Human Resources & Equal Opportunity
Student Employment
Fringe Benefits
The Employee Assistance Program
All benefited SSC employees are eligible for these services!
Retirement Plans
Membership in the Massachusetts State Employee Retirement System (SERS) is mandatory for all employees with benefits working at least half-time, with the exception of Faculty, Vice Presidents, Presidents and Deans. These employees may participate in either SERS or the Optional Retirement Program (ORP). SERS is a defined benefit plan; ORP is a defined contribution plan.
ORP benefit plan vendors
Retirement Info and Forms
Another link of interest
The State Retirement Board has announced that starting in October 2006, if you have ten years of creditable service with the State Employee's Retirement System (SERS), and you had formerly provided service as a "contract employee," you may be eligible to purchase that service as creditable service toward your retirement.
Do Your Research
First, research your personal files and complete Part A of the application as best you can. Attach copies of any proof of SSC service, i.e. W-2 statements, pay stubs, letters, etc. Once HR has your application, we will try to complete Part B and assist you in researching any old records that SSC has to help you meet the State Retirement Board's (SRB) requirements. We may be deluged with requests, but we'll try to complete our part ASAP, in the order in which applications are received. The SRB makes the final determination if the info submitted is adequate or not.
Once the SRB notifies the employee that he/she is eligible to purchase contract service, the employee has 180 days after the notice to either:
- purchase the service via a lump sum payment;
or
- enter into an installment payment agreement.
Please note, if the 180-day period expires without action by a member, the contract service will no longer be eligible for purchase.
All service must be bought back while the employee is "actively employed." The Buy-Back unit of the SRB will also be deluged with applications, and their review of each application may be delayed by the volume received.
Requirements
- Before you complete the application, make sure you meet the following requirements:
- Must currently be a member in service of State Employees Retirement System (SERS) with at least ten (10) years of state service. (This does NOT include other service time with cities, towns or counties of the Commonwealth.)
- The contract employee service being purchased must have immediately preceded membership or re-entry into SERS.
- The contract service being purchased must have been service to the Commonwealth, not service to a city, town, county or other governmental entity.
- The job description of the contract service position must have been substantially similar to the job description the member held upon becoming an employee and member of the SERS.
- The maximum amount of contract service eligible to be purchased is four (4) years.
- Eligible part-time contract service shall be credit on a proportional basis.
- The cost to purchase contract service is the amount equal to that which would have been withheld as regular retirement deductions for the contract service as if the service had been rendered as a state employee, and the individual had been a member of the SERVES, plus buyback interest of 4.125%.
Social Security
The Commonwealth of Massachusetts has elected not to participate in the Social Security System. Therefore, Salem State College employees are exempt from Social Security (FICA) deductions. However, a Federal act (COBRA) mandates that all state government employees hired after April 1, 1986 are required to pay the Medicare portion of the social security tax. which is 1.45% of the gross income earned per year. Employees hired prior to April 1, 1986 are not eligible for Medicare unless they had adequate prior Social Security credit from non-State jobs. Employees are required to sign up for Medicare Part A preferably three months prior to their 65th birthday (if eligible). There is no cost for Part A. The Group Insurance Commission requires that all eligible employees sign up for Medicare Part B only if they are 65 and retired. Employees who are still working at age 65 sign up for Part B only after they retire. Employees at retirement are responsible for paying the cost of Part B (again if eligible). The spouse of a Salem State employee (even if 65) does not have to sign up for Part B until the spouse is retired. Social Security determines if you are eligible for Medicare or not. If the employee is not eligible for Medicare, they may be eligible under their spouse. If neither the employee or the spouse is eligible for Medicare and want health insurance after retirement, they stay on their active employee health care insurance and this is their primary insurance. For employees who are eligible for Medicare Part B, Medicare becomes their primary insurance carrier, and any health insurance they retain at retirement through the Group Insurance Commission becomes "secondary or Medigap" insurance.
Vendors for Retirement Planning on Campus
The Benefits Coordinator will send out e-mails periodically telling employees when the 403(b) and 457(b) vendors will be on campus. Enrollment information for the following 403(b) providers (AIG Valic, ING, Lincoln-Financial, and Met-Life) as well as the 457(b) through Great-West are available at the Human Resources Department. A list of all approved Commonwealth 403(b) providers is also available in HR.
