Q Is the 457 tax-deferred retirement plan one and the same as the PERF
Retirement Plan, or is the 457 something totally different?Thank you
A Good question. I was a bit confused on this subject initially as well.
The two plans are totally different.
The 457 plan is simply a convenient way (payroll deduction) for employees to save money for retirement - and reduce their taxes. Money is deducted out of our checks BEFORE taxes and deposited in an account for us - where we direct how it will be invested. The investment gains are also deferred into the future. It is assumed that when we withdraw this money we will be retired - and be taxed at a lower rate than when we were working. The 457 Plan is strictly optional and only employee money is involved - there is no Library contribution.
We've described aspects of the PERF Retirement Plan in this blog before. There are two parts of PERF - the Annuity Savings Account and the Defined Benefit Plan. Both are fully paid for by the Library. For details, contact HR, check the PERF website (www.PERF.IN.GOV), or call PERF toll free at 1-888-526-1687.
Peter
Allen County Public Library!
"Great Hall"
Friday, August 24, 2007
Friday, August 17, 2007
Peter, are you home?!
Q Are all questions asked on this blog answered? Wondering as I posted a
question regarding retirement benefits over a week ago and don't see
anything about it. Thank you.
A Yes, so far we've answered all HR Blog questions submitted and that is our intent. However, there could be some submitted someday that are not appropriate to post.
Regarding your PERF question, I apologize for not getting that one answered promptly. You submitted the question on August 9 and I just posted the response a few ago - August 17 (see below). Other than this slow response, I think we've been pretty speedy so far though!
Peter
question regarding retirement benefits over a week ago and don't see
anything about it. Thank you.
A Yes, so far we've answered all HR Blog questions submitted and that is our intent. However, there could be some submitted someday that are not appropriate to post.
Regarding your PERF question, I apologize for not getting that one answered promptly. You submitted the question on August 9 and I just posted the response a few ago - August 17 (see below). Other than this slow response, I think we've been pretty speedy so far though!
Peter
Rules for PERF eligibility
Q. Regarding our PERF accounts. Is everyone entitled to both the lump sum in their account AND their calculated monthly benefit upon retirement? Or is the monthly benefit only for employees working at least 40 hours?
A. All PERF Plan participants are entitled to have both an Annuity Savings Account AND the Defined Benefit Pension Plan. ACPL employees must be in regular (not temporary) positions of 30 hours/week or more to be eligible for PERF.
Peter
Publish Reject
A. All PERF Plan participants are entitled to have both an Annuity Savings Account AND the Defined Benefit Pension Plan. ACPL employees must be in regular (not temporary) positions of 30 hours/week or more to be eligible for PERF.
Peter
Publish Reject
Tuesday, August 14, 2007
Wondering about ACPL life insurance...
Q. I am curious as to what exactly happens when I am deceased. How does life insurance pay out? Does my beneficiary receive a check? How long does it take to receive it? Will the beneficiary receive it in time to pay for funeral and burial expenses?Also, if my beneficiary is still a minor, is the money held somewhere? Or is he given a check?
A. I ran your questions by the claims representatives at both American United Life (AUL)insurance company (ACPL provided life insurance) and UNUM (voluntary life insurance).
How does the life insurance pay out? Does my beneficiary receive a check?
AUL will issue a lump sum check within five business days after receiving a death certificate, completed claim form, and a copy of the enrollment form listing beneficiaries. With UNUM, the Library completes the claim form and sends it along with the death certificate. The claims are processed in 5-10 business days. If the amount to each beneficiary is under $10,000 they will issue a check. If it is more, they will transmit the money to a bank account.
Will the beneficiary receive the money in time to pay for funeral and burial expenses?
Since most funeral homes give 30 days to pay the bills, your beneficiary should receive the money in time if the paperwork is completed in a timely manner. Both AUL and UNUM will take assignment, which means they will pay the funeral home directly and give your beneficiary the balance if that is your beneficiary’s choice.
If my beneficiary is a minor, is the money held somewhere, or is he given a check?
AUL says it depends on how large of sum is involved. If it is under $5,000, they will make a uniform transfer to the minor (meaning it goes into a special type of account). If the amount is larger, the court has to process guardianship papers. UNUM says that they issue money to minors in the form of a trust.
Please check with one of us in HR if you'd like additional information.
