|
In February, each eligible reporting unit will receive a credit for Defined Contribution (DC) employer contributions it paid for employees who did not vest in the past year. This is an annual credit distributed around February each year.
The contributions will appear as a credit on your pay cycle statements in early to mid-February. The money can only be used to offset future employer contributions on your pay cycle statement(s), according to IRS rules. You are still required to withhold the appropriate employee contributions from your employees. The credit cannot be used to offset employee contributions.
Web Administrators will receive more information as soon as it becomes available.
|
Wages paid to employees while on sabbatical leave are nonreportable to the pension system on a Detail 2 (DTL2) – Wage and Service record. However, sabbatical leave wages are reportable as gross earnings, that means they are reportable as wages on the Detail 4 (DTL4) – DC Contribution record along with the employees current Voya contributions.
For more information, refer to Reporting Instruction Manual (RIM) article 4.06: Gross earnings for defined contribution (DC) plans and 4.03: Nonreportable compensation (sabbatical leave pay).
|
In our August 2023 newsletter, we shared an updated link to the new hire video. We now have a new and improved link (web address) to a YouTube playlist with the MPSERS new hire video. This new link will work even if we update the video, as we may do again this summer.
If you include a link to this video in emails to new hires, on your district website, or elsewhere, please ensure that you’re using this updated link. If you have copied the email language found on the Employer Information Resources for New Members page, please update the link in your email to match the link on our page, which has also been updated.
One reason we updated to an “evergreen” link is that our YouTube data suggests that some new hires are using an old link, which they may have gotten from their reporting unit.
The information in the older video is not incorrect, but the current version (published in August) is improved, and we want new hires to get our best, most current version. Note also that we have not updated the video itself, just the YouTube link.
|
Each year, the IRS announces savings limits for Defined Contribution plans. In 2024, participants in the State of Michigan 457 Plan are eligible to save $23,000 and more if they are age 50 or older.
|
|
In This Issue:
Feb 4
Scheduled System Maintenance (Employer Reporting website unavailable).
Feb 19
Presidents Day – ORS is not open for business on this state holiday.
Recent Communications
 No communications have been sent to all reporting units since the last newsletter.
 Recent RIM Updates
8.02.02: Late payment fees and interest charges
Email is not a secure form of communication. Never send an employee’s full Social Security Number (SSN) or other personal identification information (PII) to ORS through email, even in an image. The last four digits of the SSN along with the member’s name will provide enough information.
|
|
|
|
