2018 EMPLOYER WORKSHOP. school #1 webinar. welcome Employer Workshop 2 School #1

Transcription

1 2018 EMPLOYER WORKSHOP school #1 webinar welcome 2018 Employer Workshop 2 School #1

2 welcome Topics Welcome Useful Tools Membership Optional Life Insurance Long-term Disability Death Benefits 2018 Employer Workshop 3 School #1 welcome Designated Agent Role Liaison between the Retirement System and the employer Relay Retirement System information to members in a timely manner Perform transactions using the Employer Web Portal KPERS Designated Agent Members 2018 Employer Workshop 4 School #1

3 welcome Little Things That Help Send documents with Social Security numbers through Secure Upload on the Employer Web Portal. Include your agency ID number when contacting KPERS. Contact Fiscal Services for all pay reporting and option life questions. For everything else, contact Member Services. Refer to the Employer Manual. Include member s name and last 4 of SSN 2018 Employer Workshop 5 School #1 welcome Employer Web Portal (EWP) User Roles Designated agents need to assign and closely maintain user roles for the EWP. Designated Agent Message Admin Bank OGLI (Optional Life Insurance) Death & Disability Pay Reports Enrollment Read Only Invoice 2018 Employer Workshop 6 School #1

4 useful tools 2018 Employer Workshop 7 School #1 useful tools Website (kpers.org) 2018 Employer Workshop 8 School #1

5 useful tools KPERS Website (active member section) 2018 Employer Workshop 9 School #1 useful tools Forms and Publications Click Forms and Publications to print needed member forms and publications. On Publications page, click Request a Paper Copy to order multiple forms Employer Workshop 10 School #1

6 useful tools Member Web Portal Click here Member Login 2018 Employer Workshop 11 School #1 useful tools kpers.org (employer section) 2018 Employer Workshop 12 School #1

7 useful tools Employer Manual 2018 Employer Workshop 13 School #1 useful tools Training and Webinars Register for webinars, watch recordings, get handouts & schedules 2018 Employer Workshop 14 School #1

8 useful tools Resource Page for New EWP Quick Vid help videos, webinar recordings, archive, fliers, etc Employer Workshop 15 School #1 useful tools Employer Web Portal 2018 Employer Workshop 16 School #1

9 useful tools 2018 Employer Workshop 17 School #1 useful tools Orientation Help From KPERS 3 Mobile App Specifically for new KPERS 3 employees Integrated with online KPERS account KPERS benefits intro Designate a beneficiary Sign up for optional life insurance Highlight budgeting & saving on their own 2018 Employer Workshop 18 School #1

10 useful tools Screen Samples KPERS 3 Mobile App 2018 Employer Workshop 19 School #1 useful tools Screen Samples 2018 Employer Workshop 20 School #1

11 useful tools Contact KPERS 2018 Employer Workshop 21 School #1 membership 2018 Employer Workshop 22 School #1

12 membership Covered Position Based on the Job Description Requirements 630 or more hours per year Covered by Social Security Continuously & consistently employed Not temporary Not seasonal Part-time position covered if meets requirements 2018 Employer Workshop 23 School #1 membership Membership Is Mandatory Can t opt out Can t withdraw while working Can t borrow from account Can t contribute more Membership starts the first day of employment Employer Workshop 24 School #1

13 membership Membership Groups KPERS 1 Hired before July 1, 2009 KPERS 2 Hired July 1, Dec 31, 2014 KPERS 3 Hired Jan 1, 2015 and after 2018 Employer Workshop 25 School #1 membership Vesting Vested Members Vest with 5 years of service (18 quarters rounds to five years) Lifetime monthly benefit Non-vested Members Withdraw within 5 years after leaving employment (unless working for another KPERS employer) Earn interest, even after leaving employment KPERS 2 returns as a KPERS 3 member 2018 Employer Workshop 26 School #1

14 membership Grace Period Summer break: May 1 September 30 Anytime: 30 days (includes move to non-school employer) Break in service: end date and new start date Start dates & end dates are very important To track service credit accurately. To report wages accurately. For the withdrawal process. (in employee record) 2018 Employer Workshop 27 School #1 membership KPERS Plan 401(a) Defined Benefit Plan Contrast to deferred compensation plans (personal savings plans) 457(b) 403(b) 401(k) IRA KPERS 1 and KPERS 2 retirement benefits are based on years of service and final average salary, not contribution amount 2018 Employer Workshop 28 School #1

