INTRODUCTION
 

This summary of University faculty employee benefits provides a brief description of each benefit. Benefits and an employee's right to them are subject to certain laws and University regulations, individual plan documents and the appropriate duly recorded notice of employee benefits limitations election form. Additional information is provided in the individual plan booklets and brochures. The University reserves the right to either change, modify, or terminate these benefits at any time.
 

Additional benefits information may be obtained from the Offices of Personnel Relations at the following addresses:
 
 

Under premium conversion, USA Health Plan premiums are deducted before any federal, state, or social security taxes are withheld. The result is a reduction of taxable income equal to the amount paid for health insurance during the calendar year.

SouthFlex is a flexible spending account(s) plan. It is designed to increase disposable income by reducing the amount of taxes paid by allowing the use of pre-tax dollars to pay for qualified dependent child care expenses and qualified health care expenses, including dental. Either the Health Care Account or the Dependent Care Account, or both, is credited with a deposit from each paycheck. As eligible expenses are incurred, claims may then be filed for reimbursement using before-tax contributions.

Cost:
 

The University pays all administrative expenses.
 
 

Sun Life Assurance Co. Of Canada -- Long Term Disability Insurance
 

After a 90-day period of disability, 66-2/3% of a faculty member's base monthly salary will be paid for permanent or temporary total disability up to a maximum benefit of $8,500 a month.

Cost:

The total cost of long term disability coverage is paid in full by the University.

UNUM Life Insurance Company of America
(Group Term Life Insurance Program)
 

The University provides a basic Life and AD&D plan as a function of base salary as follows:
 
 

The University also provides a life insurance benefit for your spouse and eligible dependent children in the amount of $5,000 each.
 

Cost:
 

Total cost of basic coverage is paid in full by the University.
 

Optional Life Insurance Coverage
 

Optional coverage equal to 1, 2, or 3 times the amount of basic term life coverage is available to the faculty member at group rates.  The Optional Life maximum is $300,000. To apply for optional Life Insurance, notify your Office of Personnel Relations and complete an evidence of insurability application.
 

The death benefit payable varies with age, service, credit, and circumstances of death. Teachers' Retirement System provides $15,000 of free term life insurance coverage to full-time active members. Part-time member's insurance is prorated based on FTE.

Teachers' Retirement System
 

Faculty members become vested in the Teachers' Retirement System of Alabama with 10 years of service credit and may begin drawing benefits at age 60. Faculty members with 25 years of service may receive benefits at any age. Participation is required under state law.
 

Cost:
 

Each faculty member contributes 5% of annual salary. The University contributes an amount as determined by independent actuaries. Faculty member contributions are sheltered from federal income tax until retirement benefits are received or the separated member withdraws contributions from the system.
 

TIAA-CREF Matching Plan
 

For eligible faculty members, the University matches employee contributions to Teachers Insurance and Annuity Association -- College Retirement Equities Fund (TIAA-CREF) at a maximum rate of three percent (3%) of base salary.
 

To participate in the matching plan, faculty members must satisfy these eligibility requirements:
 

Rank Service Requirement*
 

Professor: Upon Employment

Associate Professor: Upon employment

Assistant Professor: After three (3) years of continuous employment

Instructor: After six (6) years of continuous employment
 

*The service requirement is waived for faculty who have existing Regular Retirement Annuity accounts with TIAA--CREF. Faculty members who are highly compensated employees as defined by IRS regulations are not eligible for matching funds.

Faculty members may reduce their state and federal taxable income by contributing up to 20% of base pay or the current IRS limit a year, whichever is less, to an approved 403(b) tax-sheltered annuity or mutual fund.  Contributions to TIAA-CREF under the matching plan are included in this calculation.
 
 

Social Security provides protection in the form of retirement benefits, disability income, survivor income, and medicare insurance. Participation is required.
 

Cost:
 

For 2001, both the employee and employer contribute 6.2% of the employee's annual salary up to the maximum taxable earnings base of $80,400. Contributions for Medicare are 1.45% of employee's annual salary. The University contributes a matching amount.
 
 

Annual Leave

Twelve-month faculty in the Colleges of Allied Health, Medicine, Nursing, and the University Libraries accrue vacation at the rate of 1.67 days per month of service for a maximum of 20 days annually.  Prior authorization for annual leave must be obtained through the normal channels, i.e., departmental chairs and deans. Departmental chairs and deans should be consulted as necessary for actual reporting requests.  Vacation may not be taken during times that conflict with teaching or clinical responsibilities.

Vacation may accumulate to a maximum of 2 times the annual accrual rate.  Once 2 times the annual rate has been accrued, the employee may continue to accrue non-reimbursable annual leave which will be forfeited if not taken by September 30 of the fiscal year in which accrued.
 

Family and Medical Leave

The University recognizes that faculty members may find it necessary to take leave from their job for a limited period of time to address certain family responsibilities or their own serious health conditions and has formally established its family and medical leave policy for the benefit of eligible faculty members.  Please refer to section 5.4.2 of the Faculty Handbook for actual policy provisions.
 

Sick Leave
 

Sick leave is provided to protect a faculty member against loss of income when confined at home or in the hospital due to illness or injury or when a faculty member must have health related professional services which cannot be obtained outside of regular work hours.  Departmental chairs and deans should be consulted as necessary for actual reporting requests.
 

Sick leave is accrued at the rate of 1 day per month of service -- 9 days per year for 9 month appointments, 12 days per year for 12 month appointments -- with unlimited accumulation.  Unused, accrued sick leave may be used for Teachers' Retirement System (TRS) service credit upon retirement.
 

Holidays
 

Following are the 8 scheduled holidays observed each year: New Year's Day, Martin Luther King Day, Mardi Gras Day, Memorial Day, Fourth of July, Labor Day, Thanksgiving Day, and Christmas Day.
 

Additional special holidays may be designated by the President of the University.
 

Tuition Reimbursement
 

Faculty Member: Upon completion of 6 months of employment prior to registration, regular full-time faculty members may apply for tuition reimbursement for successful completion of up to 5 credit hours per semester plus refund of part-time registration fee, student center fee, health fee, and activity fee. To receive a refund for a course(s) taken, the faculty member must receive a grade of at least a C.
 

Spouse / Dependents: Tuition assistance is also available to the spouses and unmarried dependent children (under age 25) of employees who are eligible for the education benefit. Reimbursement is 50% of tuition only (no fees) with no hour maximum. Spouse / dependents must receive a minimum grade of D for undergraduate course(s) and C for graduate course(s).
 

The faculty member pays the total cost at registration and is reimbursed upon successful course completion and request for reimbursement. In accordance with current federal law, all reimbursements for employees and eligible dependents classified as graduate students are subject to federal income tax.

Counseling Services
 

University: Counseling services are available free of charge to faculty and staff through the Counseling and Testing Service on Campus.
 
 

• Direct Deposit of paychecks

• Use of University facilities

• USA Bookstore discount

• Twenty-five percent (25%) discount on USAMC, USA Children's & Women's Hospital, and USA Knollwood Park Hospital charges after group insurance has paid

• USA Federal Credit Union

• U.S. Savings Bonds

• Free admission to athletic events

• Golf course discount

• Vacation discount cards

Last Modified: June 1, 2000