2016 Open Enrollment - Benefits Overview. CCC - Employee Benefits Program Open Enrollment is the annual opportunity for you to make changes and/or enroll.
City Colleges of Chicago Employee Benefit Program2016 Open Enrollment - Benefits OverviewWelcome to the CCC Benefits Overview Session. During the presentation we will provide some details on each of our CCC Offered Benefits.1CCC - Employee Benefits ProgramOpen Enrollment is the annual opportunity for you to make changes and/or enroll in the benefits plan suitable for you.Your eligibility for the benefits depends upon your employment status, job family, and applicable union contract.For more information please refer to your applicable Benefits Summary and Benefits Guide. Then complete Open Enrollment online at by logging into HR Self-Service and clicking the Benefits Enrollment link. If at anytime you have questions or want more information about benefits you can:Call the Benefits Call Center at 312-553-2895Email the Benefits Department at firstname.lastname@example.orgHours of operation are 8:30 AM to 5:30 PM, M-F2- 2016 is the year to give your coverage elections a check up!Are you in the right plan(s)? What health related events do you need to plan for in 2016?Check your union contract if applicable for your eligibility to CCC Benefits2Open Enrollment & Mid-Year Plan ChangesOpen Enrollment:Confirm your benefits options online starting on November 9, 2015 to November 25, 2015.Changes made during Open Enrollment will be effective as of January 1, 2016.Mid-Year Plan Changes:Employee benefits options changes outside of Open Enrollment can only occur if:A qualifying life event happened, such as: Marriage, Divorce, Birth, Adoption, Death, Change in Employment StatusRequest for changes must be reported to CCC Benefits within 31 days from the date of the event.3Life Events that occur outside of open enrollment must be reported to CCC Benefits within 31 days of the event.Marriage BirthDivorceAdoptionChange in employment statusOverage Dependent age-out, over 26 3HIGHLIGHTS 2016 Open Enrollment 4Open Enrollment November 9 November 252016 Open Enrollment ALL Active Employees Must Actively Confirm their 2016 Benefit Elections. We will not automatically rollover your 2015 elections.Rate cost share remains at 85% CCC Cost and 15% Employee Cost share.New Dental Plan Highlights for 2016Open Enrollment : WWW.ccc.edu/OE2016 MAJOR Take Away! 2016 Open Enrollment: All Active Employees must confirm their 2016 elections online. 2015 elections will NOT be rolled over.2016 cost shares for employees remains 15%Improved Dental Benefits for 201642016 Plan Costs Employee Contributions2016 Costs are inline with national trend for increases by plan type and tiers:-Medical: PPO - 8% to 15%, HMO - 4.8%-Dental: 10 -12%- Vision: 6%See Individual Plan Summaries at www.ccc.edu/OE2016 for specific applicable job family 2016 rates.5Modest rates increases - examples:PPO Employee Only : 2015 = $77.00 per month/2016 = $83.15 per monthPPO Employee + Dep(s): 2015 = $181.80 / 2016 = $192.70HMO Employee Only: 2015 = $70.90 / 2016 = $74.31HMO Employee + Dep(s) 2015=$177.28/2016=$185.79Dental: Single - 2015=$5.04 /2016= $5.55Dental :Family 2015=$14.08 / 2016 = $15.77Vision: Single- 2015=$1.20 / 2016=$1.28Vision: Family 2015=$2.60 / 2016=$2.755CCC Benefits6The overview will focus on these three categories:Healthcare PlansSupplemental Plan BenefitsRetirement Plans6Eligibility77Dependent EligibilityWho can you cover?Your spouse/same sex domestic partner/civil union partnerYour biological, adopted, foster, and step-children up to their 26th birthdayYour covered spouse, legal civil union or same-sex domestic partners children up to their 26th birthdayDisabled children after age 26Children that you are a court appointed legal guardian for up to their 26th birthdayYou cannot coverYour grandchildren, nieces, or nephews if you are not their court appointed legal guardianYour parents or in-laws8Next lets take a look at who can be covered under CCCs benefits:EmployeeSpouse/Domestic and Civil Union PartnersBiological, Adopted, Foster and Step-Children, and Court appointed guardianships8Part-Time Employee Benefits As a part-time employee of the City Colleges of Chicago, you are eligible to elect and receive certain employee benefits during Open Enrollment.Your eligibility for benefits depends upon your employee job family and applicable union contract.To determine your benefits eligibility, please refer to your Benefits Guide and Benefits Summary at http://ccc.edu/benefits9Check your individual job family benefits summary at : www.ccc.edu/benefits for a full listing of your eligible benefits.9Pre-Tax Treatment