Tax-Deferred
Annuity / Supplemental Retirement Annuity
Programs
| Effective Date: |
11.18.1970 |
Revision Date: |
12.6.1989 |
| Chapter Name: |
Employment
/ Affirmative Action |
Policy Number: |
3.4.2.3 |
| Policy Name: |
Tax-Deferred
Annuity / Supplemental Retirement Annuity
Programs |
| A
PDF version of this policy is available
via this link. |
UNIVERSITY POLICY STATEMENT:
Eastern Michigan University shall provide an optional
Tax Deferred Annuity (TDA) program whereby employees
may make tax deferred contributions to a supplemental
retirement annuity plan.
All employees of EMU are eligible to participate
in the University's TDA program, subject to the
following exclusions:
- Students for whom EMU is not required
to withhold FICA and FUTA;
- Part-time employees regularly scheduled
to work less than 20 hours per week;
- Non-resident aliens who receive
no U.S.-source earned income from
EMU;
- Temporary workers employed for purposes
of relieving unemployment who have
not become a part of the employer's
regular work force; and,
- Employees whose contributions to
the plan under its maximum deferral
percentage would be $200.00 or less.
UNIVERSITY PRACTICE :
University practices for implementing this policy
include:
- The optional TDA program is maintained
in accordance with applicable Internal
Revenue Code regulations.
- Participating employees have the
option to elect to have their gross
salary reduced by a fixed percentage
or amount, not to exceed the amount
permitted by the individual maximum
exclusion allowance in accordance
with Internal Revenue Code sections.
- So as to provide a choice to participants,
at least two carriers will be made
available under the program.
- Employees who wish to participate
may enroll at any time during the
year through the Human Resources Benefits
Office. Agreements signed by the 15th
of the month will take effect the
first pay of the following month.
- Participating employees must contribute
a minimum of $200.00 per year.
- The law permits one (1) increase
or one (1) decrease in contribution
during the calendar year. The participating
employee is responsible for initiating
any Plan changes by serving the Benefits
Office thirty (30) days advance written
notice of his/her desire to increase,
decrease, or stop deductions.
RESPONSIBILITY FOR IMPLEMENTATION :
The Executive Director of Human Resources is responsible
for the overall implementation, administration and
interpretation of TDA policies.
The Benefits Office is charged with daily administration
of the program and coordination with the carriers
and Payroll Office.
SCOPE OF POLICY COVERAGE:
This policy has university-wide application for
all employees.
| Authority
for Creation or Revision: |
|
Minutes of the Board of Regents, November
18, 1970; para. .947M.
Minutes
of the Board of Regents,
October 22, 1975; para. .1576M.
Minutes of
the Board of Regents, January
19, 1983; para. .2665M.
Minutes of the Board
of Regents, December 6, 1989; para. .4119M.
|
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