Exit OrientationPresented

by

Michael Binyon, Manager of Payroll and BenefitsMary Perdue, Lead Payroll SpecialistCindy Sharp, Lead Benefits SpecialistPatty Nevdahl, Retirement Specialist

Disclaimer

The following information is intended to provide you with some general information as to financial matters that are due to your upcoming separation of employment from Spokane Public Schools. These benefits are governed by specific provisions in your collective bargaining agreements, or School District Board Policies and Procedures, or state or federal laws or regulations, or other controlling sources.

Disclaimer

If you have any doubt at all about laws, rules, procedures, or ramifications of the decisions you are making, you should first consult your attorney, accountant, or tax advisor. Any decision made by you in relation to these matters is your sole responsibility, and we and the School District will not be liable for any decisions you make in reliance on what we may say (or not say) today.

Initiating Retirement/Resignation

Complete a Separation of Employment form and submit it to the H/R Department

Can be confidential to Board of Directors You will receive confirmation that it will go

to the board; no additional correspondence Letter tells options for payout

Where Your Personnel File Goes

Your personnel file is kept intact by the District for 7 years after your employment ends and is shredded after that time

Certificated employees also have a credit /clock hour file that they may wish to copy if applying at other districts

Payroll & Benefits Staff

Mary Perdue – Lead Payroll Specialist – Phone 354-7222 email MaryPer@SpokaneSchools.org

Cindy Sharp – Lead Benefit Specialist – Phone 354-7280 email Cindysha@SpokaneSchools.org

Patty Nevdahl – Retirement Specialist – Phone 354-7282 email PattyN@SpokaneSchools.org

Options for Payout 10 Month Employees

If you want payment all in June, notify HR by June 10

Payout in June does not impact benefits for July and August

Payout in June does not impact taxes adversely (quarterly code entered)

Vacation Leave Sell Back

Limited to 30 days including vacation leave sold back in the last 2 years

Paid out automatically upon separation or retirement

TRS/PERS Plan 1 only – vacation sold back is reportable to Retirement

Sick Leave Sell Back – Separation

Eligibility (as specified in law)– TRS/SERS Plan 2 - 55 years old, 15 years service credit– TRS/SERS Plan 3 – 55 years old, 10 years service credit– TRS/PERS 1 – not eligible

Limited to 180 days maximum sell back at 4 days for 1 day pay

If your bargaining group selected VEBA, complete application and money goes into your VEBA account

Sick Leave Sell Back – Retirement

Limited to 180 days maximum sell back at 4 days for 1 day pay

If your bargaining group selected VEBA, complete application and money goes into your VEBA account

Must send Payroll a copy of your DRS letter which shows your retirement date

VEBA for Sick Leave Sell Back

Employee Groups vote annually on whether to have retirement sick leave sell back funds go into a VEBA account

If the group chooses VEBA, retirement Sick Leave pay off funds are deposited into a tax-free VEBA account

As a retiree, you submit claims to VEBA to be reimbursed for your medical, dental and vision premiums, and other qualified health care expenses

Benefits – End of Coverage

10 month employees who work through the last day of school (separate or retire)– Benefits effective through end of September– Benefit deductions tripled if salary paid out in

June

Benefits – End of Coverage

All 12 month employees OR 10 employees who separate/retire any time

other than the end of the school year (For example - March)– If last day worked is 1st - 14th of March –

benefits end 1st of the next month, April– If last day worked is 15th - 31st of March –

benefits end 1st of the month after that, May

Benefits – COBRA

Program that provides continuation of Medical, Dental and Vision insurance, and Health Flexible Savings Account upon loss of benefits

Provides an additional 18 months of benefit coverage for separations/retirements

Cobra notification automatically sent during your last month of coverage– Rehn and Associates is our third party administrator – Sent to your home address on file in HR

COBRA (cont’d)

60 days to enroll – from date of notification or loss of benefits, whichever is later

Can not have a break in coverage/premiums You pay the full premium

– The portion you currently pay and the portion the district pays, plus a 2% administrative fee

Pay on the same rate structure (i.e. tiered or composite) as when an active employee

