With the new year upon us, it’s important to review some timely benefit news and information.
State Health Plan Open Enrollment
- Any benefit election you made during Open Enrollment for the State Health Plan took effect on Jan. 1, 2020. Remember to review your most recent paycheck to ensure that the plan you elected is reflected with the corresponding deductions. Deductions for health care are withheld one month in advance of the coverage effective date (December deductions pay for January coverage).
- All members will receive a new State Health Plan ID card.
NCFlex and University Benefit Changes
- Any benefit elections you made during annual enrollment for NCFlex and the University benefit programs take effect Jan. 1, 2020. Remember to review your paycheck (Jan. 3 for biweekly paid employees and Jan. 31 for monthly paid employees) to ensure that the programs you elected are reflected with the corresponding deductions.
- Please read the information pertaining to the specific plans listed in this update as it may impact your paycheck if you are enrolled in the benefit program referenced. The notation in parentheses next to each benefit program is how the benefit deduction will appear on your paycheck.
Group Term Life Insurance (VOYA)
- If you are enrolled in this NCFlex plan through Voya Financial, you may see a change in your deduction beginning with your January paycheck. Adjustments to your premium are made based on your age and salary as of Jan. 1, 2020.
Critical Illness (Allstate)
- If you are enrolled in this NCFlex plan through Allstate Benefits, you may see a change in your deduction beginning with your January paycheck. Adjustments to your premium are made based on your age and salary as of Jan. 1, 2020.
Health Care Flexible Spending Account
- For the 2020 plan year, health care expenses must be incurred Jan. 1 through Dec. 31, 2020, to be eligible for reimbursement. You have until April 30, 2021, to submit claims for reimbursement. You can rollover up to $500 of unused account balances into the next plan year, as long as you have a minimum balance of at least $25. Any funds exceeding this amount will be forfeited. The rollover will not count toward the following year’s maximum election amount (currently $2,700 for 2020). This rollover feature only applies to the Health Care Flexible Spending Account.
Dependent Day Care Flexible Spending Accounts
For the 2020 plan year, dependent day care expenses must be incurred Jan. 1, 2020, through March 15, 2021, to be eligible for reimbursement. You have until April 30, 2021, to submit claims for reimbursement. Any unused funds will be forfeited.
Retirement Plan Limits for 2020
Retirement contribution limits will increase in 2020.
- The limit on contributions to a 403(b)/401(k) plan for 2020 is $19,500. If you are over the age of 50, or will turn 50 by Dec. 31, 2020, you are eligible for an additional $6,500 catch-up contribution.
- The limit on contributions to a 457(b) plan for 2020 is also $19,500. If you are over the age of 50, or will turn 50 by Dec. 31, 2020, you are eligible for an additional $6,500 catch-up contribution.
Employee contributions to a 403(b) and 401(k) plan are combined together when determining your maximum contribution; however, employees can maximize saving opportunities by contributing to a 457(b) plan. Amounts contributed to a 457(b) plan are not combined with your 403(b) and/or 401(k) contributions when determining your maximum contribution limit.
Under the Affordable Care Act (ACA), you are required to indicate if you have qualifying medical coverage when you complete your tax return. You will receive a Form 1095-C which includes information about the health coverage offered to you by the University. The form will be mailed to your home address at the end of January.You will not need to attach or file your Form 1095-C with your 2019 Federal income tax return; however, you may need to use its information when you complete your tax return.
If you need assistance or have questions about the benefit plans you have enrolled in, please contact the UNC-CH Benefits Support Team 919-962-3071 or send an email to email@example.com.