Salaries and Benefits
Salary Policies and Procedures
Faculty salaries are determined annually on a merit basis and reflect evaluations of competence in teaching, research, extension, and general university service. Within the limits of budgetary resources, every effort is made to maintain faculty salaries at a level competitive with those of similar universities throughout the country. Because Iowa State University is a public institution, the salaries of all employees are a matter of public record.The general procedure for initiating salary recommendations begins with the head or chair of a department or with persons in charge of the individual's work. In some departments, committees assist the executive officer in the evaluation. The department's salary recommendations are then reviewed with the college dean, who in turn makes his or her recommendations to the provost and to the president. The university's recommendations are then submitted to the Board of Regents for final approval.
Merit Increase
As a rule, within the limits of the budget, it is the policy of the administration to recognize individual achievement as a basis for salary increases. The work of an individual is measured by teaching competence and creativity; by effective assistance to students in worthwhile activities outside the classroom; by administrative and committee work to facilitate or improve the work of the university as a whole; by the writing of professional papers, articles, or textbooks; by activity in professional societies; by representing the university as lecturer or discussion leader; by outstanding service among individuals and groups off campus; and by productive research for immediate or ultimate public benefit. It is not easy to judge each person on a merit basis, but those responsible for recommendations make every effort to evaluate the person and his or her work as accurately as possible.
Promotion Increase
In addition to the merit increase, promotion in academic rank is usually accompanied by a salary increase of a fixed amount, according to the rank involved. The amount of the promotion increase is determined each year by the administration, in consultation with the Faculty Senate Committee on University Budget.
Payroll Procedures
New Employee RegistrationAll employees hired at Iowa State University must report to the Office of Human Resource Services, 16 Beardshear Hall, on or before the first day of employment to provide Form I-9 (Employment Eligibility) Verification, to register for payroll, and to arrange details regarding benefits.
Non-United States citizens (both immigrant and nonimmigrant) must first go to the Office of International Students and Scholars, 4 Hamilton Hall, on or before their date of hire to complete the Form I-9 (Employment Eligibility) Verification. They must then submit the completed form to the Office of Human Resource Services to register for payroll and benefits.
Paychecks
Paychecks for faculty are issued the last working day of the month and include pay due through that month. Faculty members on B-base (9-month) appointment receive one-ninth of their salary at the end of each month from September through April; they receive half of the remaining one-ninth at the end of August and the other half at the end of May. After a year's service, B-base faculty members may elect to have their academic-year salary distributed across the entire fiscal year, thus receiving one-twelfth of their salary at the end of each month.
Paychecks are mailed directly to employees at their campus address or, at the employee's request, may be direct-deposited to any bank, savings and loan, or credit union where the employee has an account. An earnings statement explaining the paycheck and deductions is sent to the employee via campus mail. Paychecks and/or earnings statements are put in campus mail the day before payday.
No paychecks can be issued without I-9 (Employment Eligibility) Verification, social security number, withholding exemption certificate, personnel data sheet, residence address and phone, bank order authorization, campus location and phone.
Deductions
The Board of Regents has established guidelines for deductions that may be withheld from an employee's payroll check. The following is a partial list of possible deductions:
Federal and State Income Tax Credit Union Federal Social Security Tax United Way Campaign Retirement Programs Parking Permits Bond purchases ISU Center Series Tickets Amount owed to the university ISU Foundation Contributions Group medical, dental and life insurance, and flex programs Long Term Care
Benefits
The information contained in this handbook on the university insurance and retirement benefits programs is a general summary of those programs. Answers to specific questions and additional information are available from the individual benefit booklets or the Benefits Section of the Office of Human Resource Services.Once a year, each employee receives a statement of benefits. The statement is provided to assist the employee in better understanding the benefits programs he/she participates in and their worth, as well as to assist the employee in planning a financial future. Each benefit program is listed, along with the amount paid by the employee and the amount paid by the university. These statements are distributed by the Office of Human Resource Services.
