BENEFITS OVER THE SUMMER FOR TEACHERS AND 10-MONTH EMPLOYEES
- The District runs its benefits payment schedule on a July 1 through June 30 calendar year.
- Benefits are purchased for eligible employees on the 1st of each month and last until the last day of the month of which the employee is employed with the District.
- When an employee is hired, that employee’s benefits rates are pro-rated to reflect the exact number of months that the employee works between July 1 through June 30, starting on the 1st of the month.
For example, if a new employee’s benefits begin on September 1 of any given year, that employee will only be charged for 10 months of that school year. The following year the employee will see charges for an entire 12-month school year, including the previous July and August, starting with deductions on the 1st pay of the new school year.
- Since the District runs on a July 1 through June 30 benefits calendar for payments, the District forwards its employees two months of benefits (July and August) in good faith that the employee is going to return to work at the beginning of the next school year.
- The District charges employees a cost sharing rate negotiated by a collective bargaining agreement or a salary/benefits guide. These cost sharing premiums are collected through 20 or 22 paychecks across the school year (depending upon employee group). The District does not collect benefit premiums over the summer.
- If an employee resigns over the summer months (July or August), that employee is responsible for paying July and/or August’s premiums. The employee will be billed for their share of July and August’s premiums as soon as the resignation is accepted and processed by the District.T
- Those that resign in September may be affected by this as well. Employees may not have enough of a paycheck to collect the cost of benefits for July, August and September. For those that have a resignation/retirement date within the first two months of the school year, the district may need to bill based on their last date worked.
- When determining costs, it is important for employees to realize that there are 4 pay periods in the summer, not 2.
- No matter when employment is terminated throughout the year, there will always be a calculation of final benefits that will be recouped from the employee’s final paycheck.
- All terms of benefits will be governed by the appropriate collective bargaining agreement or salary guide, depending on the employee group those documents govern.