Judy Dunahue
ACPL Human Resources
A. I ran your questions by the claims representatives at both American United Life (AUL)insurance company (ACPL provided life insurance) and UNUM (voluntary life insurance).
How does the life insurance pay out? Does my beneficiary receive a check?
AUL will issue a lump sum check within five business days after receiving a death certificate, completed claim form, and a copy of the enrollment form listing beneficiaries. With UNUM, the Library completes the claim form and sends it along with the death certificate. The claims are processed in 5-10 business days. If the amount to each beneficiary is under $10,000 they will issue a check. If it is more, they will transmit the money to a bank account.
Will the beneficiary receive the money in time to pay for funeral and burial expenses?
Since most funeral homes give 30 days to pay the bills, your beneficiary should receive the money in time if the paperwork is completed in a timely manner. Both AUL and UNUM will take assignment, which means they will pay the funeral home directly and give your beneficiary the balance if that is your beneficiary’s choice.
If my beneficiary is a minor, is the money held somewhere, or is he given a check?
AUL says it depends on how large of sum is involved. If it is under $5,000, they will make a uniform transfer to the minor (meaning it goes into a special type of account). If the amount is larger, the court has to process guardianship papers. UNUM says that they issue money to minors in the form of a trust.
Please check with one of us in HR if you'd like additional information.
Judy Dunahue
ACPL Human Resources
Wednesday, August 8, 2007
No ties for ACPL men?!
Q. Could the dress code be amended to eliminate the requirement that men
wear ties? This is the obvious trend in society today, including many
other libraries, such as New York Public.
Anonymous
A. Anonymous - Among the tentative HR Department objectives for 2008 is leading an effort to review and possibly revise the current "dress code". In my short time here at ACPL, I've already heard from some of my co-workers that the Wednesday "Jeans Day" is leaving too many of us not looking professional for our patrons. Now we have this suggestion for men losing their ties. Dress code debates are always lively. Most likely we'll be forming a team of folks next year to work this issue. Maybe you'd want to become more than "Anonymous" and be part of the group!?
Peter
wear ties? This is the obvious trend in society today, including many
other libraries, such as New York Public.
Anonymous
A. Anonymous - Among the tentative HR Department objectives for 2008 is leading an effort to review and possibly revise the current "dress code". In my short time here at ACPL, I've already heard from some of my co-workers that the Wednesday "Jeans Day" is leaving too many of us not looking professional for our patrons. Now we have this suggestion for men losing their ties. Dress code debates are always lively. Most likely we'll be forming a team of folks next year to work this issue. Maybe you'd want to become more than "Anonymous" and be part of the group!?
Peter
"Targets" for 2008 Wellness Program?
Q. What are the target levels for blood pressure, BMI,
etc. for this year?
Anonymous
A. The Wellness Comittee is being asked to make recommendations on the 2008 targets within the next month. The targets will then go to the Senior Staff, and I assume the Library's Board, for final approval. I expect communication of the approped targets will take place in late September. Hope you'tre staying healthy! ($$$)
Peter
etc. for this year?
Anonymous
A. The Wellness Comittee is being asked to make recommendations on the 2008 targets within the next month. The targets will then go to the Senior Staff, and I assume the Library's Board, for final approval. I expect communication of the approped targets will take place in late September. Hope you'tre staying healthy! ($$$)
Peter
Can we "bank" sick pay for co-workers to use?
Q. Is it possible to create a "bank" of sick time for those
with many hours built up to contribute towards for those who are in a
desperate situation?
Anonymous
A. Dear Anonymous - This was discussed briefly this morning at the Senior Staff meeting. Our initial feeling is that we'd probably not want to implement a "bank" of this type. There were a few concerns mentioned but the primary one was that this would likley increase the library's cost of having the sick pay program. As is the case with most employer's, sick pay is accrued but not "owned" by employees like vacation time is. Therefore, we use it as we need it but do not get "cashed out" at any point for unused sick time - including when we leave the library. By allowing us all to donate "unused" sick time (that often would not otherwise be "used") we'd likely be seeing a overall higher usage of the benefit. That's not necessarily bad, but we'd need to evaluate spending limited ACPL employee benefit resources in this way instead of in other areas.
However, the Senior Staff did direct me to explore further some ideas concerning vacation pay that may help in this area. More on that in the coming weeks.
Peter
with many hours built up to contribute towards for those who are in a
desperate situation?
