1. New Hire Orientation Regular Status Employees and 12 Month Collegiate Faculty Presented by : The Office of Human Resources Plan Year 2014 The information contained in this presentation is a summary of general benefits available to active employees of University of Maryland University College. Wherever conflicts occur between the contents of this presentation and the policies, contracts, rules, regulations, or laws governing the administration of the various programs, the terms set forth in the various policies, program contracts, rules, regulations, or laws shall prevail. 1

2. Lisa Schnieder – AVP Compensation & Benefits Anessa Lewis – Benefits Manager Clare Murray – Benefits Administrator Email Address - benefits@umuc.edubenefits@umuc.edu Office of Human Resources, Administration Building, 2nd floor, 3501 University Blvd., East, Adelphi, MD 20783 Phone: 301-985-7990 Fax: 301-985-7367 OHR Benefits Team 2

3. Getting Started Direct Deposit is required for all state employees. Employees may deposit funds into any regular checking or savings account at one banking institution; or Employees may deposit funds with the State Employee’s Credit Union (SECU) - www.secumd.org. If you have an SECU account, you may also set up to have your payroll transferred to this SECU account. This is the only way to have funds direct deposited into more than one banking institution.www.secumd.org Please allow approximately two (2) pay periods for Direct Deposit to take effect For questions about your Direct Deposit, please call 301-985-7990 or email myhr@umuc.edu.myhr@umuc.edu 3

4. Enrollment Eligible employees must enroll in Health, Prescription, Life and Disability plans within the first 60 days of employment. Unless retroactive coverage begin date requested, benefits are effective as of the 1 st or the 16 th of the month following enrollment. Employees will be emailed an election summary and notified of the coverage effective date. Eligible employees must enroll in one of the mandatory Retirement Plans as of their Date of Hire. Enrollment forms will be required at the time of orientation and/or first day of employment. Failure to provide election form will result in automatic enrollment in the Employee Pension System. 4 Forms can be sent via inter-office mail to the Benefits Unit in the Administration Building, 2 nd Floor

5. Allowable Coverage Changes 5 Per IRS regulations, employees may only make changes to current benefit elections during one of the following windows: Upon Hire or transition to a benefit eligible position During Open Enrollment (occurs each fall) Within 60 days of a Qualified Family Status Change Employees must provide benefits@umuc.edu with the completed enrollment form & supporting documentation within 60 days of the qualifying life event.benefits@umuc.edu It is strongly recommended that you contact benefits@umuc.edu as soon as possible following a life event.benefits@umuc.edu Refer to Page 14 of the State of Maryland Benefit Guide for additional details Coverage will begin on the 1 st or 16 th of the month

6. Eligible Dependents To cover dependents under medical, dental or prescription benefits, you must provide the dependent documentation, as well as, the Affidavit for Dependent Eligibility form. For a complete list of eligible dependents and acceptable documentation, please review the State of Maryland Benefits Guide. State of Maryland Benefits Guide Eligible dependents include: Opposite sex or same sex spouse Biological, adopted and/or step-child under age 26 Grand-child under age 26 who reside in your home Step-grandchild or other dependent child relatives under age 26 who reside in your home Legal ward, testamentary, or court appointed guardian under age 26 who reside in your home Child with mental or physical incapacity over age 26 incapable of self-support due to mental or physical incapacity incurred prior to age 26 Medical Child Support Order 6

7. Health Benefits Overview The type of medical plan you choose will impact your premiums, out-of-pocket cost, and network of doctors. All plans include a vision benefit All plans include mental health & substance abuse benefits - PPO & POS plan members benefits are managed by APS Healthcare, Inc. - EPO plan members benefits are managed by the health plan vendor Important: Out-patient prescription drug benefits are not included under the medical plans. Enrollment into the prescription drug plan is required. Please refer to the Employee Benefits Divisions website for complete plan descriptions & plan certificates. 7

8. Health Benefits Summary 8 See State of Maryland Benefit Guide for more plan details.State of Maryland Benefit Guide Search for provider at http://dbm.maryland.go v/benefits/Pages/Aetna 2013.aspx http://dbm.maryland.go v/benefits/Pages/Aetna 2013.aspx

9. Health Benefits Summary 9 See State of Maryland Benefit Guide for more plan details.State of Maryland Benefit Guide Search for provider at http://dbm.marylan d.gov/benefits/Page s/Carefirst2013.aspx http://dbm.marylan d.gov/benefits/Page s/Carefirst2013.aspx