Insurance
Basic Life Insurance. The life insurance program provides term life insurance with accidental death and dismemberment provision in the amount of two times the employee's annual budgeted salary. To be eligible, an employee must be on a regular budgeted appointment of one-third time or more for nine continuous months or longer.
The premium is paid by the university. A benefit credit of equal value is given if the employee elects not to participate. Enrollment must be completed within 31 days of employment. A conversion policy is available if employment terminates. Employees pay all supplemental costs, and Dependent Life is available.
Hospital and Medical Insurance. Hospital and medical insurance, available through the university, provides for hospital services, physician services, and other medical costs.
To be eligible, an employee must be on a budgeted appointment of one-third time or more for nine continuous months or longer.
Participation is optional. Enrollment must be made within 31 days of the date the employee is eligible. A reduced benefit credit is given if the employee elects not to participate.
Dental Insurance. The dental insurance available through the university provides coverage for diagnostic and preventive services, basic services, and major services.
Eligibility requirements are the same as for hospital/medical insurance.
Participation is optional. Employees must enroll within 31 days of their eligibility. Enrollment at other times is permitted, subject to a reduction of certain benefits or by providing evidence of insurability. A benefit credit is given if the employee elects not to participate.
Note: For certain groups of employees, a double-spouse premium schedule is available for hospital/medical and dental insurance. Both spouses must be entitled to participate on a single-plan basis in a state or Regents-sponsored hospital/medical and/or dental plan.
Long-Term Disability Insurance. The long-term disability insurance program provides an income to disabled employees whose disability has continued for at least 90 workdays. There is a coordination of benefits with Social Security, worker's compensation, salary continuance plans, and rehabilitation benefit provisions. The employee may select between two levels of coverage, a 50% of salary plan or a 75/60% of salary plan.
To be eligible for this program, an employee must have a budgeted appointment of one-third time or more for nine months or longer and have completed one full year of continuous university service.
Employees who meet the eligibility requirements will be automatically enrolled in the program upon completion of one year of continuous service. Premiums are paid in full by the university. Earlier enrollment is permitted but will be subject to an underwriting requirement and full employee contributions during the first year.
Benefits cease on the June 30th following the attainment of age 65; or, if disability begins on or after age 61 but prior to age 69, payments continue for five years or through the June 30th following attainment of age 70, whichever is earlier. For disability beginning on or after age 69, the benefit period is 12 months long.
Partial disability benefits are available if an employee is unable to work more than 70% of their ordinary work schedule due to a disability. Partial disability is also subject to the 90 working day waiting period.
If an employee is enrolled in the TIAA-CREF Retirement Program and has qualified for disability payments under the long-term disability policy, the employee's standard contribution and the university's contribution to the TIAA-CREF program will be continued during the period of disability. Termination of this coverage is the same as above.
Employees who participate in a Federal Retirement System and who are insured under the long-term disability policy also have this coverage. A TIAA contract would be established at the time of disability and waiver benefits would be paid to that contract. The benefit payments would be the same as those of an employee whose basic retirement plan was TIAA.
Long-Term Care. The university has established a policy of long-term care with the Teacher's Insurance & Annuities Association (TIAA). This employee-pay-all program is available to cover nursing home, home health care, and other related expenses for the employee as well as his/her spouse or domestic partner, parents and parents-in-law. Further information is available in the Benefits Section of the Office of Human Resource Services.
Flexible Spending Accounts
Flexible spending accounts under Section 125 of the Internal Revenue Code may be used to pay out-of-pocket premium expenses for family medical and dental coverage and/or non-insurance covered medical and dental expenses (medical spending account) and/or dependent care expenses (dependent care spending account). Contributions to these plans are exempt from federal, state, and social security taxes. IRS rules govern the types of expenses eligible for these programs, the timing of the expenses, and the changes allowed during the plan year in the contribution amounts. Eligibility for these programs is similar to the medical programs. Benefit credits generated from the employee's program selection are placed in one or the other of these spending accounts.
The Office of Human Resource Services has additional information on these accounts.
