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Fringe Benefits

What Are Fringe Benefits?

Fringe benefits are the employer’s cost of hiring an employee. Employer paid expenses while employing an employee above the employee's salary or wage compensation are charged proportionally to the funding tied to the combo codes provided to Budget and Financial Planning via the Department Budget Table funding process.

For budgeting purposes only, you may estimate your department's fringe benefit expense by the categories below. Use the Fringe Benefit Table (available soon) to determine benefit expense.

Benefit Eligible Employees: Multiply total compensation by each row of benefit rates for lines 1, 2, 3, 4 and 5, and add product of $1,351.94 multiplied by the number of months of employment for the academic year for Line 6. Apply Line 7 if applicable, and sum all products.

Non-Benefit Employees: Multiply total compensation by each row or benefit rates for lines 1, 3 and 4, and sum all products.

Student Employees: Multiply total compensation by each row or benefit rates for lines 1 and 4, and sum all products. Qualified students during an enrollment period month may be exempt from OASI, Line 1.

Line Benefit Rate Limits

1

 OASDI 6.20% (0.062) Social Security
1.45% (0.01450) Medicare
7.65% (0.0765) Total OASDI		 Social Security Wage Base $168,600 (effective 01/01/2024)
No Limit for Medicare tax

2

 Retirement Regular Employees
  1. 8.25% (.0825) TRS matching
  2. 8.5% (0.085) ORP matching
Working TRS Retirees (FTE >= 0.5)
  1. Pension Surcharge: 16.5% (0.165)
  2. TRS Care Surcharge: $535.00 per month.

Wage Base $330,000 
(Effective 09/1/2023)

3

 Unemployment Compensation Insurance (UCI)

0.843% (.00843) – Effective 09/01/2023
0.111% (.00111) – Effective 09/01/2022


Rate is subject to change without notice to fund unemployment claims.		 Wage Base $9,000

4

 Workers Compensation Insurance (WCI)

0.085% (.00085) – Effective 09/01/2023
0.951% (.00951) – Effective 09/01/2022

 No Limit

5

 Vacation Sick Leave (VSL) 1.20% (0.012) – Effective Date 09/01/2019 No Limit

6
Premium Sharing Rates
Only for employees in Benefits' Eligible Positions
FTE = sum of Full Time Equivalent ratio of all job assignments

Insurance Coverage
Employee's FTE

Employee Only

Employee &
Spouse

Employee &
Child / Children

Employee &
Family
Effective 09/01/23
FTE: 0.75 to 1.0		 $725.80 $1,106.24 $969.22 $1,351.94
Effective 09/01/23
FTE 0.5 to 0.749		 $362.90 $553.12 $484.62 $675.98

7

 University Salary Supplement* USS None $50.00 $75.00 $125.00

*University Salary Supplement (USS) applies to selected grandfathered active employees with continuous medical coverage premiums meeting Supplemental Premium Sharing allowance requirements prior to 9/1/2003. Employee is ineligible for USS allowance when the employee reduces medical coverage level to Employee Only or receives a salary increase to $50,000 or greater. When employee becomes ineligible for USS allowance, employee is considered ineligible thereafter from date of first ineligibility.
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