Salary and Benefits
Easy as XYZ
Jonathan R. Hiatt
Camille Carr
Professor of Surgery
Vice Dean for Faculty
Benefits Counselor
Campus Human Resources
http://www.ucop.edu/acadpersonnel/apm/welcome.html
Today’s Topics
Structure of salary composition
How it is negotiated
What the paycheck reflects
Benefits
Retirement
Salary
X + X’ + Y = Total Negotiated Salary (TNS)
Salary
X + X’ + Y = Total Negotiated Salary (TNS)
Monthly paycheck is 1/12 of TNS
Salary - X
X + X’ + Y = Total Negotiated Salary (TNS)
X determined by step and rank
Set by the University
Tables found on websites
http://www.ucop.edu/acadpersonnel/1112/
Salary – X’
X + X’ + Y = Total Negotiated Salary (TNS)
X’ is the retirement factor
APU (Academic Personnel Unit) – Dept./Div.
Scale 1 to 8 = retirement at 110% to 180%
of X
X + X’ = base salary, covered compensation
for retirement purposes
Salary - Y
X + X’ + Y = Total Negotiated Salary (TNS)
Y is the delta
From activities: grants, clinical earnings
In Research series, Y may be the X’
Salary - Z
Mostly for clinical faculty
Contribution beyond primary responsibility
Usually paid every 2-3 mos as a check after
departmental taxes
Set by Divisional and Dept. Bylaws
In Medicine, based on RVUs
Taxation on Z lower than on Y
Fixed Z: paid by dept. for a particular job
Retirement
(X + X’) x (Yrs. of service) x (Age factor)
Age factor 2-2.5, maxes at age 60
Vested at 5 yrs of service
Vested in health at 20 yrs of service
http://atyourservice.ucop.edu/employees/retirement_savings/ucrp.html
UC Benefits Review
for
Health Sciences
Faculty
October 18, 2012
13
CCARR/PWRPOINT/Health Sciences Faculty 10-2012.PPT
UCLA BENEFITS COUNSELORS
Name
Email
Extension Client by
Alphabet:
Camille Carr
[email protected]
x40847
A-J
Robert Larriva [email protected] x40837
K-Z
Location: 10920 Wilshire Blvd. #200; Mailcode: 146548
14
NEXT 30 MINUTES…
UC Health & Welfare Plans

University of California
Retirement Plan (UCRP)


Current Tier
Retiree Health Plans


G1, G2 and G3
15
UC HEALTH &
WELFARE PLANS
16
UC HEALTH PLANS

Medical Plans

PPOs: Co-Insurance with Deductible Payments
Anthem BC PPO^ ($250 deductible, 80%/20%* co-insurance)
 Anthem Lumenos PPO with HRA ($1,700 deductible,
80%/20%* co-insurance, $1,000 HRA)
 Core ($3,000 deductible, 80%/20%* co-insurance)


POS: Anthem BC Plus^: Co-Pay/Co-Insurance Method


Hybrid HMO with PPO Options ($20 co-pays in network; $500
deductible, 70%/30%* co-insurance out-of-network)
HMO^s: Co-Payment Plans
Health Net ($20 office visit, $250 hospital, $50 ER)
 HN Blue & Gold ($20 office visit, $250 hospital, $50 ER)
 Kaiser ($20 office visit, $250 hospital, $50 ER)

PIE / HIPAA / Open Enrollment
 Subsidy based on Salary Bands

^ Plans have co-payment structure for Rx
*Anthem contracted rates
Beware of balance billing
17
UC HEALTH PLANS

Dental Plans

Delta PPO (Co-Insurance with Deductible)


$1,500 year annual benefit
 2x/year Prophylaxis, 1x/year Bite wing x-rays
 $50 Deductible, co-insurance: 75%/25% minor, 50% major
Delta Care (Co-Payment Plan)

No annual benefit
PIE / Open Enrollment
 No Employee Premium


Vision Plan

VSP (Choice Network)
$10 co-pay exam, $25 co-pay on materials
 1x/year Lenses (contacts or single/bi/tri focals)
 1x/other year Frames ($130 benefit, $70 benefit @ Costco)

