MPSERS Employer News - May 2020

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MPSERS Employer News

May 2020

Old way to New way

Upcoming changes to DTL4 reporting

Many of you are aware that reporting DTL4 records is becoming increasingly common in retirement reporting to ORS. Because of this increase, ORS has increased audit efforts to ensure accurate and correct reporting of Defined Contribution (DC) and Personal Healthcare Fund (PHF) wages and contributions.

Currently, the ORS system does not require DTL4 records for employees who are currently contributing 0% for all employee and employer DC and PHF contributions. This applies to employees with the Pension Plus or Pension Plus 2 plan and to Defined Benefit (DB) members with PHF healthcare. Those with MIP DC Converted, Basic DC Converted, and the DC plan already require a DTL4 record because they have a 4% mandatory employer contribution.

For any record with an end date of 07/01/2020 and later, report a DTL4 record with the correct amount of wages for those who have 0% on file for all employee and employer DC and PHF contributions.

  • Do not report a DTL4 record for DB members with the Premium Subsidy healthcare option.
  • You do not need to correct records with a record end date prior to July 1, 2020, unless instructed to do so by ORS.
  • Report wages for those who have reached the IRS annual contribution limit. The ORS system is programmed to accept wages but will not calculate or post contributions that exceed the IRS limit.

For more information on reporting DTL4 records, review section 4.01.01: Gross Earnings for DC Plans in the Reporting Instruction Manual (RIM).

person faxing

How to submit tax-deferred payment forms

As more and more of us are working away from the office, it’s important to review how to submit tax-deferred payment (TDP) forms — TDP agreements and addendums and supplemental TDP agreements — to ORS. We no longer require you to create a file for TDP agreements and addendums and upload it to the File Transfer Services site. We only require that you fax or mail the forms to us. 

Please do not email the forms to ORS; email is not secure enough for the sensitive information contained on the documents. Faxing the forms to 517-284-4416 is our preferred method of submission. If you do not have access to a fax machine where you are or are having problems with successfully completing a fax transmission, please mail the forms to:

Office of Retirement Services
PO Box 30171
Lansing, MI 48909-7671

After receiving a TDP form, ORS will load it to the employee’s account.

Login error message

Web Reporting password, user ID, and login issues

Due to a required system upgrade, all reporting units may experience difficulties when trying to log in to the Employer Reporting website to work on reports and/or make payments. If access is denied, ORS must reset your passwords to enable access to the website. 

Our technology staff is working hard to find the problem and fix it and we need your help. When you contact ORS by phone or email to reset your password, please include the following information:

  • Reporting Unit Number
  • User ID(s)
  • Operating system (Mac or Windows)
  • Web browser and browser version
  • Screenshot of the URL after you get the password error message saying you will be locked out after three tries or that you have already been locked out.

Thanks in advance for helping us find and fix the problem!

Keep contact information up-to-date

contact information

On the Employer Reporting homepage, the Your Contacts section lists two types of contacts: web users and business contacts. Web users include Web Administrator, Employer Reporting 1-5, Member Inquiry 1-2, and Payroll Processors 1-3. Web users require a password to log in to the Employer Reporting website. Business contacts are members of your staff who don’t have login access to the Employer Reporting website but who ORS can communicate with if needed, such as superintendents or human resources staff.

If the Web Administrator or Payment Processor name or contact information needs to be updated, your school’s superintendent (or other chief administrator at reporting units that aren’t school districts) must complete the necessary forms to request the change. (See the Forms page, under Reporting Resources on the Employer Information website.)

In addition, if your RU’s business contact information needs to be updated, your Web Administrator must make those changes on the Employer Reporting Website.

ORS uses the contact information you provide to send specific information and audit requests. To comply with ORS audits, it is imperative that your reporting unit’s Administrator 1 (superintendent or the equivalent), Employer Reporting 1, Employer Reporting 2 and Web Administrator all have up-to-date e-mail addresses.

System issue

System issue: reporting retirees with active wage codes

In recent weeks, DTL2 records submitted in error for retired MPSERS members with active wage and/or class codes are posting instead of suspending, due to an ORS system error.

To report a MPSERS member who has been retired for 30 days or more, use a retiree class code and wage code 07 or 75 unless you are reporting final active wages or summer spread wages. Please note that you must always use the Member Benefit Plans screen to verify retired status before reporting any wages. Use the Reporting Retirees tool to determine the correct retiree class code.

ORS is researching the system error and taking steps to correct the issue. Reporting units with records that posted in error will be notified of any action needed when a resolution has been reached.

For more information on reporting recent retirees, review these sections in the Reporting Instruction Manual:

Why two Final Payroll Details types listed on the Retirement Applications screen?

Retirement Applicants screenshot

The List of Retirement Applicants screen shows two separate columns of retirement applicants: Regular Retirement and Initial Pension. You must complete Final Payroll Details in a timely manner, but each type of applicant has a different time frame. Completing the FPDs in the correct time frame is crucial to the retirees, to ensure an accurate pension payment in the fastest possible time.

Regular Retirement (left)
The Regular Retirement column on the left shows those applicants whose final payroll details (FPDs) must be submitted as soon as possible. These members have not yet met all the eligibility requirements for retirement. Their applications will not be processed, and the member will not receive a pension check until you certify their pending wage hours and payments to ORS.

While it is important to not guess what the final payroll details will be, once you know the pending detail information do not wait until they are paid to submit the FPD. Our goal is to get every retiree on payroll as soon as we can, so it is important to work on the Regular Retirement column first.

Initial Pension (right)
The Initial Pension column on the right lists those applicants who have met all requirements and are immediately eligible to retire. Wait to submit these Final Payroll Details until all wages and hours have been submitted and posted. Completing the Initial Pension FPD before all records have posted will result in an inaccurate pension calculation for your employee.

For these members, the retirement system will do an initial calculation using the wages, hours, and TDP payments already reported, and the retiree will receive a pension payment even if the FPD has not been submitted. You are not required to certify applicant wages before a member receives an estimated pension.

For more information on Final Payroll Details, please see the Reporting Instruction Manual Chapter 11, the Final Payroll Details e-learning module and the Avoid FPD Errors Job Aid.


Understanding contract reviews

Compensation Corner

At the time of retirement or upon request, ORS requires a full review of contract(s), contract addendums, and reported wage details to ensure accurate calculation of a member’s account. For any payments that are considered above the base salary or not in the contract, reporting units must submit written documentation. This may include, but is not limited to, reimbursements, bonuses, merit pay, annuities, longevity pay, etc.

In order to ensure timely calculation of the member's retirement and insurances, our office will request the documents be returned within 10 business days of the request.

If you have any questions regarding this process or need a contract reviewed, you can contact

In This Issue:

June 2020

Important Dates & Reminders

Sunday, June 7
Scheduled system maintenance (Employer Reporting website unavailable)

Recent Communications

Recent Communications

No communications have been sent since the last newsletter.

Recent RIM updates

Recent RIM updates

Helpful Tip

Helpful Tip

If you need to make both negative and positive adjustments to correct Social Security number or benefit structure issues, always add and post all negative adjustments first.

After all negative adjustments are posted, add positive adjustments to a later payroll report for the best outcome.