NRCS Employee Benefits & You

1. Federal Employees Health Benefits (FEHB) Federal Employees Group Life Insurance (FEGLI) Long Term Care Insurance (LTCI) Flexible Spending Accounts (FSAFeds) Thrift Savings Plan (TSP) Leave Work Schedules Holidays Employee Assistance Program (EAP) NRCS Employee Benefits & You

2. Federal Employees Health Benefits (FEHB) • Annual Open Seasons (Mid-November – Mid-December) • Open Season changes become effective in the 1st pay period of the next year • No Pre-existing Conditions clause • May be purchased with pre-tax dollars (premium conversion) • Choice of plans & options • Fee-for-Service plans • Health Maintenance Organizations (HMO)

3. Federal Employees Health Benefits (FEHB) • Fee-for-Service plans: Are nationwide plans available to all employees. Utilizes preferred providers to keep costs down. Some plans allow you to select providers outside of the preferred provider list at a slightly higher payment • Health Maintenance Organizations (HMO): Are plans that are limited to a specific geographic area and members are required to use plan doctors • Certain changes allowed outside of open season, i.e.,marriage, childbirth, change in job status from part-time to full time, etc. • Government pays 72% of the average premium for full time employee’s premium (prorated for part time based on the number of hours an employee works)

4. Federal Employees Health Benefits (FEHB) • New employees have 60 days from their entrance on duty to make an election to participate • Everyone else is required to wait until an open season or a life event that permits changes in enrollment

5. Federal Employees Group Life Insurance (FEGLI) • Term insurance • New employees automatically enrolled in Basic if not waived (no proof of insurability required) • Basic Insurance = Your salary rounded up to the next thousand + 2 thousand • Example: Salary $34,149 rounded up to $35,000 + 2,000 = $37,000

6. Federal Employees Group Life Insurance (FEGLI) • Option A = $10,000 additional • Option B = Salary X 1,2,3,4 or 5 multiples • Option C, family = $5,000 on spouse and $2,500 on dependent children X 1,2,3,4, or 5 multiples • Double indemnity up to age 35 on Basic • After age 35, starts reducing 1/10 of a percent each year until age 45 at which time the insurance amount is the face value

7. Federal Employees Group Life Insurance (FEGLI) • New employees have up to 31 days to elect more options • Can waive or stop at any time • Employees who have waived insurance, may request coverage through filing the proper paperwork which includes a current physical from your physician • No regular open seasons

8. Long Term Care Insurance (LTCI) • Provides long term care insurance for Federal employees and their spouses, parents, parents-in-law, stepparents, and adult children • NOT just for older people • 40% of persons receiving long term care are working adults between the ages of 18 and 64

9. Long Term Care Insurance (LTCI) • Cost is based on your age; so the younger you are, the cheaper the premiums • Long Term Care Insurance can help pay for costs of care when you need help with activities you perform every day, or you have a severe cognitive impairment, such as Alzheimer's disease • www.opm.gov/insure/ltc/faq/index.asp

10. Flexible Spending Accounts (FSAFeds) • FSAFEDS offers two different flexible spending accounts (FSAs): • a health care flexible spending account; • and a dependent care flexible spending account • Health Care Flexible spending accounts allow you to set aside pre-tax dollars to pay for out-of-pocket healthcare, dental, optometry, prescription drugs, and some over-the-counter drugs (maximum for 2005 $4,000; minimum $250)

11. Flexible Spending Accounts (FSAFeds) • Dependent Care Flexible spending accounts allow you to use pre-tax dollars to pay for child or elder dependent care (maximum for 2005 $5,000 minimum $250) • By paying with pre-tax dollars, you reduce your tax liability and have more disposable income • What requirements must be met for an OTC drug to be eligible for reimbursement through my HCFSA? • T he item must be a medicine or drug used “primarily for the prevention or alleviation of a physical or mental defect or illness” • The item must not be used for general health or cosmetic purposes (vitamins, anti-aging creams, etc.) • You, your spouse or dependent must use the item • The expense must be for medical care during the current Plan Year

12. Flexible Spending Accounts (FSAFeds) • If there is money remaining in your FSA account at the end of the year, it disappears; no carry over • New employees have 60 days from their entrance on duty to make an election to participate • Everyone else is required to wait until an open season

13. Thrift Savings Plan (TSP) • TSP is a retirement savings and investment plan for Federal employees • The purpose of the TSP is to provide retirement income • TSP is a defined contribution plan under IRS rules • The retirement income that you receive from your TSP account will depend on how much you (and your agency, if you are a FERS employee) have contributed to your account

14. Thrift Savings Plan (TSP) • In 2005, FERS employees could contribute up to 15% into a TSP account up to $14,000* • In 2005, CSRS employees could contribute up to 10% into a TSP account up to $14,000* *$14,000 is the IRS elective deferral limit for 2005– will increase to $15,000 in 2006 • For employees over the age of 50 who are contributing at the maximum amount, catch-up contributions may be made over and above the percentages shown