Qualified PlansHealth and Welfare Plans (Medical/Dental/Vision)Flexible Spending AccountsDependent Care AccountsRetirement Accounts 403(b) /457(b)Transit Benefits (CTA/METRA)10Examples of Pre-Tax Benefits: Allow for pretax dollars to be used to pay for benefits and reducing your direct taxable income amount. - Medical/ Dental / Vision - FSA Retirement plans10How Pre-Tax Benefits Impact your Final PaySo, I Have Pre-Tax Benefits. WhatExactlyAre They?In a nutshell, pre-tax benefits allow you to pay for certain expenses through deductions taken from your pay before any taxes are taken out. Those pre-tax deductions work by discounting the amount of taxable wages you owe taxes on, so your take home pay ultimately ends up being more than if you were to pay for the same benefits on a post-tax basis.1111Pre-Tax IllustrationExample: John has a daughter who needs braces that will cost $1,200 over the next year. He also has a $250 major medical coverage deductible. Plus, he needs glasses costing $230. That totals up to $1,680 for the year, or $70 per bimonthly pay period.With a Healthcare Flexible Spending Account, John can increase his spendable income. Healthcare FSA illustration:Johns status: Married, two fed/state exemptionsBimonthly salary: $1,000Healthcare FSA: $70 per pay periodAnnual savings of $498.00 ($41.50 x12) - $20.75 bi- monthly.12Pretax example shows the impact of planning for expenses for the upcoming year and using FSA to cover some expenses.Additional tax reduction saving would be possible if the participant also contributed to an 403(b) or 457(b) retirement plan.12Healthcare Plans1313Medical PlansHMOPrimary Care Physician is required.Referrals by PCP is required.No annual deductible.No co-insurance, plan covers 100% after copay.Prescriptions coverage through BCBS Prime.PPONo Primary Care Physician required.Receive in-network coverage with any in-network doctors, no referrals needed.Plan starts paying co-insurance after annual deductible is met.Prescriptions coverage through CVS/Caremark.(PPO plan for Local 1600 employees is a grandfathered plan, some services such as Children Wellness Check-ups, Child Immunization are not covered.)1414Dental Plan Enhancements - 2016Cleanings updated to twice per calendar year Adult orthodontiaVeneers repair and replacement every 60 months.Sealants cover for dependents up to age 19.15For 2016 CCC will enhance our benefits by allowing two cleanings per calendar year.New for 2016, Adult Orthodontia - braces, invisilign, up to $2,000.00 lifetime maximum.Veneers repair and replacement every 60 months.15Vision PlanNo changes to vision plan in 2016.Eye exam once every 12 months with $10 copay.Contact lens every 12 months with $300 allowance .Prescription lenses every 12 months with $10 copay for single vision, lined bifocal and lined trifocal.Frame every 24 months with $120 allowance with $10 copay.Check to make sure your provider is a VSP participating provider.16Plan covers routine eye exams and provides an allowance for frames and contacts.* Be sure to check that your service provider accepts VSP coverage before services are provided.16Flexible Spending Account (FSA)What is FSA?FSA allows you to put up to $2,550 pre-tax into an account to use toward your out-of-pocket health care expenses.Dependent Care FSA allows you to put up to $5,000 pre-tax into an account to use toward child care expenses.Why FSA?The advantage of having a FSA is that you will reduce your taxable income and you are using pre-tax money that would normally require you to use after-tax money.Its easy to use your FSA with the debit card issued with your account.17- FSA pre-tax limits stay the same for 2016 * FSA maximum of $2,550* Dependent Care FSA - $5,00017What are other eligible FSA expenses 18You must re-elect your FSA independent care accountevery year.Your prior yearFSA elections can not automatically be continued for the following calendar year. IRS regulations require that you re-enroll in your FSA each year during Open Enrollment.UnusedHealthorDependentCareFSAbalancesmustbeforfeitedunderIRSregulations.Makesureyoucarefully estimate your expected health and dependent care expenses before you enroll inor change your FSA election.You have until March 15th of the following year to apply any expenses to your FSA dollars. Example: For 2016 you have until March 15, 2017 to use FSA dollars for 2016, and you must submit all claims by March 30, 2017.18Employer Paid Life InsuranceAll eligible employees automatically receive this coverage.Coverage amount depends on your job family and annual salary.19See your individual plan summary for your job family group life maximum level. Typically (2x) your