10. Health Benefits Summary 10 See State of Maryland Benefit Guide for more plan details.State of Maryland Benefit Guide Search for provider at http://dbm.marylan d.gov/benefits/Page s/UnitedHealthCare 2013.aspx http://dbm.marylan d.gov/benefits/Page s/UnitedHealthCare 2013.aspx

11. Prescription Coverage The prescription drug plan is administered by Express Scripts 11 Important Notes: If a generic prescription is available, you will be responsible for the difference in cost between generic vs. brand. Zero-dollar co-pay for certain generics used for specific conditions. Prescription plan also has other drug management programs such as specialty drug provider, prior authorization, and step therapy. To see if your prescription is impacted, review the benefit guide carefully. View the preferred medication list at www.express-scripts.comwww.express-scripts.com Type of MedicationRX 1 - 45 days (1 copay) RX 46 - 90 days (2 copay)* Generic$10$20 Preferred Brand Name$25$50 Non-Preferred Brand$40$80 * Home Delivery

12. Dental Benefits 12 Dental benefits are provided by United Concordia. There are two types of dental plans available: Dental PPO (DPPO) Dental HMO (DHMO) Dental PPODental HMO You do not need a primary dental office No referrals needed for specialty care Orthodontia services only for dependent children (not employee) National network See State Benefit Guide for fee schedule Must reside in MD, DC, VA, DE, WV, or PA to enroll in this plan Must use a DHMO provider, no out of network coverage Must select primary dental office See State Benefit Guide for fee schedule Visit www.UnitedConcordia.com/statemdwww.UnitedConcordia.com/statemd

13. Flexible Spending Accounts 13 Allows you to set aside money for eligible expenses on a pre-tax basis which reduces your taxable income. Administered by Connect your Care. Healthcare Flexible Spending Account: Used for eligible medical, dental, vision expenses for employee & dependents. Dependent Flexible Spending Account: Used for daycare expenses Annual Limits set by IRS and subject to change annually: Healthcare FSA: $2,500 annually Dependent Care FSA: $5,000 ($2,500 if married and both contributing) Deadlines for Eligible Expenses You may incur expenses up to March 15, 2015 (Healthcare FSA only) You may incur expenses up to December 31, 2014 (Dependent Daycare) For both FSA accounts, the last day to request reimbursement is April 15, 2015. You must re-enroll each year. “Use it or Lose It” by the deadlines above

14. Flexible Spending Accounts 14 You must re-enroll each year. “Use it or Lose It” by the deadline With FSAWithout FSA Annual Pay$35,000 Pre-Tax contribution to FSA-$1,500$0 Taxable Income$33,500$35,000 Federal Income & SS-$7,362-$7,852 After-tax dollars spent on eligible expenses $0-$1,500 Spendable income$26,138$25,648 Estimated Tax Savings$490 This chart is for illustrative purposes only.

15. Life Insurance 15 UMUC offers two life insurance options: Minnesota Life & Unum Life Minnesota Term LifeUnum Term Life Employee Min: $10,000; Max: $300,000; Dependent Min: $5,000; Max: $150,000; Coverage increments of $10,000 for employee & $5,000 for dependents; Coverage up to $50,000 for employee & $25,000 for dependents does not require Evidence of Insurability (EOI), if elect within first 60 days; Dependent coverage cannot exceed 50% of employee coverage amount; No duplication of coverage if employee and dependent are both state employees; Insurance portable See benefit overview for additional details Employee Min: $10,000; Max: 6x annual salary up to $750,000; Dependent Min: $10,000; Max $150,000; Coverage increments of $10,000 for employee & dependents; Coverage up to $50,000 for employee, $20,000 for spouse and $10,000 for child without Evidence of Insurability (EOI), if elect within first 60 days; Dependent coverage can equal employee amount up to $150,000 Insurance convertible Can elect Unum Life & Minnesota Life See Unum.com for additional details

16. AD&D Insurance 16 Accidental Death and Dismemberment (AD&D) is administered through Minnesota Life Insurance company. Provides a benefit payment in the event of an accidental death or dismemberment of the employee or a covered family member; Coverage available in increments of $100,000, $200,000 or $300,000. If electing family coverage, dependents are covered at the following percentage: Does not require Evidence of Insurability & comes with several other free access to other resources. See benefit guide for additional details.benefit guide DependentBenefit Amount Spouse (no eligible children)55% of benefit amount Spouse (eligible children)65% of benefit amount Children (no eligible spouse)*15% of benefit amount Children (with eligible spouse)*25% of benefit amount * $50,000 max per covered child

