2012 Section 125 for Eligible Classified Employees

• Section 125
  
  Section 125 of the Internal Revenue Code allows for establishment of individual non-taxable accounts to pay for expenses associated with certain types of health and dependent care expenses.
  1. MEDICAL INSURANCE PREMIUM ACCOUNT- expenses used to pay the group health insurance premiums not paid by employer (e.g. portion of premium that is deducted from your pay). Exception: The IRS will charge taxes on the portion paid by the college for domestic partner’s coverage.
  2. HEALTH CARE EXPENSES ACCOUNT- expenses incurred by employee, spouse, or dependents that are not covered under a medical, dental or vision plan.
  3. DEPENDENT CARE EXPENSE ACCOUNT- expenses relating to dependent care that enable the employee to work.

  The election choices you make for Section 125 cannot be changed during the year except in the following cases:
  
  - There is a change in your family status, including marriage, death, divorce, and the birth or adoption of a child.
  - Termination, commencement of employment; or, change in FTE status of employee or spouse/domestic partner.
  - Annual open enrollment period

  If you do have one of the above qualifying events, please contact Human Resources to complete a revised Section 125 form.

  Enrollment in Section 125 is offered to College employees on a calendar year basis for qualified health care and dependent care expenses incurred between January and December each plan year. Employees must re-enroll each plan year to participate in Section 125. Human Resources will facilitate an open enrollment process for Section 125 each year, typically during November.

  Upon election of the Section 125 FSA, eligible expenses can be reimbursed by completing the OEA Choice Trust Section 125 Request for Reimbursement form. Go to: http://2011sitearchive.lanecc.edu/hr/forms.htm
  After completion, the form and supporting documents are mailed directly to OEA Choice Trust for reimbursement. List of eligible expenses

  
  
• Section 125 Employee Contribution:

Employees must voluntarily commit to contribute a minimum of $240.00 toward their Section 125 health care reimbursement account for the plan year.  The Health Risk Assessment is not required for employee contributions to the health care reimbursement account. 

• Section 125 College Contribution (effective January 1, 2012):

Employees who participate in the health care reimbursement portion of Section 125 may be eligible to receive a contribution from the College toward the respective health care reimbursement account.  The College’s contribution for the plan year shall be based upon the employee’s insurance enrollment tier, on January 1, 2012, as follows:                                         

• Employee Only  -  $450                                   
• Employee Plus One  -  $850                                      
• Full Family  -  $1,100                                                     

• Eligibility for the Section 125 College Contribution:

To be eligible for the College contribution to the Section 125 health care reimbursement account, participation in the Health Risk Assessment (“Assessment”) provided by PacificSource is required.  This Assessment can be accessed via PacificSource’s secure online system, “InTouch”.  Following is more information pertaining to the requirements for receiving the College contribution:

• The Assessment must be completed no later than December 31, 2011.  To ensure timely processing of the 2012 College contribution, Human Resources is recommending that the Assessment be completed by December 7, 2011.
• Employees who fail to complete the Assessment within the approved 6-month period of July 1, 2011 – December 31, 2011 shall not be eligible for the College contribution to Section 125 health care reimbursement account; however, the employee contribution will continue as directed.
• Newly eligible employees (after December 31, 2011) must enroll in Section 125 and complete the Assessment within 30 days of initial eligibility.
• Biometric data is not required to complete the Assessment; however, providing this data will result in a more accurate health assessment.
• Data and answers provided by the employee during the Assessment are confidential and will not be disclosed to Lane Community College or PacificSource.   Additionally, the “score” the Assessment tool provides to the employee upon completion remains confidential and will not be disclosed to Lane Community College or PacificSource.
• The only report that Lane Community College will receive from PacificSource is a list of employee names of those who completed the Assessment within the allotted time period.  This is to ensure proper receipt of the College contribution.

• Health Risk Assessment:

PacificSource provides the online Health Risk Assessment tool via the InTouch system. 

• Set up a personal InTouch account (detailed instructions).
• Log into the personal InTouch account.
• Click on the Health Risk Assessment link, which will redirect you to WebMD Health Quotient® (detailed instructions are available).

Reminder: Biometric information is not required to complete the Assessment, but if the data is provided, a more accurate health assessment will be generated.

• Biometric Data:

As noted, biometric data is not required to complete the Assessment; however, it provides a more accurate assessment of particular health risks. Biometric data can be obtained from a recent visit with their personal physician.  For the most accurate health risk assessment, data should be no more than 6 months old.  The specific biometric data requested for the WebMD Health Quotient® is:

• Height
• Weight
• Waist measurement
• Blood pressure
• Normal resting pulse rate
• Body fat percentage
• Total cholesterol
•  LDL (bad) cholesterol
• HDL (good) cholesterol
• Triglyceride level
• Blood sugar (glucose) level

Reminder: Any data that is entered into the online system is strictly confidential and is available only to the employee.