HR, Payroll and Benefits News

Multiple (Summer) Deductions for Unclassified Nine-Month Appointees
June 1, 2011

UW Unclassified appointees (Academic Staff, Faculty, Graduate Assistants, and Employees-in-Training) who have nine-month academic year appointments and certain other Unclassified employees who are expected to return to UW employment in the Fall will have multiple insurance deductions taken from May earnings (payable June 1) so that insurance coverage continues through the summer months.

Since most insurance premiums are paid in advance of the coverage month, the additional three deductions from May earnings (for July, August and September coverage) will maintain coverage until deductions resume with September earnings (for October coverage).

This year, May multiples will be reflected in a new format on the employee earnings statement. The three additional May multiple deductions will be shown as a lump sum for all insurance deductions. For most employees, the lump sum will be shown on the earnings statement as "Prepaid Before-Tax." For employees who have after-tax deductions, there will also be a lump sum shown as "Prepaid After-Tax."

This is a change from the previous format for May multiple deductions where a separate deduction line by plan for the additional May multiple amounts was shown on the earnings statement. On the June 1 earnings statement, the employee's "regular" monthly deductions (from May earnings for June coverage) will continue to be listed as one deduction for each insurance plan in which the employee is enrolled.

Multiple deductions are not taken for Tax-Sheltered Annuities, Deferred Compensation or the Employee Reimbursement Account (ERA) program. Deductions for these programs will automatically resume on the October 1 pay check.

Please contact your benefits office if you have questions about the multiple (summer) deductions.

Source: UW Service Center
Categories: Payroll