Worker's Compensation
The Iowa Worker's Compensation Act covers all university employees while on official duty. The employee makes no payment for this coverage.
Any personal injury sustained by an ISU employee in the line of duty should be reported immediately to the Office of Human Resource Services by the supervisor and/or department head on the First Report of Injury form.
Any injury sustained by a university employee in the course of university-related employment should be treated immediately. Integra Health, the Student Health Center and the Occupational Medicine Department of the Ames Laboratory are available for the treatment of minor injuries and
The university hospitalization plan will not pay claims for accidents in which the employee is eligible for Worker's Compensation. If an accident or injury requires treatment, the employee should advise the desk attendant where the treatment is obtained that a Worker's Compensation claim may be filed. Whenever possible, Workers' Compensation services should be provided by an authorized caregiver.
Additional information may be found in the Office Procedure Guide or obtained from the Office of Human Resource Services.
Unemployment Insurance All university employees are covered under the job insurance laws of the State of Iowa. Information regarding unemployment insurance may be obtained from the Job Service of Iowa Office or the Office of Human Resource Services.
Retirement
Federal Employees. Iowa State University staff who participate in the Civil Service Retirement System (CSRS) or the Federal Employees Retirement System (FERS) are not eligible to participate in the university's basic TIAA/CREF annuity program with concurrent university contribution, or in IPERS. Federal employees have an option to participate in the federal tax-deferred Thrift Savings Plan and the Federal Employees Group Life Insurance Program.Information regarding federal benefits is available from the Extension Finance Office, 315 Beardshear Hall.
Iowa Public Employees Retirement System (IPERS). All employees of the university except certain visa holders, are required to participate in IPERS unless they are eligible for and elect to participate in TIAA/CREF or an approved substitute plan.
Premiums to IPERS are paid in part by the employee and in part by the university. An employee who leaves public employment in Iowa before retiring can get a refund of the money he/she has paid into the fund.
The Office of Human Resource Services and the Iowa Employment Security Commission in Des Moines can answer questions and give additional information on this program.
Social Security. All employees of Iowa State University, with the exception of those on cooperative or direct federal appointment and certain visa holders, are covered by Social Security. Civil Service employees employed prior to January 1, 1984, are covered only by the Medicare portion of Social Security. Taxes paid to the Social Security program are established by Congress.
Detailed information can be obtained from the Social Security Office in Des Moines or from the Ames office located at 600 Fifth Street, Suite 100.
Teachers Insurance and Annuity Association-College Retirement Equities Fund (TIAA-CREF). Employees on a budgeted appointment of one-third time or more for at least nine continuous months and at an annual budgeted salary of at least $7,800, are eligible to participate in TIAA/CREF.
Concurrent participation in TIAA/CREF and IPERS is not permitted.
Premiums for the TIAA/CREF retirement program are paid in part by the employee and in part by the university.
TIAA/CREF is a tax-sheltered annuity under the Internal Revenue Code. Employees defer current taxes on their contributions to the program.
Additional information can be obtained from the Office of Human Resource Services.
Other Tax Sheltered Annuities. Other tax sheltered annuity programs are available for employee participation. The Office of Human Resource Services has information about these various programs.
Deferred Compensation. Deferred compensation is the portion of salary elected as current nontaxable income. The nontaxable income is used to purchase an annuity or life insurance contract for the employee.
All permanent and probationary employees who are not enrolled in TIAA/CREF, TIAA-CREF SRA, or other tax sheltered annuities, and who regularly work one-third time or more, are eligible to participate in the Deferred Compensation Program. Participation is optional and is in addition to any participation in IPERS or Federal Civil Service.
The university does not contribute toward the cost of the Deferred Compensation Program.
Additional information concerning this program may be obtained from the Office of Human Resource Services.
Substitute Annuities. Employees eligible for TIAA-CREF who wish to substitute another retirement program may do so if they make that election before joining TIAA-CREF. Substitute annuities must conform to the risks established for TIAA-CREF and must be approved by the university. Additional information concerning this program may be obtained from the Office of Human Resource Services.
