06-2 Obsolete

Retirement and Fringe Benefit Rates Update
May 25, 2006

This updates Important Notice 06-1 dated March 6, 2006.  Student Academic Appointment and Fellowship health insurance rates have been established (Group H).

This Important Notice announces retirement and fringe benefit rates effective July 1, 2006.  Please begin using them immediately on all proposals submitted.  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 July 1, 2006

Group

Retirement

FICA

Other Fringe Benefits

Fee
Remissions

Total

Description

 

A

 

18.00%

 

7.06%

 

14.00%

 

 

39.06%

Academic (object codes 2000, 2003, 2005, 2280) and  professional appointees (object codes 2400, 2403, 2405, 2480) on cost share and non-contract and non-grant accounts.

 

B

 

11.39%

 

7.06%

 

14.00%

 

 

32.45%

Academic (object codes 2008, 2288) and professional appointees (object codes 2408, 2488) on contract and grant awards.

C

 

7.06%

14.00%

 

21.06%

Summer salary for 9 month appointees/10 month pay  (object code 2010)

D

6.15%

7.06%

14.00%

 

27.21%

Biweekly appointees (object code 2500, 2502, 2504, 2550)

E

6.15%

7.06%

   

13.21%

Hourly non-student appointees in positions requiring more than 1000 annual hours of work (object codes 3050, 3100, 3200)

F

 

7.06%

   

7.06%

Hourly non-student appointees in positions with less than 1000 annual hours of work (object codes 2300, 3000, 3150, 3250)

G

 

7.06%

   

7.06%

Supplemental payments for those doing internal consulting (object code 4580)

 

H

   

$1,365.00
(1)


(2)

 

Qualified graduate student appointees (those appointed at 37.5% or more for at least one full semester) or qualified fellowship recipients (those with a stipend of $2987 or more per semester).

  1. Health Insurance for Student Academic Appointees and Fellowship Recipients is a flat fee of $1365 per year ($519 for the first semester and $846 for the second semester continuing through the summer).  Health insurance should be placed in the employee benefit category of the budget and included in the base for calculating indirect cost.  The health insurance charge must be pro-rated to the grant or contract account based on the allocation of salary.  Each semester can be pro-rated on a monthly basis, if needed (e.g. Fall semester @ $104/month, Spring semester @ $169/month).  The 2006-07 required stipend for a fellowship to be enrolled in the student health plan is $2987 or more per semester.
     
  2. Fee remissions should be budgeted in accordance with Important Notice 92-4.

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