15. Thrift Savings Plan (TSP) • In 2005, the catch-up contribution amount is $4,000 over and above the maximum rates shown previously • In 2006 the make-up contribution amount will be $5,000 • The combination of regular and catch-up TSP contributions cannot exceed the total IRS limit, i.e., in 2005, $14,000 + 4,000 = $18,000 is the IRS limit • The April-June 2005 will be the last open season; after that the limits will be removed– only limited by the applicable IRS limits

16. Thrift Savings Plan (TSP) • There are five (5) investment funds: • G - Government Securities Investment Fund Treasury Securities fully guaranteed by the U.S. Government • F - Fixed Income Index Investment Fund Fixed-income securities represent obligations of borrowers to repay amounts borrowed • C - Common Stock Index Investment Fund Large company stock fund • S - Small Capitalization Stock Index Investment Fund Medium & small company stock fund • I - International Stock Index Investment Fund International stock fund www.tsp.gov

17. Designation of Beneficiaries • Unpaid compensation (final check + lump sum annual leave payment) • Retirement (CSRS/FERS) • Life Insurance • TSP • Order of precedence: spouse, surviving children, surviving parents, surviving siblings

18. Annual Leave • Annual Leave: • Group 1 - 4 hours per pay period 1 – 3 years • Group 2 - 6 hours per pay period* 3 -15 years • Group 3 - 8 hours per pay period 15 + years *Employees in this category earn 10 hours in final pay period of the year • Part-time employees earn at a pro-rated amount • Group 1 – 1 hour for each 20 hours in a pay status • Group 2 – 1 hour for each 13 hours in a pay status • Group 3 – 1 hours for each 10 in a pay status

19. Annual Leave • Annual leave in excess of 2 days, requires SF 71, Request for Leave, be completed and approved by supervisor • 240-hour carry over limitation • Use or lose leave must be scheduled and approved at least 3 pay periods before the end of the leave year for the possibility of carrying it over • Donated Leave Program

20. Sick Leave • Full time employees earn 4 hours per pay period (pro-rated for part time employees - 1 hour for each 20 in a pay status) • Sick leave may be used for illnesses, medical, optical, and dental appointments of the employee or a dependent • Family Friendly Leave Act (FFLA) allows employees to use up to 13 days of sick leave for the care of dependents, funeral arrangements, etc.

21. Sick Leave • The first 5 days of FFLA can be used no matter what the employee’s sick leave balance • The remaining 8 days may only be used if the employee maintains at least an 80 hour balance of sick leave in their account • Expanded FFLA in 1999 to allow employees up to 12 weeks of paid sick leave to care for a family member with a serious health condition, i.e., stroke, heart attack, cancer, etc. NOT in addition to the 13 days of sick leave mentioned above. • Family Medical Leave Act (FMLA) allows employees up to 12 weeks of unpaid leave to care for a family member with a serious health condition, i.e., stroke, heart attack, cancer, etc.

22. Sick Leave • Sick leave in excess of 2 days requires that the employee submit a Standard Form 71, Request for Leave, to their supervisor (even if it is to care for a family member) • No carry over limitation • Abuse of sick leave may require an employee to provide a doctor’s statement for any absence if they say they are sick • Sick leave can add months and years to the retirement of an employee in the CSRS system; no credit is given for employees in the FERS system

23. Work Schedules • Traditional basic 40-hour work requirement: • 7:30 a.m. – 4:00 p.m. with 30-minute lunch • Alternative Work Schedules: • Maxiflex: • Consists of an 8-hour day • Flex on starting and ending time ½ hour before or after scheduled time, i.e., scheduled time is 7:30 – 4:00 daily; employee can begin work anytime from 7:00 – 8:00 and adjust the end of their day • May earn credit leave– daily maximum of 2 hours– no more than 24 hours can be carried at any given time • Part time employees may also participate in maxiflex; credit leave may be earned in a pro-rated amount

24. Work Schedules • Compressed tour 5/4/9: • Pay period consists of eight 9-hour days and one 8-hour day with one day off per pay period • Not eligible to earn credit leave • Work schedule is determined by the supervisor based on the needs of the office

25. Holidays • New Year's Day (January 1). • Birthday of Martin Luther King, Jr. (Third Monday in January). • Washington's Birthday (Third Monday in February). • Memorial Day (Last Monday in May). • Independence Day (July 4). • Labor Day (First Monday in September). • Columbus Day (Second Monday in October). • Veterans Day (November 11). • Thanksgiving Day (Fourth Thursday in November). • Christmas Day (December 25).

26. Employee Assistance Program (EAP) • Counseling resource for you or a family member: • Stress or burnout • Financial concerns • Marriage & family problems • Alcohol or chemical dependency • Work-related problems • Parent-child difficulties • Emotional problems

27. Employee Assistance Program (EAP) • Allowed up to 6 to 8 visits on government time; if additional counseling is needed, employee may use sick leave or annual leave or schedule appointments on off-duty hours • Confidentiality is assured • Supervisors may suggest the use of EAP • 1-888-243-5744 (Voice) 1-800-627-3529 (TDD)