PIE / Open Enrollment
 No Employee Premium

18
UC WELFARE PLANS

Life Insurance (cost based on age and salary)
UC Paid
●
1x annual salary up to $50,000
Employee Paid: Supplemental
Chose between flat $20,000, 1x, 2x, 3x, or 4x annual
salary
 PIE / Statement of Health

Employee Paid Dependent Life
50% of Employee Paid Supplemental Amount
 PIE / Statement of Health


Accidental Death & Dismemberment
$5,000 to $500,000 coverage levels
 Self, Self and Spouse, Self and Child(ren), Family
 Enroll anytime; subject to pay compute deadlines

19
UC WELFARE PLANS

Legal Insurance (ARAG)
Flat Monthly Premium
 PIE / selective Open Enrollment


Disability Insurance
UC Paid
● Short Term (55% up to $800/mo. up to 26 weeks)
● Automatic – commences with appointment
● Assumes the same wait period as Employee Paid plan
Employee Paid (7-day, 30-day, 90-day, and 180-day)
 Employee cost based on waiting period, age & salary
 Short Term (70% up to $10,000/mo. up to 12 months)
 Long Term
70% up to $10,000/mo. If offset by other sources
 50% up to $10,000/mo. If not offset by other sources
 $100 minimum monthly payment if other sources >70%


PIE / Statement of Health
20
UC WELFARE PLANS – FSAS
Health Care




Pretax employee
contributions
Use for Health (M/D/V)
expenses that exceed
insurance limitations, copays / insurances,
eligible medical supplies,
chiropractic /
acupuncture
Convenient debit card
$2,500/year max. 2013
Dep Care



Pretax employee
contributions
Use for day care
expenses for dependents
[child(ren), parents,
spouse(s)] that allow
you/spouse to work or go
to school
$5,000 annual household
maximum ($2,500 if
married and filing a
separate tax return)
“Use it or lose it”
UC annually files for extension to March 15th
Requires Positive Re-enrollment during the annual Open Enrollment
21
UC WELFARE PLANS
WORK LIFE BENEFITS

Stay Well (Premium paid by UC)



Wellness initiation program
Incentive: $100/employee, $50/spouse-d.p.
Deadlines:
June 15, 2012 – Health Assessment
 December 15, 2012 – Follow-up Activity


SelectPlus (formerly Sittercity, premium paid by UC)

Provider service website




Nannies, babysitters, eldercare, pets (walkers/care), tutors and
housekeepers
Participant responsible for all hiring arrangements and
payments for services
www.sittercity.com/universityofcalifornia
www.selectplus.com/universityofcalifornia
22
UC HEALTH PLANS

2013 Changes

Health Net / Kaiser / Anthem Plus
+$5 co-payments*
 OP Surgery co-payment $100
 +$25 ER co-payment


All Anthem Plans


Out-of-Network Ambulatory Surgical Center limit of $350
(still requires prior authorization)
Prescription Drug Plans
+$5 co-payments on Retail rx brand and non-formulary
 +$10 co-payments on Mail rx brand and non-formulary


Supplemental Disability

Monthly benefit maximum raised to $15,000 (70% of $21,429)
*Including Optum formerly UBH (Behavioral Health) co-payments
23
2012 Open
Enrollment
October 29th
8:30am –
November 20th 5:00pm
January 1, 2013 effective date
24
University of
California
Retirement Plan
(UCRP)
25
UCRP – 1976 TIER


5 full service years to vest
Requires contributions (7/1/2012):
Employee: 5% - $19/month
 University: 10%




Defined Benefit Plan

Service credit x age factor x [HAPC - $133] = BRI

Excludes: Student titles, WOS, BYA, LWOP

Age factor assigned at retirement age
Service Credit
Age 50 is earliest retirement age




1.1% age 50
2.5% age 60
.14% incremental increase between 50 and 60
HAPC is highest average 36-consecutive month
plan compensation (x plus APU scale)

