Slide 1

Welcome to Retirement APS Benefits Department Ellen KennedyDirector of Employee Relations x 6103 Rashel ByrdBenefits Administrator x 2881 Michelle BrauchBenefits Specialist x 8627 M. Ann IrbyBenefits Specialist x 6105 Slide 2 Medical Insurance O Retiree pays pro-rated share of cost as determined by School Board O If timely payments are received: O Coverage continues indefinitely for retiree O If retiree dies, covered surviving spouse and/or eligible dependent children may continue coverage at full cost O If you drop coverage, you cannot re-enroll into the plan Slide 3 Medical Insurance and Medicare Do I need to sign up for Medicare Part A and Part B and if so, when? STATUSPART APART B Active employee and/or covered dependent turning age 65 Medicare and APS recommend that you sign up for Part A when eligible** No Retiree and/or covered dependent under age 65 No Retiree and/or covered dependent turning age 65 YesYes, must be enrolled by 1st of the month you turn age 65** Retiree and/or covered dependent over Age 65 Yes **Please contact Medicare directly for detailed information Medicare eligible members, if and when retired, will be covered under either United Healthcare Senior Supplement Plan or Kaiser Medicare Plus. To apply for Medicare you must contact the Social Security Administration at least 3 months prior to turning age 65 or at your retirement, if age 65 or over. Medicare becomes your primary insurance and United Healthcare (UHC) becomes your secondary insurance, if you are transitioning from a Cigna Health Plan. Slide 4 School Board Contribution Coverage Levels Service*Individual Individual + Spouse or Individual + Child(ren) FamilyMedicare Program 20+ yearsCigna: 72% Kaiser: 77% Cigna: 61% Kaiser: 63.5% Cigna: 58% Kaiser: 59.3% UHC: 72% Kaiser: 77% 15-19 years50%45%40%50% 10-14 years30%25%20%30% 5-9 years**10% *Service is defined as full time years worked with APS. Service for part-time employees (those who worked less than 30 hours per week) will be prorated. ** Employees hired after January 1, 2009 who retire with less than ten years of service shall not be eligible for coverage under the APS health and dental insurance plans. Effective January 1, 2009, any dependents must be on the health and/or dental plans five years prior to retirement to continue the coverage into retirement. Slide 5 Delta Dental Insurance O Retiree pays 100% of cost O If timely payments are received: O Coverage continues indefinitely for retiree O If retiree dies, covered surviving spouse and/or eligible dependent children may continue coverage at full cost O If you drop coverage, you cannot re- enroll into the plan Slide 6 Paying for Medical & Dental O If you are enrolled in Kaiser, CIGNA or Delta Dental, your premiums may be deducted from your VRS or ACERS pension check. If you are enrolled in United Healthcare, you can pay by check directly to UHC or have your premiums paid automatically from your personal bank account. O Under certain circumstances, retirees will have to pay by personal check directly to APS. Timely payment is required to continue your coverage. Slide 7 Health Insurance Credit O Provides you with a reimbursement to assist with the cost of your health insurance. O Eligibility - Retiring with 15 or more years of creditable VRS service. O Qualified plans: O Individual medical plans; coverage as a dependent on a spouse's plan; O Employer-sponsored medical plans; O Medicare Part B; and O Dental, vision and prescription drug plans including Medicare Part D. O Other types of plans for specific conditions or coverage are not eligible. Slide 8 Applying for the Health Insurance Credit O If VRS is deducting your health insurance premium from your benefit, you do not need to apply for the health insurance credit. O If VRS is not deducting your health insurance premium or you have eligible health insurance coverage in addition to your employer-sponsored coverage, complete and send the Request for Health Insurance Credit VRS-45 Form to VRS. O The credit will be added to your monthly retirement benefit. Slide 9 Flexible Spending Accounts O Enrollment ends as of the effective date of your retirement. O Claims incurred from January 1 st to your retirement date are eligible for reimbursement O Claims must be submitted no later than 90 days from your retirement date* Slide 10 Other Benefits O 403B Plan O Upon retirement, you can choose to take a distribution from your plan or rollover your balance to an IRA or other qualified plan. You must contact your provider and our third party administrator, TSA Consulting, who will help you understand any fee implications, if applicable, that might be incurred. You should also contact TIAA-CREF, who handles your School Board match account, to take a distribution or opt for a rollover. O Long Term Care (Aetna or Genworth) O Converts to an individual policy and you pay premiums directly to Aetna or Genworth Slide 11 Leave Payout O 100% of value of all accumulated annual leave will be paid O 50% of value of all accumulated sick and personal leave will be paid (25% if hired after 7/1/2011) O Payoffs that exceed $2,500 will be made in pre- tax dollars O Tax-deferred account will be established with BENCOR, Inc. Slide 12 Retirement Appointments O Individual appointment - contact Michelle Brauch x8627 O Beginning January for July 1 retirement O July 1 retirement paperwork must be submitted to Michelle as soon as possible. O Retirement letter must be submitted to your supervisor and a copy to Michelle Brauch with the completed retirement application O VRS retirement application process 60 days. Slide 13 Questions