Tax Sheltered Annuities 403(b) Plans
Employees may accumulate personal retirement savings, without state or federal tax withholding, through the redirection of a portion of pay into one or more tax-sheltered annuities 403(b) plans. Earnings on these annuity contributions are free of current federal income tax until the employee withdraws funds from his/her account. Employees may select and contact a state-approved vendor.
Deferred Compensation Plan 457(b)
The Commonwealth of Massachusetts has a salary reduction program for state employees. This is a Federal and State tax deferred program. Employees may participate in this 457(b) program through payroll deductions. A 457(b) plan is a valuable opportunity for employees of an educational institution. Beginning January 1, 2002 contributions to a 457(b) plan have no impact on 403(b) program contributions. You can contribute the maximum allowed per year into a 403(b) and a 457(b) plan. Please check with the Great-West advisor to see what the maximum amount allowed is for any given year. There are additional "catch-up" provisions available where employees can save even more prior to retirement. Additional information is available through the Office of Human Resources & Equal Opportunity Benefits Coordinator, or by calling Great-West at 877-457-1900 or their website at www.mass-smart.com.
Two Before-Tax Flexible Spending Accounts:
A Flexible Spending Account (FSA) allows employees to pay for certain non-reimbursed healthcare and dependent care expenses with before-tax dollars. Participation can significantly reduce your federal and state income taxes. You may establish a Health Care Spending Account, a Dependent Care Spending Account or both depending on your personal circumstances. You can only elect to participate during open enrollment (held in October and November each year for participation in the next calendar year) or if you are a newly hired employee. The only exception would be for participants who have a "change in family status". Changes in status under IRS regulations include: change in legal marital status; change in number of dependents; change in employment status; change in work schedule, which changes your eligibility for the program; dependent satisfies or ceases to satisfy eligibility requirements; significant change of residence or work-site; or judgment, decree or order pertaining to child or spouse. Each plan has its own separate limit. Enrollment forms may be obtained through Human Resources or from the Internet at www.myshps.com. New enrollment forms must be processed through SSC's HR Department, and should not be mailed to SHPS directly. If you participated in the prior years program(s), you will be sent instructions to re-enroll on-line. If you do not want to re-enroll on-line you can give your application to Human Resources for processing to SHPS. For additional information check out the Group Insurance Commission's website www.mass.gov/gic or call SHPS Customer Service directly at 866-862-2422 or www.myshps.com.
Health Care Spending Account (HCSA):
This program offers employees the chance to pay for qualified medically-related expenses on a pre-tax basis. Examples of qualified expenses include: physician and prescription co-payments, medical deductibles and coinsurance amounts, eyeglasses and contact lenses not covered by your insurance or vision plan, orthodontia and dental benefits not covered by your dental plan, hearing aids and durable medical equipment not covered by your health plan, smoking cessation and exercise classes prescribed by your physician. Effective September 3, 2003 employees may now submit receipts for many over the counter drugs (OTC). Medications such as antacids, allergy medicine, pain relievers, and cold medicine are now eligible for HCSA reimbursement. Employees can elect between $500 to $2,500 each calendar year. It is important to estimate carefully as the Internal Revenue Service requires that any unused funds at plan year-end be forfeited. Starting in calendar year 2005 and going forward a new IRS regulation provides for a two and a half month "grace period" at the end of each plan year in which participants can spend down any unused contribution. This means you have until March 15 of the following calendar year to use up your contribution. Please remember that during the "grace period only" you cannot use your free debit card and must use the reimbursement form. SHPS prefers that reimbursement forms be faxed (rather than mailed) to 1-866-643-2219. The cost to administer this program is paid for by each employee on a before tax basis.
Under the New Free Debit Card – Employees who enroll in the Health Care Spending Account will automatically receive a free debit card which they can use to pay for eligible expenses immediately. A second family card for individuals 19 years or older is $5.00 per year, plus the administrative fee of $3.75 per month. If you are interested in a second debit card, please contact SHPS at 1-866-962-2422, . If you are not able to use your debit card you can submit your requests for reimbursement on "the Healthcare Expense reimbursement form" also faxing supporting documentation for your claim. When you use your debit card remember to only use it for "medically-related items" and always save your receipts. SHPS will request that you send them receipts for items purchased in stores like Target, Wallmart, grocery stores, etc. Whether you pay by debit card, fax or mail your reimbursement forms to SHPS please remember that the IRS can audit you, so always save your receipts. It is recommended that you fax these forms along with your proof of payment by Wednesday of each week to SHPS at 1-866-643-2219 in order to receive a reimbursement within a week. You can choose whether to have the reimbursement to be direct deposited into your back or mailed to your home. You can be reimbursed for the full amount in your health care account without waiting until the end of the year (whether you have paid into the account in full or not).
