Public Act (PA) 267 of 2020 was signed into law by the Governor on Dec. 29, 2020. PA 267 addresses rules concerning working after retirement as a substitute teacher and working in a critical shortage position. The legislation extends the critical shortage exemption until July 1, 2025 and removes the three-year maximum that a retiree can work in a critical shortage position.
A list of frequently asked questions and answers is available here. If you have additional questions, please contact us at ORS_Web_Reporting@michigan.gov.
What happens to the employer contributions when an employee with Defined Contribution or Personal Healthcare Fund doesn’t vest?
Until now, employer contributions for employees that don’t vest have been held separately. Beginning in February, ORS is rolling out a campaign to distribute those contributions. The contributions will appear as a credit on your pay cycle statements and are to be used only for employer contributions. Expect to receive more information as soon as it becomes available.
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ORS approves the continued reporting of eligible Families First Coronavirus Relieve Act (FFCRA) leave wages paid through March 31, 2021, as long as the federal requirements from the U.S. Department of Labor (DOL) are satisfied.
A U.S. DOL news release explains this extension further. It states that after Dec. 31, 2020, employers are no longer legally required to provide FFCRA leave. However, an employer may voluntarily choose to continue to offer FFCRA leave to eligible employees and will continue to qualify for federal tax credits. If your reporting unit chooses to continue to offer FFCRA leave to eligible employees, that leave pay is reportable on both DTL2 and applicable DTL4 records.
You may also wish to review the Families First Coronavirus Response Act: Questions and Answers page on the U.S. DOL website, which covers this issue and many others regarding FFCRA leave.
To access essential employer reporting material and detailed information, new payroll staff should refer to the Employer Information website located at Michigan.gov/PSRU.
The ORS Reporting Instruction Manual (RIM) is located under Reporting Resources on the Employer Information site and is an excellent tool to obtain payroll reporting information. The RIM provides information and instructions to help you comply with the reporting and payment requirements of the retirement law. The information contained in the manual is adapted from statute, board decisions, and retirement system policy. If there are any discrepancies between the RIM and the actual law, the provisions of the law govern.
The Introduction to ORS Reporting guide is a short summary of the RIM. It is also located in the Reporting Resources section of the Employer Reporting website, under Education and Training. It's a useful tool for staff new to reporting. It is an overview of the benefit plans and the who, what, when, and how of ORS reporting.
Sometimes an employee elects or defaults into the Defined Contribution plan (DC) in the middle of a pay period before the report has been accepted or the DTL4 record posts. When this happens, the DTL4 record will post with the default contributions for the DC plan.
This may cause you to see a discrepancy on the download detail report for the DTL4 record, and you may need to adjust your internal records accordingly.
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