Anonymous
A. Dear Anonymous - This was discussed briefly this morning at the Senior Staff meeting. Our initial feeling is that we'd probably not want to implement a "bank" of this type. There were a few concerns mentioned but the primary one was that this would likley increase the library's cost of having the sick pay program. As is the case with most employer's, sick pay is accrued but not "owned" by employees like vacation time is. Therefore, we use it as we need it but do not get "cashed out" at any point for unused sick time - including when we leave the library. By allowing us all to donate "unused" sick time (that often would not otherwise be "used") we'd likely be seeing a overall higher usage of the benefit. That's not necessarily bad, but we'd need to evaluate spending limited ACPL employee benefit resources in this way instead of in other areas.
However, the Senior Staff did direct me to explore further some ideas concerning vacation pay that may help in this area. More on that in the coming weeks.
Peter
Monday, August 6, 2007
How to change the way your PERF funds are being invested
Q. I have questions about redirecting my voluntary PERF contribution (heck, I'm scared silly). Is there any information available to help me?
Scared Silly
A. Scared Silly, here's the scoop. Your question indicates you know that the funds in your Annuity Savings Account (ASA) are directed to investments as chosen by the plan participant (that's you!). You can "redirect" your funds four times per year (Jan 1, April 1, July 1, and October 1). ALSO, YOU MUST NOTIFY PERF AT LEAST 30 DAYS BEFORE A "REDIRECTION DATE" LISTED ABOVE FOR THE CHANGE TO GO INTO EFFECT AS REQUESTED. In other words, if you 'd like to change your investment direction effective October 1, you MUST have your form into PERF by September 1.
We're really glad you asked this question now. That's because PERF participants will be receiving their Quarterly Statement from PERF in the mail any day now reporting ASA investment results for the quarter ending June 30. Participants are advised to review their statements and decide if they want to make any adjustments to the way their funds are being invested. If you do decide to make a change, please know that both your curent account funds and all future contributions to your account will be invested as you now instruct.
There are two ways to redirect your investment funds. First, you can do this on-line by going to www.perf.in.gov, click on LOG IN HERE (yellow box), log-in, and then complete the on-line Investment Direction Form.
(If you have not registered to be able to access your PERF account information on-line, you must do this first. Instructions for doing this are also available at the PERF website listed above.)
The second way to change your investment direction is to go to www.perf.in.gov, then click on the Common Member Forms tab in the column on the left. From there, look at the list of forms under the heading For Members of the Public Employees' Fund. The Investment Direction form is the fourth form listed. Click on that, and print the form. Complete the form, and mail it to PERF.
If you have other questions about this process, call PERF toll free at 1-888-526-1687 or contact Peter Ford in ACPL Human Resources (x1231).
Thanks for the question!
Peter Ford
Scared Silly
A. Scared Silly, here's the scoop. Your question indicates you know that the funds in your Annuity Savings Account (ASA) are directed to investments as chosen by the plan participant (that's you!). You can "redirect" your funds four times per year (Jan 1, April 1, July 1, and October 1). ALSO, YOU MUST NOTIFY PERF AT LEAST 30 DAYS BEFORE A "REDIRECTION DATE" LISTED ABOVE FOR THE CHANGE TO GO INTO EFFECT AS REQUESTED. In other words, if you 'd like to change your investment direction effective October 1, you MUST have your form into PERF by September 1.
We're really glad you asked this question now. That's because PERF participants will be receiving their Quarterly Statement from PERF in the mail any day now reporting ASA investment results for the quarter ending June 30. Participants are advised to review their statements and decide if they want to make any adjustments to the way their funds are being invested. If you do decide to make a change, please know that both your curent account funds and all future contributions to your account will be invested as you now instruct.
There are two ways to redirect your investment funds. First, you can do this on-line by going to www.perf.in.gov, click on LOG IN HERE (yellow box), log-in, and then complete the on-line Investment Direction Form.
(If you have not registered to be able to access your PERF account information on-line, you must do this first. Instructions for doing this are also available at the PERF website listed above.)
The second way to change your investment direction is to go to www.perf.in.gov, then click on the Common Member Forms tab in the column on the left. From there, look at the list of forms under the heading For Members of the Public Employees' Fund. The Investment Direction form is the fourth form listed. Click on that, and print the form. Complete the form, and mail it to PERF.
If you have other questions about this process, call PERF toll free at 1-888-526-1687 or contact Peter Ford in ACPL Human Resources (x1231).
Thanks for the question!
Peter Ford
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