Call Payroll/Benefits if you have questions – 354-7333

PEBB Health Insurance for Retirees

Public Employees Benefit Board (PEBB) PEBB retiree insurance is available for retirees

who had benefits while employed PEBB retiree insurance is also available for

separating employees who are TRS/SERS Plan 3, 55 years old, and 10 years service credit

PEBB retiree insurance is NOT available for separating employees who are TRS/SERS Plan 2

Retirees may choose COBRA or PEBB Call PEBB for a packet – 1-800-200-1004 Limited number of packets available in Payroll

PEBB (cont’d) 60 days to enroll or defer coverage – from end of

benefit coverage. IMPORTANT – if you miss the 60 day window,

you cannot enroll later! EVER! Can complete a form deferring benefits if you will

have benefits through another active employer sponsored or federal retiree plan

Deferral MUST be completed within 60 day window

Suggestion – submit enrollment/defer form 6 weeks before end of benefit coverage

Call PEBB for any questions – 1-800-200-1004

Benefits - Life Insurance

Basic life – May convert basic life to a private policy– Rate will change– Contact Payroll/Benefits for form

Supplemental life insurance (additional and spouse life insurance)– May be ported at the current rate for up to 3 years– You pay the premium– After 3 years, is converted to a private plan and rates

can change– You can choose to discontinue the plan

Department of Retirement Systems Separations

Not required to withdraw money Can leave money in and withdraw it at a

future time Retirement plan continues if employed with

another eligible employer Questions? Call DRS 1-800-547-6657

Department of Retirement Systems Retirees

Recommend using the DRS online benefit estimator on their website http://www.drs.wa.gov

Recommend attending the DRS free seminar or workshop for retirement planning. Visit DRS website to sign up or call 1-800-547-6657.

Get estimate of benefits from DRS if within 1 year of retiring

Tell DRS when you think you will retire. You can provide more than 1 date.

Department of Retirement Systems Retirees

Based on your call to DRS, they will send you an application if you are within 1 year of retiring

Return completed application to DRS three months before retiring

Department of Retirement Systems Retirees --

10 Month Employees

If retire July 1, can receive SPS payroll check and DRS check in July and August

Plan 2 & 3 members– Get estimate of July 1 vs. September 1 retirement– Difference is two additional DRS monthly retirement

checks vs. two months additional DRS service credit

Retirement Planning SeminarsThe DRS seminars run from 9 am to 2:30 pm and include

information on:

State retirement plans Financial planning Estate planning Washington State Deferred Compensation Program (DCP) Voluntary Employees' Beneficiary Association (VEBA) Statewide Health Insurance Benefits Advisors (SHIBA) Social Security Health Care Authority (PEBB)

More information on signing up for the DRS Seminars is available at the State DRS Web Site -- http://www.drs.wa.gov

DRS – Working after Retiring

DRS limits how many hours you can work for a covered employer (i.e. school district)

Rules vary depending on the DRS plan. Contact DRS or payroll for a pamphlet!

Exceed the limits and your retirement will be stopped.

Applying for Rehire

Fill out complete application, certificated or classified

Include at least two letters of recommendation Attend substitute seminar Get fingerprinted if not within last two years

Social Security

Contact Social Security 1-800-772-1213 – “How the Social Security Changes Affect You”

booklet.– Tutorial CD showing you how to Apply for

Social Security Retirement benefits On-Line at the Social Security Administration’s Web Site www.socialsecurity.gov

Miscellaneous Information

SEA/WEA sponsored Retirement seminars – Three evening meetings usually in March– Free to all employees– Contact SEA for more information 325-4503

District Retiree Dinner– Usually one evening in May– Notify HR of your retirement by mid-May– Invitation will be sent to you and you may bring a guest– Your supervisor is invited– Contact Communications Dept. for more information

354-7340

Exit Orientation Contact Information

Human Resources 354-7265 Payroll/Benefits 354-7333 PEBB 1-800-200-1004 www.pebb.hca.wa.gov DRS 1-800-547-6657

email recep@drs.wa.gov www.drs.wa.gov

Social Security 1-800-772-1213 www.socialsecurity.gov

Exit Orientation

Questions?