Summer Benefit Deductions for Unclassified Nine-Month Employees - New "May Multiples" Process
April 2, 2012
Unclassified academic year (nine-month) employees, who are expected to return to employment for the fall semester, are required to have multiple benefit deductions taken from earnings paid during the spring semester to cover insurance premiums over the summer months. Previously, three additional insurance deductions were taken from the June 1st paycheck to maintain insurance coverage over the summer. In the past, this was referred to as "May Multiples."
Due to an increase in the employee health insurance premium, a decision was made to spread these multiple insurance deductions over several months to lessen the impact of having three additional insurance premium deductions for each benefit plan taken from the June 1st paycheck. These deductions will now be referred to as "Summer Prepay" and will be taken as illustrated in the chart below. Please note that these Summer Prepay deductions will be taken along with your regular monthly insurance deductions.
If these additional deductions are taken and it is later determined that you are not returning to employment for the fall semester, refunds may be due. If your department/division determines that you are eligible for Summer Prepay deductions, it is not a guarantee of a summer or fall employment contract.
IMPORTANT: The chart below illustrates how deductions will be taken for a typical employee who is eligible for Summer Prepay deductions. Your individual situation may vary. Your division/department/benefits office office will determine how your employment situation and/or your end date impact your eligibility for Summer Prepay deductions.
| Benefit Plan | Premium(s) to be Taken | Paycheck on Which Premium(s) Taken |
|---|---|---|
|
Regular premium deduction PLUS one Summer premium deduction |
Two premiums will be taken for each plan on the following paychecks:
|
|
Regular premium deduction |
March 30 |
Regular premium deduction PLUS two Summer premium deductions |
May 1 |
|
Regular premium deduction PLUS one Summer premium deduction |
June 1 |
|
|
These plans are NOT eligible for Summer Prepay deductions - an academic year employee will receive nine deductions per year for these plans |
|
Summer prepay deductions will appear as a lump sum amount in your earnings statement. All deductions taken pre-tax (most medical-related premiums and portion of State Group Life) will be added together under the name "Prebtx" and all deductions taken post-tax (most life insurance premiums) will be added together under the name "Preatx." Your regular benefit deductions for the month will continue to be listed under the plan name. For example, if you carry family Dean Health Insurance and Single VSP Insurance, you will see a $201 deduction under Dean Health Plan and a $5.24 deduction under Vision Service Plan (VSP). These deductions are typically taken on a pre-tax basis. If you have one extra deduction for each plan, there will be a total of $206.24 ($201.00 + $5.24) listed under Prebtx on each earnings statement impacted by the additional deductions.
If you have questions, please contact your institution's payroll and benefits office.
Source: UW System Administration
Categories: Employee Reimbursement Account