Faculty Benefits Eligibility Permanent (tenure-track) faculty Temporary faculty Full-time : 12 credits (100%) for two consecutive academic semesters Part-time: credits (50% to 99.99%) for two consecutive academic semesters Eligibility can change if appointments are revised If appointment revisions result in changes to benefits eligibility or cost – notified by

Faculty Benefits Health & Prescription Drug Coverage Vision & Dental Coverage Flexible Spending Account Program (FSA) University Paid Life Insurance (BGLI) Voluntary Group Life Insurance Program (VGLIP) Long-Term Disability Insurance Program (LTD) Retirement Plan Program Other Benefit Programs

Health Insurance

Medical Plan Choices Preferred Provider Organization (PPO) Health Maintenance Organization (HMO)

PPO vs. HMO Health Plan Coverage for medical services is the same under both plans Co-payments are the same: $15 Primary Care Office Visit $25 Specialist & Urgent Care $100 Emergency Room Each health plan has contracted with medical providers to be in their “network” Network of providers is key in choosing a health plan

PPO Health Plan Highmark BlueShield PPO plan covers eligible medical services provided by PPO network providers and non- network providers Higher out-of-pocket cost for non-network services UPMC Hospitals/Providers – Pittsburgh are NOT in the Highmark network Healthy U Wellness Program

HMO Health Plan UPMC HMO – Western PA HMO plan only covers eligible medical services provided by HMO network providers HMOs have additional rules – PCP, referrals UPMC Providers are available in Indiana County Healthy U Wellness Program – Not Applicable

Prescription Drug Plan One Prescription Drug Option: Highmark Blue Shield/Express Scripts 3 Tier Open Formulary Retail co-pays – up to 30 day supply $5 generic $10 formulary brand $20 non-formulary brand Mail Order co-pays – up to 90-days supply 2x the retail co-pays

Spouse/Same-Sex Domestic Partners Eligibility Rules Spouse/DP must be enrolled in employer health care coverage as primary coverage regardless of the cost Spouse/DP may be added to your health & prescription drug plan as secondary coverage Spouse/DP’s employer coverage will act as primary coverage which pays first and then secondary coverage may pay what primary doesn’t pay

Dependent Documentation & Health Insurance Attestation If electing to add dependents, within 60 days you must provide original documentation to verify eligibility Marriage certificate – spouse Birth certificate – children You must also attest that your spouse/same-sex domestic partner is either enrolled in their employer’s coverage or not eligible for employer coverage If not eligible for employer coverage, verification from spouse’s employer is required

Health & Prescription Drug Coverage Cost Depends on the plan & the number of dependents on your plan Your health care contribution is a percentage of the total premium cost for the plan 15% of the health care premium is the cost for the HMO plan and new enrollments in the PPO plan Health care contributions are deducted from your paycheck on a pre-tax basis

Health Insurance Changes Qualifying Events Add or remove a dependent, cancel coverage and/or enroll in coverage Changes can be made immediately if you have a qualifying event and enrollment/changes are done within 60 days Health Plan Open Enrollment Annual opportunity to add or remove dependents and/or change your health plan option Held in the spring with changes effective the following July 1

PPO Plan Wellness Program

State System’s Wellness Program for PPO plan option The State System has contracted with Highmark Blue Shield to provide wellness services All personal health information you provide as a participant in the program is kept strictly confidential Must be enrolled in the plan and have received your ID card(s) to set up your online account

Employee and the covered spouse/same-sex domestic partner must participate Each must earn 70 points by May 31, 2017 One required activity: The Wellness Profile (worth 30 points) Remaining points can be earned by participating in other preventative screenings, activities and programs Lowest health care contribution will continue for the plan year

Vision & Dental Coverage Vision and dental coverage are provided by the Pennsylvania Faculty Health & Welfare Fund Independent of health & prescription drug coverage Sign up through APSCUF

Flexible Spending Account Program (FSA)

Two Types: Health Care FSA - u sed to pay for eligible out- of-pocket medical expenses not paid by insurance Can be used for eligible medical expenses for anyone you claim as a dependent for federal income tax purposes Dependent Care FSA – used to pay for eligible child or elder care expenses including daycare, before/after-school care and summer day camp