15 membership Employee Contributions & Interest Employees contribute 6% Contributions based on employee gross wages Contributions are pretax KPERS 1 and KPERS 2 members credited interest each June 30 for balance in account on previous Dec Employer Workshop 29 School #1 membership KPERS 3 Retirement Plan Defined Benefit With a Twist Contribution Account and Retirement Credits Kept separate Grow over time KPERS 3 retirement benefit based on amount in contribution account and retirement credits 2018 Employer Workshop 30 School #1

16 membership Employee Contributions (KPERS 3) Employees contribute 6% Contributions are based on employee gross wages Contributions are pretax KPERS 3 members will be credited interest quarterly for the balance in the account on the previous quarter (4% annually) Employer Workshop 31 School #1 membership KPERS 3 Interest Account Balance (3/31/17) Q2 Employee Contributions Q2 Interest (1%) 6.00 Account Balance (6/30/17) 1, Example: $10,000 in pay per quarter 2018 Employer Workshop 32 School #1

17 membership KPERS 3 Retirement Credits Credits earned quarterly based on length of service Years Worked Annual Rate Less than 5 3% % % 24 or more 6% Represented as dollar amounts Build in value over time and only available at retirement 2018 Employer Workshop 33 School #1 membership KPERS 3 Retirement Credits and Interest Retirement Credits (available only at retirement) Retirement Credit Value (3/31/17) Q2 Service Credits Q2 Interest (1%) 3.00 Retirement Credit Value (6/30/17) Employer Workshop 34 School #1

18 membership KPERS 3 Member Account (Member Web Portal) 2018 Employer Workshop 35 School #1 membership Employer Contributions Not deposited into the member s account Deposited into the KPERS trust fund for 17% 24% 59% Disability benefits Death benefits Future retirement benefits Investments Employer Contributions Employee Contributions 2018 Employer Workshop 36 School #1

19 membership 2018 Employer Workshop 37 School #1 optional life insurance 2018 Employer Workshop 38 School #1

20 optional life What is it? Optional life insurance (OGLI) is additional coverage beyond basic life insurance. Employer must affiliate to offer optional life. Coverage for member, spouse, child Member decides how much coverage. Member pays premium through payroll deduction Employer Workshop 39 School #1 optional life Want to Affiliate? Affiliation Date Enrollment Period Coverage Effective Date January 1 April July 1 (same year) July 1 October January 1 (following year) Contact KPERS to affiliate 2018 Employer Workshop 40 School #1

21 optional life Who Is It? The Standard Life Insurance National company with offices across U.S. Kansas office w/3 dedicated account specialists 2018 Employer Workshop 41 School #1 optional life Type of Coverage Guaranteed Coverage Eligible without answering health questions Anytime Coverage (Medical Underwriting) For more coverage than the guaranteed coverage max, or any amount outside of enrollment period Must submit proof of good health If anytime coverage is denied, member no longer eligible for increase without proof of good health, even during open enrollment 2018 Employer Workshop 42 School #1

22 optional life Enrollment Coverage Anytime Guaranteed Enrollment Periods Anytime New employee (KPERS retirees not eligible) Open enrollment w/in 31 days Family status change w/in 31 days Marriage or divorce Death Birth or adoption Employment status change Cancel coverage at any time Employer Workshop 43 School #1 optional life Open Enrollment Employee Spouse Guaranteed Coverage (no health questions) Increase Up to $50,000 ($5K increments) ($250,000 max) Up to $25,000 ($5K increments) ($25,000 max) Plan Maximum Up to $400,000 Up to $100,000 Child $10,000 ($1/month) $20,000 ($2/month) $20, Employer Workshop 44 School #1

23 optional life Family Status Change May increase coverage 31 days of a family status change: Marriage or divorce Death Birth or adoption of child Employment status change Enroll or increase member coverage by $50,000 with no health questions. Enroll or increase spouse coverage to $10,000 or $25,000 with no health questions. Employee may elect $10,000 or $20,000 of child coverage with no health questions Employer Workshop 45 School #1 optional life New Employees Employee Spouse Child* Guaranteed Coverage (no health questions) Up to $50,000 in $5,000 increments Up to $25,000 in $5,000 increments $10,000 ($1/month) $20,000 ($2/month) Anytime Coverage (some health questions) Up to $400,000 in $5,000 increments Up to $100,000 in $5,000 increments *One premium covers all dependent children in family until age Employer Workshop 46 School #1