base salary be aware if a cap applies. See Supplemental Coverage for additional coverage options.19Voluntary Supplemental Plans2020Voluntary Supplemental Life and AD&D InsuranceFor EmployeeUp to a maximum of the lesser of 5 times your pay or $750,000 at increments of $25,000.For SpouseUp to a maximum of $250,000 at $10,000 increments, cannot exceed Employees supplemental life coverage amount.For Dependent ChildrenAt $10,000 or $25,000 coverage amount.Other benefits included with Employees supplemental life coverage at no additional costWill PreparationEstate Resolution ServicesGrief Counseling21Coverage cost are based on the age of the employee x amount of coverage selected per $1,000s dollars worth of coverage. Flat rate for Child dependent up to age 19.- Plan allows for conversion should you terminate from CCC.- Plan has a waiver provision in the event of disability and unable to work- Plan provides for benefits acceleration if terminally ill (see plan details).Example of Calculation/Rates 21Voluntary Short/Long Term DisabilityShort Term DisabilityPays the benefit amount of 60% of your pre-disability weekly income up to a weekly maximum of $1,000.Benefits payout begin after a 7 days elimination period with a maximum duration of 12 weeks.Long Term DisabilityPays the benefit amount of 65% of your pre-disability monthly income up to a monthly maximum of $8,000.Benefits payout begin after a 90 days elimination period.22Benefits paid are not subject to tax withholding subject to IRS guidelines.When do benefits begin and how long do they continue?Short Term Disability: Benefits begin after the end of the elimination period. The elimination period begins on the day you becomedisabled and is the length of time you must wait while being disabled before you are eligible to receive a benefit. The elimination periods are/is as follows: For Injury: 7 days.For Sickness (includes pregnancy): 7 days.Benefits continue for as long as you are disabled up to a maximum duration of 12, weeks of Disability.Long Term Disability:Benefits begin after the end of the elimination period. The elimination period begins on the day you become disabled and is the length of time you must wait while being disabled before you are eligible to receive a benefit. Your elimination period for Long Term Disability is 90 days.22Voluntary Critical IllnessCoverage available for Employee, spouse and dependent children.The plan pays out a lump-sum benefit to help ease your financial burden due to certain covered serious medical illnesses.Coverage available at $15,000 and $30,000.Examples of Critical Illnesses: Breast Cancer, Kidney Failure, organ Transplant, Heart Attack, Stroke, and Coronary Bypass Graft, other conditions may be eligible for partials or recurring benefits, see plan summary.23Voluntary Critical Care complements your medical and disability income coverage, and can ease the financial impact of a critical illness by providing a lump-sum benefit to help you pay some of your additional expenses.Although most medical plans provide coverage for hospital and medical expenses arising from critical illnesses, there are still many expenses that are not covered, such as medical co-pays, transportation to treatment centers andchildcare, ambulance transports, and other eligible expenses related to critical illnesses. See full plan summary and details for all applicable eligible benefits.23Retirement2424State Universities Retirement System (SURS)SURS provides retirement, disability, death, and survivor benefits to participants and annuitants.SURS is a contributory system and you must contribute 8% of your gross earnings on a pre-tax basis.CCC employees do not pay into Social Security so you are not eligible for Social Security benefits from CCC employment.No Social Security taxes are withheld from your earnings; however, contributions for Medicare are withheld from your gross earnings.Must select benefit plan type within 6 months of employment start date or will be permanently enrolled in the Traditional Benefit PlanElection is a one-time, irrevocable decision that cannot be changed25All CCC Employees must participate in SURS 8%Initial plan selection of Traditional , Portable , or Self Managed remains your choice throughout your SURS lifetime.25SURS Benefit Options Portable Benefit PackageTraditional Benefit PackageSelf-Managed Plan (SMP)8% of Earnings8% of Earnings8% of earningsPayment in form of lifetime monthly annuity OR lump sum paymentPayment in the form of lifetime monthly annuityPortable Benefit PackageFunds invested by professional investment managers hired and supervised by SURSFunds invested by professional investment managers hired and