Retirement…

1. MIAMI DADE COLLEGE Retirement… The beginning of your new life!

2. TOPICS • Continuation of MDC Benefits • Medicare Benefits • FRS - Health Insurance Subsidy (HIS) • MDC Subsidy (IRHBS) • Leave Settlement: • Bank Point, Sick, &/or Vacation • Distribution Options • FRS DROP End Confirmation • Reemployment after Retirement

3. Continuation of MDC Benefits • Health – AETNA Healthcare • HMO - Network only • POS - In & Out of Network • PPO - Out of Florida Service Area • Dental - CIGNA • DHMO - In-network services only • PPO - In and Out of Network services • Term Life – Lincoln Financial Group • Basic Life - One time annual Base Salary (rounded to the next lower hundred - Rate based on age) • Optional Life (if enrolled prior to retirement) – One time annual Base Salary (rounded to the next lower hundred - Rate based on age)

4. Family Protector – Lincoln Financial Group • Legal Services - ARAG Insurance • Tuition Waiver - MDC • Group Benefits Election Form • No enrollment in group health plans allowed • once benefits are waived • FRS Insurance Payroll Authorization Form Continuation of MDC Benefits

5. Eligibility – Age 65 • Medicare Part A – Hospitalization • Hospital only – usually at no cost • 40 Quarters of work required • Medicare Part B – Medical coverage • It’s your choice to enroll • Enrollment: within 6 months of age 65 • Premium: For 2008 most people will pay • the standard $96.40 per month • deducted from Social Security check. • New rates are effective every January • 1st. Medicare Basics

6. Medicare Part D • AETNA Plans are approved Medicare Part D plans.

7. For additional information, contact the Social Security Administration at: 1-800-772-1213 or look on the Web at www.ssa.gov Medicare Basics

8. Florida Retirement System Health Insurance Subsidy (HI$) • Lifetime Benefit • Extra payment added to monthly retirement (Assistance to offset health insurance cost) • $5.00 per each year of FRS service up to maximum of $150 (does not include the DROP years) • Qualifications – must have health insurance, Medicare or Tricare coverage. • Retiree must apply for benefit within 6 months of retirement. FRS mails the HIS-1 form to retiree’s home address.

9. MDC Individual Retiree Health Benefits Subsidy (IRHB$) • Coverage: • Applicable only for Employee Single coverage to offset cost of health insurance coverage only. • Seven years Maximum or upon Medicare entitlement (age 65) • Eligibility: • 30 years of FRS service at any age or • 10 years of service with the College and age 62 • Formula: • 50% for first ten years of employment • Plus an additional 2.5 % for each year above the ten years up to a maximum of premium

10. Sick Leave SettlementFaculty and Support Staff • Formula: • 50 % - the first 10 years of MDC service • 1.5% - each year above 10 years • Average Final Comp. [AFC] highest 3 years of service • Payment: • Up to maximum of AFC • Balance of all SICK days (SIFC, SIFN, SIFO) • 50% of AFC Paid within 30 days of final payroll • Remaining balance paid one year later or • Option to participate in Sick Leave payout while in DROP through Bencor program

11. Leave SettlementFaculty Bank Points • Bank Point Balance will be paid at the rate such points were earned. • Paid within 30-days of final pay. Paid in accordance with the College’s terminal leave payment program (Bencor) • Option to participate in Bank Point Payout while in DROP through Bencor program • Payroll Services - x72751

12. Sick Leave SettlementProfessional Exempt Contractual • Formula: • 50 % - the first 10 years of MDC service • 1.5% - each year above 10 years • Average Final Comp. (AFC) highest 3 years of service • Payment: • Up to maximum of AFC • Balance of SIFN and SIFO • 50% of AFC Paid within 30 days of final payroll • Remaining balance paid one year later or • Option to participate in Sick Leave payout while in DROP through Bencor program • Personal Leave • 4-days (Included in Sick leave balance, they are not additional days.)

13. Flex Days 2-days (Use it or Lose it) Vacation Days Up to 62 days (max.) Includes days paid upon DROP entry Paid at Current Daily rate of pay Accrued LeaveProfessional Exempt Contractual & Support Staff

14. Professional Staff Accrued Leave (PSAL) MDC will pay actual days accrued during the fiscal year of retirement up to 75 hours (10 days) All other PSAL days must be used as leave or they are not paid. Paid at daily rate of pay. Payment Within 30 days of final pay Paid through Bencor plan. Accrued Leave - (con’t.)

15. BENCOR – Terminal Pay Plan • You permanently save up to 7.65% in Social Security taxes • Federal Income Taxes that would have been paid at your highest tax rate are deferred until funds are withdrawn from the plan • For any employee retiring or leaving the College who receive a payout (sick, vacation, bank point etc.) greater than $1,000

16. BENCOR (con’t) ELIGIBLE DROP PARTICIPANTS : • Sick and/or Bank Points one time election upon entering DROP • Leave pay deposit after 1 year in DROP as follows: • Year 1: 20% balance of sick/bank point • Year 2: 25% balance of sick/bank point • Year 3: 33% balance of sick/bank point • Year 4: 50% balance of sick/bank point • Year 5: 100% balance of sick/bank point • Amount must be worth over $1,000

17. Tuition Waiver • Matriculation, student services fees and application fee. • Tuition waiver forms available at the financial aid office.

18. Tuition Waiver – (con’t.) • The maximum number of credits that retirees and their dependents are eligible for: • Six Credits for Fall • Six Credits for Spring • Six Credits for Summer (A & B Combined)

19. FRS DROP Termination • DP - Term Form • No FRS employer services for 30-days • DP – PAYT (Selected Payout Method) • Option 1: Lump Sum Payment (less 20% Tax) • Option 2: Direct Rollover (Pre-Tax rollover of entire balance) • Option 3: Partial Lump Sum and rollover the remaining amount. • Financial Institution receiving rollover completes the bottom portion of DP-PAYT form. • Forms must be Notarized and returned to FRS.

20. Reemployment After Retirement/DROP Exit • RESTRICTIONS APPLY ONLY TO FRS EMPLOYERS • 1st Calendar month of retirement • ANY WORK CANCELS retirement. • All DROP/retirement benefits lost • No restrictions on private employment • One month begins at effective date of retirement

21. Limited Exceptions • 2nd through 12th month of retirement • Adjunct Instructors: limited to work 780 hrs. • 48 points = 4 classes for first 12 months • Any other FRS work (Part or Full Time) will cause suspension of retirement benefits (FR-23) • After 12 months of retirement: • No restrictions • Reactivate Retirement Benefits (FR23a)

22. After Retirement/ DROP Exit • BENEFITS ARE PAID MONTHLY • At the end of each month • ELECTRONIC FUND TRANSFER [EFT] Direct Deposit (mandatory): 30 – 45 days to set up in the FRS retired payroll • 1st FRS check mailed to your home address • Tax Withholdings – subject to Federal income tax • Cost of living adjustment (COLA) – 3% each Fiscal Year (July 1st.)

23. FRS - Required Documents • HIS-1 form Health Insurance Subsidy (within 6 months) • Tax withholding election forms

24. To obtain information about your retirement benefits contact: • Division of Retirement Customer Service: 1 (888) 738-2252 Website: http://www.dms.myflorida.com/retirement and click on “Online Services”.

25. For more information regarding Benefits: Contact the Compensation & Benefits Main Number at 305 237-2010 Or visit our website at: http://www.mdc.edu/hr/Benefits/default.asp You may also visit our new ASK HR site located at: http://support.mdc/ics/support/default.asp?deptlD=5314