17. Long Term Disability 17 Provides financial protection for the employee and their family by paying a portion of your income in the event of a disability Long Term Disability (LTD) offered through Unum Plan provides 60% of annual salary just prior to disability, up to $8,000 per month May elect a 90 day or 365 day elimination period; Benefits begin the day after the elimination period Other Important Information Your LTD payment may be reduced by other deductible sources of income Evidence of Insurability (EOI) not required if enrolled within 1st 60 days of employment Pre-existing treatment, consultation or medication received 3 months prior to the coverage effective date within the 1 st 12 months may be excluded. See Unuminfo.com/usm for additional details regarding this policyUnuminfo.com/usm

18. Long Term Care Insurance 18 Provides financial assistance to cover expenses related to home healthcare or care in a facility in the event the covered individual is unable to perform daily life functions Long Term Care (LTC) offered by Prudential May elect coverage for self, spouse, parents, siblings, adult children, in- laws and grandparents If elected within first 60 days of employment, evidence of insurability is not required. See State of Maryland Benefit Guide for additional details. To enroll or to see rates, visit Prudential’s website at http://www3.prudential.com/cmelinks/StateMD_LTC/StateMD.html http://www3.prudential.com/cmelinks/StateMD_LTC/StateMD.html Username: maryland; Password: marylandltc

19. Retirement Your enrollment selection must be provided on your 1 st day. If your election form is not received, you will be placed in the Employee Pension System with the State of Maryland Other factors to consider: If you elect the ORP, your decision is irrevocable and cannot be changed in the future If you elect the Pension, you may switch to the ORP within one (1) year of your eligibility date (date or hire or transfer date) Switching from Pension to ORP may impact eligibility for the state health benefits and subsidy at the time or retirement 19 Enrolling in a retirement plan is mandatory: Regular non-exempt employees must enroll in the Employee Pension System Regular exempt employees may choose between the Employee Pension System and the Optional Retirement Plan 12-month Collegiate Faculty may choose between the Teacher’s Pension System & Optional Retirement Plan

20. Retirement 20 Hires 7/1/11 & Later Modified Pension SystemOptional Retirement Plan Eligibility to Enroll Mandatory: non-exempt Voluntary: exempt & collegiate faculty Mandatory Contribution Current employee contribution: 7% of annual salary 26 pay periods Current employer contribution: 7.25% of annual salary 20 pay periods Vesting 10 year vestingImmediate Benefit Amount Based on benefit formula 1.5% x average final compensation x YOS Based on contributions and investments Eligibility for Retiree Benefits Direct: Min of 10 YOS Deferred: Min of 10 YOS within 5 years of normal retirement age. Direct: Min of 10 YOS Deferred: Min of 10 YOS within 5 years of normal retirement age Subsidy for Retiree Benefits 10-24 years: Partial subsidy for retiree & dependent 25+ years: Maximum subsidy for retiree & dependent Direct: 10-24 years partial subsidy for retiree only Deferred: 25 years or more, max subsidy retiree & dependent For additional information about these retirement plans, please contact benefits@umuc.edubenefits@umuc.edu

21. Retirement Contact Information MSRPS – Employees Modified Pension System To speak with a SRPS Retirement Benefits Specialist: 410-625-5555 or 1-800-492-5909 www.sra.state.md.uswww.sra.state.md.us Optional Retirement Plan Vendors After you elect the ORP, you will be able to manage your investment options through your online retirement account. TIAA-CREF: http://www1.tiaa-cref.org/tcm/usmdhttp://www1.tiaa-cref.org/tcm/usmd Fidelity Investments: www.mysavingsatwork.com/atwork/umd.htmwww.mysavingsatwork.com/atwork/umd.htm It takes approximately 4 weeks to receive a welcome communication from the retirement vendors 21

