CENTRAL SUSQUEHANNA INTERMEDIATE UNIT Application: Personnel. Setting Up Insurance Parameters Step-by-step Instructions

Transcription

1 CENTRAL SUSQUEHANNA INTERMEDIATE UNIT Application: Personnel Setting Up Insurance Parameters Step-by-step Instructions 2013 Central Susquehanna Intermediate Unit, USA

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3 Table of Contents Introduction... 1 Setting up Insurance Parameters... 2 Insurance Parameters... 2 Insurance Plans... 2 Insurance Types Central Susquehanna Intermediate Unit, USA

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5 Setting Up Insurance Parameters INTRODUCTION Use the INSURANCE PARAMETERS directory to: Maintain a directory of user-defined Insurance Plan/Type codes and descriptions. The Insurance Plan codes and associated Insurance Types will be used on the EMPLOYEE INSURANCE INFORMATION/INSURANCES tab to identify the kinds of insurance that employees receive as a benefit. You must first define an Insurance Plan and then you can define the types of coverage available under the plan on the INSURANCE TYPES tab. This directory also allows you to designate a plan for group term life (GTL) calculations. Selecting the GTL Plan option enables benefit calculations to be performed in the CSIU Payroll application for all employees who have GTL insurance benefits that need to be reported on their W2s. Revised: 04/19/ Central Susquehanna Intermediate Unit, USA Page 1

6 Setting Up Insurance Parameters SETTING UP INSURANCE PARAMETERS Insurance Parameters INS > INSURANCE PARAMETERS The INSURANCE PARAMETERS are created by identifying Insurance Plans and associated Insurance Types with user-defined codes. Insurance Plans To add a record, click the Add button and complete the data entry fields on the Insurance Plans tab. 1. Enter a user-defined Insurance Plan code (up to four characters) to identify an insurance plan available to employees (and/or former employees) in your district. You might define Insurance Plan codes and descriptions as follows: Insurance Plan MED DENT LIFE Description Medical Insurance - If more than one medical insurance is offered, use the insurance name as the code. Examples: PPO, TRAD, GHP Dental Insurance Life Insurance 2. Enter a Description of the insurance plan. We recommend you enter at least eight characters for insurance Descriptions. This will help prevent a spacing issue from occurring when you generate EMPLOYEE LETTERS with benefit information. 3. Select an Actuary Plan for GASB45 reporting (established in the ACTUARY INSURANCE PLANS directory). 4. Select the GTL Plan checkbox option, as needed, to designate the insurance plan as a Group Term Life plan. Revised: 04/19/ Central Susquehanna Intermediate Unit, USA Page 2

7 Setting Up Insurance Parameters Insurance Types Create Insurance Types for each Insurance Plan to identify each type of coverage. For each type of coverage, record the Monthly Cost and the Fund Accounting Posting Object to which expenditures can be posted. To create an Insurance Type, click the Add button at the bottom of the screen and complete the data entry fields. The Insurance Plan field displays the current insurance plan code and description from the selected INSURANCE PLANS tab. 1. Enter an Insurance Type code (up to four characters) to identify a type of coverage available under the displayed insurance plan code. Insurance types need to be created according to the coverage and cost of each Insurance Type. If the employees portion of the cost varies, be sure to enter an additional Type for each group to correctly expense the employers' share of the insurance costs. A Payroll voluntary deduction can collect the employee s portion of the insurance cost. For instance, an Insurance Plan code/description of Dental Insurance can offer multiple Insurance Types, specifically suited to meet employees various needs. Examples include the following: Insurance Type Description SING DBLE FAML TESI TEDB TEFA Single coverage Husband and Wife Family coverage Teacher Single coverage Teacher Husband/Wife Teacher Family coverage 2. Select an insurance Tier as established in the INSURANCE TIERS directory. This field is used for GASB45 reporting. Revised: 04/19/ Central Susquehanna Intermediate Unit, USA Page 3

8 Setting Up Insurance Parameters 3. Enter the Effective Date the insurance plan/type goes into effect (the date the specified Monthly Cost takes effect). 4. Enter the total insurance premium Monthly Cost for this plan/type per month for each employee. Your entry in this field displays as the default cost on the EMPLOYEE INSURANCE INFORMATION/INSURANCES tab. The amount entered as the Monthly Cost typically represents what the district pays. The Monthly Cost is used when generating EMPLOYEE LETTERS and/or during budgeting in the Salary module. IF the employee pays a portion of the insurance premium (for example, a voluntary deduction for the employee s portion of the insurance premium is set up in the Payroll application) BE SURE to deduct that amount from the total cost you would otherwise enter in this field. If necessary for any employee(s), exceptions to the Monthly Cost specified here can be entered in the Override Cost field on the EMPLOYEE INSURANCE INFORMATION record. NOTE: If an Override Cost is entered, it REPLACES the specified Monthly Cost in EMPLOYEE LETTERS and/or during budgeting in the Salary module. 5. Enter the percentage paid by the employer for this type of insurance. The entry in the Percent field displays as the default percent on the EMPLOYEE INSURANCE INFORMATION/INSURANCES tab. We recommend that you retain the default of 100% to prevent rounding issues during processing. A Percent entry of less than 100% will produce a different default cost by calculating a percent of the specified Monthly Cost. 6. To post insurance expenditures from Personnel to the Fund Accounting application, enter the Posting Object code (three digits) against which transactions for this type of insurance should be posted (e.g. Medical - 211, Dental - 212, Life - 213, Vision 215). During the INSURANCE DISTRIBUTION process, the appropriate Posting Objects are substituted in the account codes that are stored in the EMPLOYEE INSURANCE INFORMATION/ACCOUNTS records. 7. In the W2 Monthly Cost field, enter the total monthly cost (no dollar sign) for each employee for the plan/type to be reported on the W2. To exclude from W2 reporting, enter a zero ( is entered by default) in this field. This information is included in the W2 INSURANCE FILE EXPORT process. 8. Click the Update button to update the EMPLOYEE INSURANCE INFORMATION records of all employees with the currently displayed Insurance Plan/Type combination. This feature is used during the MASS UPDATE INSURANCE RATES process, which will be reviewed in the Update Insurance Rates document. Revised: 04/19/ Central Susquehanna Intermediate Unit, USA Page 4