Reduce by $133 for Social Security coordinated members
26
UCRP AGE FACTORS
27
UCRP COVERED COMPENSATION
HAPC Eligible
HAPC Not Eligible
X = Base Salary
–FTE for Part-time
appointments
–Step Salary; Above & Off
Scale
Health Science Scale
attached to Academic
Programmatic Unit
Y
Negotiated Additional
Compensation
Z
Incentive/Bonus
Compensation
NOTE: Not all Base salary and Health Science Scale totals may be used28
for HAPC due to Covered Compensation Limits
UCRP
COVERED COMPENSATION LIMIT
UCRP Entry Date
7-1-12
7-1-11
7-1-10
HAPC
Before 7-1-94
$375,000
$360,000
$360,000
$30,416.67
7-1-94 & later
$250,000
$245,000
$245,000
$20,555.55
29
SAMPLE PAY STUB
PAY TYPE
TITLE
PAY RATE
TIME
TEMP-B-11MON.
Asst Prof-MEDCOMP 12.590.00
.4461%
5,616.40
HS-TEMP-.3-T-
Asst Prof-MEDCOMP 12.590.00
.1337%
1,683.28
HS-TEMP->.3-T
Asst Prof-MEDCOMP 12.590.00
.2230%
2,807.57
TEMP-DELTA-N
Asst Prof-MEDCOMP 12.590.00
.1176%
1,480.58
TEMP-DELTA-N
Asst Prof-MEDCOMP 12.590.00
.0796%
1,002.16
* TOTAL EARNINGS *
GROSS
12.590.00
DEDUCTIONS
COVERAGE
AMOUNT
ANTHEM BC PPO
SELF
125.62
TAX-SHELTERED YEAR…
125.62
HEALTH FSA
18.00
18.00
PARK REG PRT
68.00
68.00
612.00
UCRP
486.36
486.36
4,377.24
MEDICARE
See handout of sample pay stub
179.48
1,615.32
30
UNIVERSITY OF CALIFORNIA - LOS ANGELES
Payroll Office, 10920 Wilshire Blvd., Suite 620, Los Angeles, CA 90024
IMPORTANT: PLEASE VERIFY ALL INFORMAITON CONTAINED IN THIS STATEMENT AND NOTIFY YOUR DEPARTMENT
OF ANY ERRORS. RETAIN THIS STATEMENT AS A RECORD OF EARNINGS AND DEDUTIONS FROM THE UNIVERSITY.
EMPLOYEE ID NUMBER:
123456789
XXX-XX-0000
361000
HOME DEPARTMENT NUMBER:
EARNINGS STATEMENT ADDRESS:
FEDERAL WITHHOLDING:
STATE WITHHOLDING:
STATE ITEMIZED:
SINGLE
SINGLE
002 ALLOWANCES
001 ALLOWANCES
000 ALLOWANCES
3610
JOSEPH BRUIN
200 WILSHIRE CENTER
146548
NET EARNINGS OF $8,151.64 WILL BE AVAILABLE AS OF 08/31/12 AT YOUR BANK
FEDERAL
TAXABLE EARNINGS
$11,892.01
$107,028.09
CURRENT
YEAR TO DATE
GROSS EARNINGS
$12.590.00
$113,310.00
PAY TYPE
TEMP-B-11MON.
HS-TEMP-.3-THS-TEMP->.3-T
TEMP-DELTA-N
TEMP-DELTA-N
* TOTAL EARNINGS
TITLE
Asst Prof-MEDCOMP
Asst Prof-MEDCOMP
Asst Prof-MEDCOMP
Asst Prof-MEDCOMP
Asst Prof-MEDCOMP
*
DEDUCTIONS
ANTHEM BC PPO
HEALTH FSA
PARK REG PRT
UCRP
MEDICARE
FEDERAL TAX
CA STATE TAX
SUPPL DIS
ARAG LEGAL
UNIV REC CARD
OASDI
COVERAGE
SELF
180 DAY WAIT
SELF
* TOTALS *
PAY RATE
12.590.00
12.590.00
12.590.00
12.590.00
12.590.00
* TOTALS *
SELF
SELF
SELF
TIME
.4461%
.1337%
.2230%
.1176%
.0796%
AMOUNT
125.62
18.00
68.00
486.36
179.48
2,557.32
959.43
11.12
10.02
23.00
TAX-SHELTERED
125.62
18.00
68.00
486.36
$4,438.35
$697.98
UC CONTRIBUTIONS
ANTHM PPO CT
DDENTAL CON
VISION PLAN
CALIFORNIA STATE
TAXABLE EARNINGS
$11,892.01
$107,028.09
466.94
43.96
11.76
$522.66
YEAR-TO-DATE
BEGIN
612.00
4,377.24
1,615.32
23,015.88
8,634.87
100.08
90.18
207.00
4,624.20
TOTAL
DEDUCTIONS
$4,185.49
NET
EARNINGS
$8,151.64
GROSS
5,616.40
1,683.28
2,807.57
1,480.58
1,002.16
12.590.00
PERIOD END DATE
08/31/12
08/31/12
08/31/12
08/31/12
08/31/12
SICK
0.00
VACATION
192.00
COMP
.00
ACCRUED 0.00
16.00
.00
TAKEN
0.00
24.00
.00
FINAL
0.00
184.00
.00
UCRP – 1976 TIER
Defined Benefit Plan
Service credit x age factor = Benefit %
Benefit % x [HAPC - $133] = BRI
(Basic Retirement Benefit)
32
UCRP – 1976 TIER