Health Care FSA Savings Example Without a Health Care FSA Annual Gross Salary:$46,610 FSA Annual Election Amount: $0 Taxable Gross Income:$46,610 Federal, FICA, State & Local Taxes:$12,400 Annual Net Income:$34,208 Annual Cost of FSA Eligible Expenses:$2,500 Annual Spendable Income:$31,708

Health Care FSA Savings Example With a Health Care FSA Annual Gross Salary:$46,610 FSA Annual Election Amount: $2,500 Taxable Gross Income:$44,110 Federal, FICA, State & Local Taxes: $11,488 Annual Net Income:$32,621 Annual Spendable Income:$32,621

Health Care FSA Savings Example Annual Spendable Income without Health Care FSA: $31,708 Annual Spendable Income with Health Care FSA: $32,621 In this example, participation in Health Care FSA results in $913 more in annual spendable income

Life, Accident & Disability Insurance

Term vs. Whole Life Insurance Term Life Insurance is temporary and has no cash value Whole Life Insurance (aka Permanent Life Insurance) lasts for the insured’s lifetime and builds up a cash value Term = renting vs. Whole Life = buying Life insurance plans we offer are term policies, however, term policy may be converted to whole life when coverage ends

University Paid Basic Group Life Insurance Applies to tenure-track faculty members only Term life insurance coverage one times your academic year salary up to $50,000 Three-month waiting period before life insurance goes into effect MetLife HR Office handles the enrollment

Voluntary Group Life & Personal Accident Insurance Program (VGLIP) Two plans offered: Term Life Insurance (VGLI) Personal Accident Insurance (AD&D) Fully Employee Paid Group rates Guaranteed levels of coverage

Term Life Insurance (VGLI) Pays a benefit to the employee’s beneficiary or next of kin in the event of the death of the insured during a specified term. Coverage is available for Employee, Spouse & Children

Term Life Insurance (VGLI) Cost is based on your/your spouse’s age, amount of coverage elected, and tobacco usage Guaranteed benefit if enrolled within first 31 days following the date you become eligible for coverage

Personal Accident Insurance (AD&D) Pays a benefit to the employee’s beneficiary or next of kin in the event of the death of the insured by accidental means Pays a benefit to the insured if permanently disabled as the result of an accident Coverage is available for Employee, Spouse & Children Cost is $.015 per $1,000 of coverage

Voluntary Group Life & Personal Accident Insurance Program (VGLIP) Additional benefits offered with VGLIP enrollment: Healthy Rewards – discounts on wellness services Identity Theft Protection Will Preparation Secure Travel Insurance (AD&D Only) - Travel emergencies Cignaassurance – Beneficiary support services

Short-Term vs. Long-Term Disability Insurance Short-Term Disability plans usually pay a portion of your income if you cannot work for short periods of time Long-Term Disability plans pay a portion of your income if you cannot work for long periods of time We do not offer Short-Term Disability benefits – generous paid sick leave policy and APSCUF sick leave bank

Long-Term Disability Insurance Program (LTD) Pays a benefit in the event of the employee’s disability to help employee cover living expenses Must be disabled for 90 days or 180 days before a benefit can be paid Coverage is guaranteed if enrolled within first 31 days following the date you become eligible for coverage Cost is based on your annual salary and the waiting period option you elect

Long-Term Disability Insurance Program (LTD) Additional benefits offered with LTD enrollment: Healthy Rewards – discounts on wellness services Identity Theft Protection Will Preparation My Secure Advantage – money coaching program

Life, Accident & Disability Insurance Costs Voluntary Group Life Insurance – cost is based on age/spouse’s age, amount of coverage and smoker status Voluntary AD&D Insurance – cost is based on amount of coverage Long-Term Disability Insurance – cost is based on salary Cost calculators are available to help you determine the cost of supplemental life and disability insurance

Retirement Plan Program

Defined Benefit Retirement Plan: Pennsylvania State Employees’ Retirement System (SERS) Defined Contribution Retirement Plan: Pennsylvania State System of Higher Education (PASSHE) Alternative Retirement Plan (ARP)

