99-9 Obsolete

Immediate Change to Retirement and Fringe Benefit Rates
September 27, 1999

Note: This Important Notice is being sent to Account Managers, Chairpersons, Deans and Chancellors. Please forward to others who have a need to know.)

This updates Important Notice 99-7 dated August 17, 1999. Effective September 1, 1999 new object codes are to be used for academic and exempt professional appointees paid on contract and grant awards. See Important Notice 99-8 for a full explanation of this change.

As indicated in Important Notice 94-7, benefits are pooled and all persons are charged based on object codes and not on benefit entitlement. Non-student hourly personnel employed more than 1000 hours annually are covered by the PERF retirement plan.

Retirement and Fringe Benefits Effective September 1, 1999

 

Group

 

Retirement

 

FICA

Other Fringe Benefits

Fee

Remissions

 

Total

 

Description

 

A

 

19.54%

 

7.00%

 

8.48%

  

 

35.02%

Academic (object codes 2000, 2001) and exempt professional appointees (object codes 2400, 2401) on cost share and non-contract and grant accounts.

 

B

 

13.72%

 

7.00%

 

8.48%

  

 

29.20%

Academic (object codes 2008) and exempt professional appointees (object codes 2408, 2428, and 2458) on contract and grant awards.

C

  

7.00%

8.48%

  

15.48%

Summer salary for 10 month appointees (object code 2010)

D

8.70%

7.00%

8.48%

  

24.18%

Biweekly appointees (object code 2500)

E

8.70%

7.00%

    

15.70%

Hourly non-student appointees in positions requiring more than 1000 annual hours of work (object code 3050)

F

  

7.00%

    

7.00%

Hourly non-student appointees in positions with less than 1000 annual hours of work (object codes 3000, 3100, 3200)

G

  

7.00%

    

7.00%

Supplemental payments for those doing internal consulting (object codes 4580, 4587)

 

H

    

(1) $546 Bloomington

(2) $393 Indianapolis

(3)

  

Qualified graduate student employees (those appointed at 37.5% or more for at least one full semester, and taking at least 6 credit hours) or qualified fellowship recipients (those with a stipend of $2,550 or more per semester)
  1. Health Insurance for Student Academic Appointees and Fellowship Recipients on the Bloomington campus is a flat fee of $546 (85% institutional share) per year ($223.50 for the first semester and $322.50 for the second semester continuing through summer). It should be placed in the employee benefit category of the budget and included in the base for calculating indirect cost. The difference in amount between Bloomington and Indianapolis is the Bloomington Health Center fee. Please begin budgeting it immediately. Actual charging of the extra $76.50 per semester ($153 per year) will not occur until the fiscal year beginning July 1, 2000.
  2. Health Insurance for Student Academic Appointees and Fellowship Recipients on the Indianapolis campus is a flat fee of $393 (85% institutional share) per year ($147 for the first semester and $246 for the second semester continuing through summer.
  3. The amount of fee remission to be budgeted is being left to individual schools. The maximum amount that can be charged to a sponsored project will be total fees (including out-of-state fees if applicable) less the dedicated fee. The school will be obligated to give a full fee remission (30 hours per 12-month period beginning with the start of the fall semester with no more than 12 hours in any semester or combined summer sessions) to all graduate student employees who are involved in research or teaching activities and are appointed at least 50% FTE.