supervised by SURSYou select and manage the investment of your funds chosen from a menu of investment vehicles offered by SMP service providersRetirement benefit based on predetermined formula of your work earnings and years of serviceRetirement benefit based on predetermined formula of your work earnings and years of serviceRetirement benefit based on performance of investments you select2626403(b) and 457(b) Retirement Savings PlansContribute pre-tax money to the plan to help you save for retirement.Lower your taxable income.Taxes are paid at the time of distributions in retirement.Earnings from investments are not taxable until distributions.Access your funds through loans or hardship withdrawals.Catch-up contributions available for employees over 50 years old.Many investment options.27403(b) and 457(b) Retirement Saving Options allow you to supplement your SURS Retirement savings.Consult your Financial Planner or Tax Preparer if one or both plans is a viable savings option for you and your family.How to participate - Enrolling is as easy as 1-2-3:As a new participant, you can enroll in the 403(b) and/or 457(b) Plans as well as change your investment provider at any time. Open an account with one of the approved 403(b) and/or 457(b) Investment Providers.Submit a copy of your signed account application along with the appropriate completed Salary Reduction Authorization form (SRA) by mail or fax to: TSA Consulting GroupP.O. Box 4037Ft. Walton Beach, FL 32549Fax: 1-866-908-7582If you have any questions about the CCC Retirement Savings Plans, contact TSA at 1-888-796-3786. 27Difference between 403(b) and 457(b)Plan Feature403(b)457(b)Service-based Catch-up ContributionsEmployees with at least 15 years of consecutive service with City Colleges can contribute up to $3,000 per year to a lifetime maximum of $15,000. (Prior year contributions may limit this amount.) Employees can make this contribution and the age 50 additional contribution in the same year.Employees within 3 years of Normal Retirement Age 65 can contribute up to 2 times the basic annual contribution limitor up to $35,000 for 2015. (Prior year contributions may limit this amount.) Employees can make the greater of this contribution or the age 50 additional contribution, but cannot do both in the same year.In-Service WithdrawalsPermitted at age 59-1/2 with no 10% tax penalty. The amount you withdraw is subject to income tax.No in-service withdrawals are permitted.Unexpected WithdrawalsHardship withdrawals must meet one of 6 IRS-defined conditions and are subject to income tax plus a 10% penalty tax, followed by a 6-month contribution suspension period.Unforeseen emergency withdrawals for severe financial hardships as defined by IRS regulations are subject to income tax with no tax penalty for early withdrawal.28See the comparison of the 403(b) and 457(b) plans review them closely to understand any penalty, or withdrawal rights.Both plans have special contribution catch-up rights for participants who are age 50+Its never too early or too late to start saving for retirement a little investment now grows into bigger savings later! 28Difference between 403(b) and 457(b) (contd)Plan Feature403(b)457(b)DistributionsDistribution events are separation from employment, retirement, disability or death. All distributions are subject to income tax. Distributions before age 59-1/2 are also subject to a 10% tax penalty unless due to death, disability or separation from service after attainment of age 55.Distribution events are separation from employment, retirement or death. All distributions are subject to income tax with no tax penalty regardless of age.2929Other Benefits 3030Transit BenefitsAvailable for CTA/Pace Ventra Card Program and METRA Transit Prepaid MasterCard Program.Use pre-tax payroll deductions for your transit expenses.3131Auto and Home Owners/Renters Insurance ReimbursementReceive $200 reimbursement per year for a Travelers auto insurance policy.Receive $100 reimbursement per year for a Travelers home owners/renters insurance policy.Available to most Full-time employees, refer to your Benefits Summary for eligibility requirement.32Eligible polices must be underwritten by Travelers and Geico.Contract the benefits teams with any questions - 1-312- 553-2895.32Important Contact NumbersCCC Benefits Dept. : 312-553-2895, or email@example.com HMO Medical: 1-800-892-2803HMO Prescription Drug: 1-800-423-1973PPO Medical: 1-800-772-6895PPO Prescription Drug: 1-877-542-0285Dental: 1-855-557-5488Vision Service Plan (VSP): 1-800-877-7195Employee Assistance Program (EAP) : 1-800-511-39203333Questions?Send your inquiries to firstname.lastname@example.org