24 optional life Coverage at a Glance Enrollment Period Employee Spouse Child Anytime Coverage health questions n/a Up to $400,000 Up to $100,000 Only available with new hire, open enrollment or family status change New employee (within 31 days) Up to $250,000 Up to $25,000 $10,000 $20,000 Guaranteed Coverage no health questions Family Status Change (within 31 days) Annual Open Enrollment New or increase up to $50,000 ($250,000 max) New or increase up to $50,000 ($250,000 max) New or increase up to $25,000 ($25,000 max) New or increase up to $25,000 ($25,000 max) $10,000 $20,000 $10,000 $20,000 Cancel coverage anytime 2018 Employer Workshop 47 School #1 optional life Leave of Absence To avoid coverage lapse, employee must pay premium directly to The Standard when on leave of absence If member elects to keep optional life, he must filled out the forms Fill out Optional Group Life Continuation form (KPERS-79C) when leaving employment Fill out Optional Group Life Insurance Return to Payroll form (KPERS-79R) when returning to employment 2018 Employer Workshop 48 School #1

25 optional life Continuing Coverage Portability Option Term Policy Rates are lower than whole-life Premiums increase with age Must be under age 80 Actively at work day before leaving employment Can convert full amount with no health questions Within 60 days of last day on payroll 2018 Employer Workshop 49 School #1 optional life Continuing Coverage Conversion Option Whole Life Policy Rates are higher than term life Offers level premiums Builds cash value Pays face amount at time of death Can convert full amount with no health questions Within 60 days of last day on payroll 2018 Employer Workshop 50 School #1

26 optional life Continuing Spouse and Child Coverage Portable only if employee ports own insurance Can convert to whole-life whether employee converts own insurance or not 2018 Employer Workshop 51 School #1 optional life Materials and Presentations Materials Forms available at kpers.org/forms Order booklets at kpers.org/orderform Presentations The Standard can participate in benefit fairs and talk to employees about optional life insurance Employer Workshop 52 School #1

27 optional life Contact Information Contact The Standard Office 800 SW Jackson St., Ste Topeka, KS Phone Fax Questions about underwriting process, status, etc. Check on an application Questions about converting or porting coverage 2018 Employer Workshop 53 School #1 optional life Access in EWP Previous optional life membership will automatically transfer during enrollment if new employer is affiliated for optional life 2018 Employer Workshop 54 School #1

28 optional life Paying the Premium 2018 Employer Workshop 55 School #1 optional life Paying the Premium 2018 Employer Workshop 56 School #1

29 optional life Paying the Premium Enter end dates on the optional life report and it populates the entire system 2018 Employer Workshop 57 School #1 optional life Paying the Premium 2018 Employer Workshop 58 School #1

30 optional life Paying the Premium 2018 Employer Workshop 59 School #1 optional life Paying the Premium 2018 Employer Workshop 60 School #1

31 long-term disability benefit 2018 Employer Workshop 61 School #1 disability Definition Be under regular care of physician Disability must begin while an active member Must meet the following definition of disability Disabled from own occupation for 24 months After benefits have been paid for 24 months, employee is unable to perform any occupation KPERS disability is independent of getting Social Security disability Employer Workshop 62 School #1

32 disability Eligible Employees Active KPERS members Active Board of Regents employees Eligible employees of University of Kansas Hospital Authority Legislators State officers No disability coverage during military leave 2018 Employer Workshop 63 School #1 disability Disability Payments 60% of current pay Minus Workers Compensation, Social Security or any employer provided disability benefit. Minimum monthly benefit is $100 Maximum monthly benefit is $5,000 Confirmed each year to continue receiving benefits 2018 Employer Workshop 64 School #1

33 disability Disability Payments EXAMPLE $3,000/month salary KPERS Disability Benefit $1,800 Social Security Benefit -$1,750 Balance $50* *KPERS will pay minimum of $ Employer Workshop 65 School #1 disability 180-Day Waiting Period Waiting period begins first day employee is no longer at work. Fill out Disability section on the EWP as soon as employee STOPS working. Leave of Absence and End Date is not used until employee is earning less than 50% of full pay for 10 consecutive days. Regular pay Sick and vacation leave EWP (Employee Record) 2018 Employer Workshop 66 School #1

