Employer Reporting Work Group

1. Employer Reporting Work Group June 2008

2. MePERS Payroll Data Compliance Criteria

3. PSC codes – quick review Payroll Reporting – what is important to service Payroll Reporting Edits – how reporting effects service Agenda

4. PSC Codes

5. Position Code YEXNN Stipend Reporting Earnings Reported = 2 mos., 20 days (.222) Time Unit Code “C” Contract Earnings reported / FTE Contract = Service Credit What is Important to Service

6. Time Unit Codes “H” & “D” Hourly Daily Expected Full Time for One Week Employer Type makes a difference Expected Weeks Per Year Rate of Pay What is Important to Service (cont.)

7. Simplified Calculation (Hourly/Daily) Earnings Reported / Annualized Rate Expected Full Time for One Week X Expected Weeks Per Year multiplied by Rate of Pay Annualized Rate What is Important to Service (cont.)

8. Time Unit Code H, D or C only FTE Annual Contract Amount must be present when Time Unit Code = C How Reporting Affects Service

9. Expected Full Time for One Week If C, value should be “null” If H, and employer is PLD, value should be 35-40 Expected Weeks Per Year If, C, value should be “null” If H or D, and employer is PLD, value should be 36-52, inclusive How Reporting Affects Service (cont.)

10. Rate of Pay If H, rate of pay should be greater than $6.50 and less than $50.00 If D, rate of pay should be greater than $49.99 and less than $325.00 If H or D, and difference between last two reports is greater than 10%, MainePERS will check with you. How Reporting Affects Service (cont.)

11. Member & Non-Member Reporting

12. Substitute Teachers RRTW New Member Packets Member Meetings Agenda

13. Review – Substitute Teacher Reporting Substitute Teachers • Effective September 20, 2007, can opt out of MainePERS membership. • Employers fill out a new membership application if member changes status. • Retirees returning to work as Subs must be reported with a PSC of 53. • All Subs no matter the position they are filling should be reported with a position code of Y0209.

14. Review – Chapter 410 {RRTW} Retirees Returned to Work • Under MainePERS Rule Chapter 410 employers are required to report all MainePERS retirees who return to work. • Retirees should be reported on payroll with a PSC of 53. • Failure to comply with the requirements of Chapter 410 will result in the immediate suspension of the retiree’s retirement benefit and a potential monetary penalty for either the retiree, the employer or both.

15. Review – Chapter 410 {RRTW} (cont.) • Regardless of the position held a retiree should be reported either hourly or daily. Exception: Extracurricular activities should still be reported as a stipend. (E.g. Coach) • A day for hourly employees is eight hours; and one day if they are paid on a per diem basis. Each stipend position is considered 60 work days.

16. Welcome Packets • Mailed quarterly to new members • Provides a brief overview of the Retirement System and a Plan specific Handbook.

17. Group Life Insurance

18. Rate Changes Group Life Rule - 601 PLD Retiree – Billing Employer Pilot Beneficiary Update Agenda

19. Supplemental Rate Changes • Age based rate change was effective April 1, 2008 • The first payrolls are in and have been reviewed • Reminder: Charts and a calculator are available on our website for use in determining premiums. www.mainepers.org

20. Chapter 601 – New Hire • Any new employee should complete a new Application for Coverage. Eligible employees include employees eligible to join MainePERS as teacher member and who work 20 hours or 2½ normal working days per week. • It is important we receive the Application for Coverage even if the employee refuses or is ineligible. • Coverage will be effective the first of the month after an additional 31 days in an eligible position. • Level should be based on their contract amount or annualized salary and will not be updated in April of the next year.

21. Retiring Teachers • No premiums should be submitted for July and August if a teacher is retiring July 1. • After a retiree’s effective date of retirement, they may only have Basic coverage, at no cost, if they met the criteria to take coverage into retirement.

22. PLD Retiree Test Pilot • Premiums will no longer need to be submitted as part of the monthly payrolls. • You will receive an itemized monthly bill which will include new retirees and will remove deceased retirees.

23. Designation of Beneficiary Updates Goal: To collect current data on members and their beneficiaries. • Many designations have not been updated since the member was first employed. • Some members have never made a designations. • We will be requiring the Social Security numbers and dates of birth of all beneficiaries.

24. Designation of Beneficiary Updates (cont.) • Witness signatures are no longer required. • All communications will go directly to the employee’s home address. • Current designations will be provided. • Members can continue with the same designations or update their designations.

25. Next Meeting Thursday, October 2, 2008 1:30 – 3:30 MainePERS Maine Public Employees Retirement System 46 State House Station Augusta, ME 04333-0046 www.mainepers.org