If you are notified that you are eligible for benefits, you MUST enroll in the State System’s Retirement Program THIS IS THE ONLY MANDATORY BENEFIT PROGRAM

Retirement Plan Enrollment Enrollment in a retirement plan must be made within 30 days of date of eligibility If election is not made within 30 days of the date of eligibility – automatic enrollment in SERS Enrollment is final and binding – there is no option to switch plans at a later date

Defined Benefit Retirement Plan: State Employees’ Retirement System (SERS) Also known as a traditional pension plan Guarantees participant a specified monthly benefit at retirement Retirement benefit is based on your salary and number of years you work for the employer Guaranteed benefit for life if vested (10 years) Normal retirement age is age 65 State Employees’ Retirement System (SERS)

Two options for new members Class A-3 Employee contribution of 6.25% of gross salary Retirement Benefit Formula: 2% x Years of Service x Final Average Salary x Early Retirement Factor (if applicable)

State Employees’ Retirement System (SERS) Class A-4 Optional Class of Service A-3 members will have 45 days to A-4 class of service Employee contribution of 9.30% of gross salary Retirement Benefit Formula: 2.5% x Years of Service x FAS x Early Retirement Factor (if applicable)

Tax deferred by reducing gross compensation for federal tax purposes Vesting is 10 Years Refunds: Employee is eligible for contributions & interest (4%) if separated with less than 10 years of service Normal Retirement Age is a ge 65 with 3 years of service or “Rule of 92” (Example: Age 55 w/37 years of service) State Employees’ Retirement System (SERS)

Defined Contribution Retirement Plan: Alternative Retirement Plan (ARP) Commonly referred to as a 401(k) plan Employee and employer contribute to the individual’s account under the plan & employee decides how account funds are invested Amount of retirement benefit equals contributions plus any investment gains or losses and interest Not guaranteed - value of the account will change based on the value and performance of the investments Portable – can take your contributions and our contributions with you Alternative Retirement Plan (ARP)

PASSHE Alternative Retirement Plan (ARP) Employee contribution is 5.00% Employer contribution is 9.29% Investment services offered by: TIAA-CREF Fidelity Investments VALIC Each offers individual financial counseling & education

ARP Tax deferred by reducing gross compensation for federal tax purposes Vesting is immediate Refunds: Employee is eligible for total value of the account (employee and employer contributions plus interest and earnings) subject to restriction of certain funds Normal Retirement Age: Any age

Which Retirement Plan is Right for Me? SERS Advantages: Offers a guaranteed pension benefit, however, you must meet the vesting, age and service requirements to receive the full pension benefit. Disadvantages: If you leave employment before becoming vested at 10 years, you are only entitled to a refund of your contributions and the interest.

Which Retirement Plan is Right for Me? ARP Disadvantages: ARP does not offer a guaranteed pension benefit and funds are subject to fluctuations in the stock market Advantages: You are vested immediately and can take both your contributions, the interest and the employer contribution with you to another employer and funds are subject to fluctuations in the stock market.

Other Benefits

Tax Sheltered Annuity 403(b) plan Deferred Compensation 457 plan Tuition Waiver Paid & Unpaid Leave Benefits State Employees’ Assistance Program (SEAP) PA 529 College Savings Program U.S. Treasury Savings Bonds PNC Workplace Banking Pennsylvania State Employees Credit Union (PSECU)

New Faculty Benefits Enrollments My First Days

All new faculty members will receive an from the Office of Human Resources that will include: Notification of benefits eligibility Links to benefit plan information Instructions on how to enroll in benefits ESS – Go to “My First Days” link NOT “Benefits” link Initial benefit enrollment period is 30 days from the date of your appointment - due September 20, 2016 Benefit elections will be effective retroactive to August 20, 2016

Benefit Contributions & Faculty Pay Schedule

All faculty and staff are on an “after-the-fact” pay schedule All faculty members are required to pay APSCUF member dues (1.15%) or fair share dues (1.035%) The first pay for the Academic Year will be September 16, 2016 The September 16, 2016 pay is for the pay period August 20, 2016– September 2, 2016 Full pay schedule is available on website Benefit deductions will begin on the pay date of the pay period you complete your enrollment