22. Supplemental Retirement Annuity Employees may also set aside additional contributions using the Supplemental Retirement Annuity. Contributions may begin, change, or stop at anytime throughout the year To begin contributing, elect a specified dollar amount per pay period and choose from a variety of pre-tax and post-tax options Three Vendor Options: TIAA-CREF: http://www1.tiaa-cref.org/tcm/usmdhttp://www1.tiaa-cref.org/tcm/usmd Fidelity Investments: https://www.mysavingsatwork.com/atwork/umd.htmhttps://www.mysavingsatwork.com/atwork/umd.htm Maryland Supplemental Retirement Plans: http://msrp.maryland.gov/plans.htmhttp://msrp.maryland.gov/plans.htm Plans include pre-tax and post-tax options; 401(k), 403(b) & 457(b) For additional details regarding the annual limits and enrollment forms, visit: http://www.umuc.edu/visitors/careers/neo/retirement-regular-employees.cfm http://www.umuc.edu/visitors/careers/neo/retirement-regular-employees.cfm 22

23. Paid Leave Accruals May only carry over up to 50 days (400 hours maximum) of unused annual leave to the next calendar year There is no limit on the amount of sick leave that may be accrued Please see the holiday schedule for the holidays observed at UMUC. - President’s Day, Columbus Day, Election Day & Veterans Day are observed during December - 15 Holidays during an election year*. 23 ExemptNon-Exempt Per PayAnnualized Days/ (Hours accrued per pay period) Annualized Days/ (Hours accrued per pay period) Sick Leave15 / (4.62) Annual Leave22 / (6.77)11 / (3.38) Personal Leave 3 / (24 hours granted each year) Holidays*14 days annually Based on full time status (40 hours/week). Accruals are prorated if working less than 40 hours/week

24. Employee Assistance Program Provides free confidential short-term counseling, referrals and support while navigating life’s demands. Employees and individuals within their household eligible Licensed counselors are available 365 days, 24/7 call 800-346-0110 (TDD: 877-845-6465) Online access at www.inova.org/eapwww.inova.org/eap (username: USM, password: UMUC) 24 The EAP can assist with topics such as: Addiction, Work/Life Balance, Stress, Divorce, etc., Child & Eldercare resources & referrals (including Medicare coordination) Financial & Legal services Savings and Discounts on everyday items such as clothes, tickets, etc. EAP services are 100% confidential. Information about you or your personal situation is not released without your written consent.

25. Tuition Remission FT employee are eligible to receive up to 8 credits per semester Pro-rated for.50 -.90 FTE Semesters include Spring, Summer & Fall May attend any USM institutions (certain limitations may apply) 25 Spouse & tax dependents of Regular FT & 12 Month Collegiate Faculty are eligible for remission towards 1 st undergraduate degree, after employee has worked for a minimum of two years Pro-rated for.50 -.90 FTE 100% of course load at UMUC 50% of total course load per semester at other USM institutions (if major not offered at UMUC) Tuition not subject to taxation for employees enrolled in graduate courses, unless amount exceeds $5250 per calendar year. Tuition for dependents in graduate course will be 100% taxable.

26. UMUC Scholarship UMUC offers a limited number of scholarships to help cover the cost of one undergraduate or graduate course, per semester for spouses and eligible dependent children. 26 Eligibility: Eligible dependents of Regular Exempt and Non-Exempt employees Scholarship will not be awarded if UMUC tuition remission is available for course Some course exclusions such as Executive programs, non-credit programs and the National Leadership Institute apply. Applications are ultimately approved by the Financial Aid office. Visit the Financial Aid’s Scholarship page, for more information or to apply.Financial Aid’s Scholarship Paste URL in browser if link above does not work. http://www.umuc.edu/students/aid/scholarships/otherscholarships/spousedependent.cfm

27. Weather & Emergency Updates To get weather and emergency updates for all UMUC locations, please visit the UMUC Weather page or call: http://www.umuc.edu/weather/index.cfm call 301-985-SNOW. Sign up for MyAlerts (https://alert.umuc.edu/).https://alert.umuc.edu/ UMUC MyAlerts will send notifications of emergency and weather- related closings to your cell phone, e-mail and more. 27

28. Contact Information Direct Deposit, W-4, Tuition Remission, Name/Address Changes, and general HR questions HR Business Center – 301-985-7990 myhr@umuc.edu Payroll, Timesheet, and Leave Payroll Department ucpayroll@umuc.edu Health and Retirement Benefits Department benefits@umuc.edu Employment Verifications Visit www.theworknumber.com or call 800- 367-2884; UMUC’s employer code 14819www.theworknumber.com Security240-684-2911 Technical Support, PeopleSoft, Email Help Desk - 301-985-7400 Email servicedesk@umuc.eduservicedesk@umuc.edu Visit support.umuc.edu 28