Nine Month Employee Compensation
Regular employees, both faculty and staff, who are appointed to 9 month positions must document how they prefer to have their salary paid to them and how any applicable insurance premiums will be deducted from their pay. The options available are:
Annualized Compensation (12 month Salary Spread) - The employee's 9 month salary is paid out over 12 months. Insurance premiums are deducted from the 12 paychecks to assure that summer insurance premiums are paid.
Premium Reserve - The employee's 9 month salary is paid out over 9 months. The employee's annual (12 month equivalent) insurance premium will be withheld from the 9 paychecks to assure that summer insurance premiums are paid.
Important Program Information
- If desired, annualized compensation must be elected& before the first day of work in the academic year. If an election is not submitted, the default election of Premium Reserve will be applied.
- 9 month employees may change their election prior to the first day of work in the academic year.
- The selected option is irrevocable for the current academic year.
- This agreement will be automatically renewed each academic year without submission of a new enrollment form.
- If you have salary adjustments during the 9 month employment period, then your summer checks will not pay the same gross amount that was paid during the school year. Adjustments include docks, reduction or increases in salary.
- Insurance premiums due may differ from month to month depending on current enrollments.
- If you work during the 3 summer months in addition to receiving annualized compensation payments your taxes may increase notably due to a higher tax base.
- If you retire or terminate employment with the University before the end of the academic year, arrangements must be made with the Human Resources Department and Payroll Office regarding your reserved Annualized Compensation or Premium Reserve refund. If you select a lump-sum payment option, insurance coverage will terminate effective the first of the following month.