows employees to withhold pre-tax items for such as child care and eligible medical expenses. This year we are seeing changes that will allow a maximum of $2500 for medical and for dependent care expenses. The District contracts with RCI for the administration of our 125 plan. We will be implementing a “benny card” for the school year which is a preloaded card (similar to a debit card) that can be used for qualifying expenditures. Employee Benefits