Monthly Retirement Income (MRI)






Or Lump Sum Cashout (LSC)


Retiree Health Insurance
Survivor Benefits
Payment Options (Contingent Annuitant)
Cost of Living Adjustments
$7,500 Death Payment
Forfeit all future UCRP benefits
Or Refund of Accumulations

Forfeit the Monthly Retirement Income / LSC
33
RETIREE HEALTH BENEFITS
• You must elect a monthly benefit
• Your health insurance must be current
• You must retire (start payments) within
120 calendar days of the date your UC
employment ends to continue your medical,
dental and legal plans, if eligible.
• If you do not continue your medical, dental
and/or legal plans when you retire, you will
not be eligible to enroll in these plans at
any time in the future.
34
RETIREE HEALTH BENEFITS

G1
UCRP entry date pre 1/1/1990
 Retire at age 50 – 54 with 10 years or more UCRP
 Retire at age 55 or older with 5 years or more UCRP


G2
UCRP entry date or rehire date 1/1/1990 or later
 Retire at age 50 or older:

10 years of service credit, 50% UC Contribution
 Each additional year of service credit +5%
 20 years or more 100% UC Contribution


G3

UCRP members who do not meet 2 thresholds by 7/1/13
5 years of UCRP service
 Age plus service credit equals 50 or more


35
Retire age 56 or older with 10 years is 5% UC contribution
Retiree Health Benefits Subsidy Levels – G1, G2, G3 Example
18 years of UCRP service credit
Health Net HMO, 2-Adult coverage
Both H&W age 60
2012 Premium $ 1,300.45
2012 Maximum (100%) UC Contribution $ 907.89
Retiree
Insurance Level
Monthly
Retiree Cost
G1
100%
G2
90%
G3
45%
$907.89
$817.10
$ 408.55
$ 392.56
$ 483.35
($90.79 + 392.56)
$ 966.70
($499.34 + $392.56)
G1
=
UCRP Members before 1/1/1990 without a break in service, 100%
G2
=
UCRP Members 1/1/1990 or later, or above with a break in service of >120 days: 50% with 10
years, +5% for each additional year, 100% with 20 years or more.
G3
=
UCRP Members who do not meet 5 years of UCRP service credit and age plus service credit of 50
as of 7/1/2013.
QUESTIONS???
Campus Human Resources, 310.794.0847
—
www.chr.ucla.edu
UC Benefits, 800.888.8267
—
http://atyourservice.ucop.edu
FITSCo, 866.682.7787
—
http://www.netbenefits.fidelity.com
IRS, 800.772.1213
—
www.irs.gov
Social Security
—
http://www.ssa.gov
37
Jr. Faculty Lecture Series
4 pm, Gonda 1357
11/15/12
Work-life balance
Lynn Gordon
1/17/13
Mentoring
Linda Baum
2/21/13
Negotiations seminar
Carol Mangione
3/21/13
Networking
M. Ines Boechat
John Luo
4/18/13
Academic process
David Hovda
5/16/12
Research update
Judith Gasson