Dependent Care Assistance Program (DCAP):
This benefit is designed to help reduce your childcare and elder care costs. This program allows you to set aside up to $5,000 of your income on a pre-tax basis to pay for childcare or other dependent care expenses. Eligible Dependent Care expenses are defined as those that enable the participant and the participant's spouse to work or to look for work. A summary of some expenses is provided below:
- Child care centers that care for six or more children and meet the IRS's definition of a qualified day care center;
- Caregivers for a disabled spouse or dependent who lives with the participant;
- Babysitters;
- Nursery schools; and
- Day Camp
Unlike the Health Care Spending Account (HCSA), the Dependent Care Assistance Program (DCAP) expenses cannot be reimbursed unless you have the money in your account.
A qualified dependent for both the Health Care and Dependent Care programs is a person that you claim on your Form 1040 tax return as a "dependent". For purposes of the Dependent Care plan, a "qualified dependent" must also be under age 13. However, if a dependent is mentally or physically handicapped, he or she will remain a qualified dependent for the Dependent Care irrespective of age. A dependent can also be an adult parent, if you claim the parent as a dependent for tax purposes.
Note: In compliance with the IRS guidelines, the service provider cannot be an individual for whom a personal tax exemption may be claimed. In addition, a child of the participant or spouse cannot be under the age of 19.
It is important to estimate carefully as the Internal Revenue Service requires that any unused funds at plan year-end be forfeited. A new IRS regulation which starts in plan year 2005 provides for a 2½ month "grace period" at the end of every plan year which allows participants to spend down any unused contribution from the end of the plan year to March 15 of the next year. For example, if you have a $100 left over in your HCSA at the end of 2006, you may still incur eligible expenses until March 15, 2007 that may be applied to your remaining 2006 HCSA balance of $100. However, you will not be allowed to use your debit card for expenses incurred during the IRS 2½ month grace period. Reimbursement claim forms must be used during the grace period. The cost to administer this program is paid for by each employee on a before tax basis. There is an administrative fee of $3.75 per month for either HSCA or DCAP alone or DCAP and HCSA combined.
Credit Union
Employees may become members of the Massachusetts State Employees' Credit Union For a brochure and application, contact Pam Oppelt in HR at x6030, or go to MSECU's website or call their toll-free number, 1-800-700-7733.
Savings Bonds
U.S. Savings Bonds are a good way to save for the future and are easily purchased through payroll deductions. To sign up for Savings Bonds or to learn more about them you can e-mail Paula Griffin in the Human Resources Department, or contact her at extension 7243.
Tuition Remission/Waiver
College employees, their spouses and children who meet eligibility requirements are entitled to tuition waiver/remission. Full or partial tuition remission is applicable to state supported and non-state supported programs at Massachusetts State and Community Colleges and Universities (except the University of Massachusetts Medical Center at Worcester.) Full or partial tuition waivers are applicable at state supported and non-state supported programs at state colleges. Some categories of employees may also get waivers at Community Colleges and Universities. If you would like to view the Tuition Remission Policy go to: Tuition Remission. If you need information on tuition waivers or would like a tuition remission form mailed to you, you may e-mail your request to Paula Griffin.
Unemployment Compensation
Unemployment compensation provides temporary income for workers who have lost their jobs. If you become unemployed, with no assurance of a continued contract, you may be eligible for unemployment compensation for a limited period of time. The Division of Unemployment Assistance requires Salem State College to provide each employee who becomes separated from employment at the College an informational pamphlet on how to file for unemployment compensation. For more information, visit the Massachusetts Division of Unemployment Assistance website.
Workers' Compensation Insurance
The Massachusetts Workers' Compensation Law is an insurance plan which is supervised by the Commonwealth and is paid for by Salem State College. Under the provisions of the law, if you are injured while at work, you are eligible to apply for Workers' Compensation. Coverage begins the minute you are on the job and continues as long as you are employed by Salem State College. Any injury or illness is covered if it is determined to be related to your job. All injuries, no matter how slight, must be reported immediately to your supervisor and to Human Resources to ensure consideration under Workers' Compensation. In an emergency, contact the Campus Police on extension 6111 to obtain an ambulance or transportation to the nearest hospital emergency. For more information, contact Pat Bradford at extension 6078, or you may e-mail her at patricia.bradford@salemstate.edu.
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