34 disability 180-Day Waiting Period Important Note: If employee attempts to return to work for up to 30 working days during waiting period and again becomes disabled from same cause, waiting period will be extended by the number of days worked Employer Workshop 67 School #1 disability Leave of Absence Check Leaving Employment section of the Employer Manual Employer Workshop 68 School #1

35 disability Benefits Begin Once approved, benefits won t begin until: The employee completes 180 continuous days of total disability. AND The date employee stops receiving any pay from KPERS employer Employer Workshop 69 School #1 disability Rehabilitative Employment Employee must do rehabilitative employment if Disability Management Services (DMS) determines it to be beneficial. Employee s monthly benefit reduction: Reduced By Time Period 50% First 12 months 75% Second 12 months Rehabilitative employment can continue for up to 24 months Employer Workshop 70 School #1

36 disability Maximum Benefit Period Disability Began Before age 60 On or after age 60 Max Benefit Period Whichever comes first: (A) 65th birthday (B) Chosen retirement date Whichever comes first: (A) Period of 5 years, or (B) Chosen retirement date 2018 Employer Workshop 71 School #1 disability Employee Benefits While on Disability Continues to earn service credit. Continues to have basic life insurance coverage If participating in optional life insurance, may continue group rate (member pays premium directly) 2018 Employer Workshop 72 School #1

37 disability Report Disability 2018 Employer Workshop 73 School #1 disability Report Disability 2018 Employer Workshop 74 School #1

38 disability 2018 Employer Workshop 75 School #1 disability 2018 Employer Workshop 76 School #1

39 disability 2018 Employer Workshop 77 School #1 death benefits 2018 Employer Workshop 78 School #1

40 death benefits Basic Life Insurance Active KPERS members covered at employer s expense Covered at 150% of whichever is higher: Employee s current annual rate of pay Hourly rate x hours position requires Employee s previous 12 months of pay 2018 Employer Workshop 79 School #1 death benefits Active Member Death Report death in employee record on EWP Paid to employee s beneficiaries: Basic life insurance Return of contributions and interest Optional life insurance Members can name different beneficiaries for retirement benefits and group life insurance benefits Employer Workshop 80 School #1

41 death benefits Surviving-Spouse Option (in lieu of return of contributions) Surviving spouse can choose to take retirement benefits if he or she is sole primary beneficiary Monthly benefits begin when the deceased would have been eligible for retirement, even if a reduced benefit KPERS 1 & 2 must have 10 years of service KPERS 3 must have 5 years of service & eligible for normal retirement 2018 Employer Workshop 81 School #1 death benefits On-the-Job Death Benefits Benefit amount in lieu of surviving-spouse benefit $50,000 lump-sum payment 50% of employee s final average salary (paid monthly) Minus Workers Compensation Minimum payment = $100 Benefits payable to: Employee s spouse If no spouse, to dependent children If no children, to dependent parents If none of the above exist, benefit is not paid 2018 Employer Workshop 82 School #1

42 death benefits Accelerated Death Benefits If diagnosed terminally ill with 24 months or less to live, policy holder can accelerate all or part of life insurance Applies to both basic and optional life insurance If employee returns to work, any coverage not used stays in effect as long as employee is active member and continues paying premiums 2018 Employer Workshop 83 School #1 death benefits Report Death 2018 Employer Workshop 84 School #1

43 education & training 2018 Employer Workshop 85 School #1 Educational Opportunities Presentations Presentations and Webinars Basic KPERS 1,2, & 3 New Employees KPERS 3 Pre-Retirement Benefit Fairs One-on-One Counseling Employees New Designated Agent 2018 Employer Workshop 86 School #1

44 Educational Opportunities Educational and Training Staff Dianna Berry Topeka Office Manager of Training/Education Justin Quick Topeka Office Cathy Rafferty Topeka Office Paige Ashley Topeka Office Alan Schuler Eastern Kansas Mel Abbott Central Kansas Ardith Dunn Western Kansas 2018 Employer Workshop 87 School #1 Educational Opportunities Contact us To arrange educational opportunities, us 2018 Employer Workshop 88 School #1

45 Thank you!