Overview

Summer Prepay Deductions are used to maintain insurance coverage between academic years for employees who do not work one or more months during the summer (contract break) and are expected to return in the fall. Summer prepay deductions are in addition to regular insurance premium deductions.

Eligibility

Faculty, academic staff, limited appointees, student assistants and employees-in-training are eligible for summer prepay deductions if:

  • Their academic (9 month) or annual (12 month) contract does not include work during one or more summer months; and
  • They are expected to return to benefits eligible employment on or before the start of the fall semester; and
  • They are eligible to maintain insurance coverage through the summer months.

University Staff employees on a summer leave are not eligible for summer prepay deductions as they are either laid off between work periods or placed on a leave of absence.

Deductions

Summer Prepay Deductions occur on the first two pay periods of the month in March, April and May payrolls and apply to the following plans:

  • State Group Health Insurance
  • Preventive and Supplemental Dental Insurance
  • Vision Insurance
  • State Group Life Insurance
  • Individual & Family Life Insurance
  • UW Employees, Inc. Life Insurance
  • Accidental Death & Dismemberment Insurance
  • Accident Insurance
  • Income Continuation Insurance (only deducted on April and May payrolls)

If paid through payroll deduction, prepaid summer deductions mirror the pre/post-tax deduction tax status of deductions during the employment contract period. Premiums paid through the benefits billing process are processed as post-tax.

Employees subject to taxable income under State Group Life Insurance will have taxable income applied to each bi-weekly summer prepay deduction.

Timeline

For 2022, summer prepays will be deducted from the following paychecks and will appear as a lump sum amount on your earnings statements (PREBTX, PREATX):

  • March 24
  • April 7
  • April 21
  • May 5
  • May 19
  • June 2

Eligible employees are sent emails prior to each summer prepay deduction with an estimated summer prepay deduction amount. Employees should review their earnings statements and confirm summer prepays were deducted.

Eligible employees whose summer prepays are not deducted in the spring will be billed directly for the additional premiums due. Payment must be received by the billing invoice due date or insurance benefits will be canceled due to non-payment. If benefits are canceled due to non-payment, the next opportunity to enroll in some insurance benefits may be during the fall Annual Benefits Enrollment period with an effective insurance coverage date of January 1.

Life Events

Employment Status Change: If your summer or fall employment status changes after summer prepays are deducted, you may receive deduction refunds. If you will be terminating employment, and will not return in the fall, contact your institution human resources office to determine your employment termination date and insurance coverage end dates.

Family Status Change: If you anticipate that you will experience a family status change that will change the level of coverage for your insurance (for example, single to family, family to single), contact your institution benefits contact regarding the impact to your insurance benefits and your summer prepay deductions. Some examples of family status changes that may affect your summer prepay deductions are marriage, adoption, birth, divorce.

Questions

If you have questions about your summer prepay deductions contact your institution benefits contact.

Every effort has been made to ensure this information is current and correct. Information on this page does not guarantee enrollment, benefits and/or the ability to make changes to your benefits.

Updated: 02/05/2022