FY24 Estimated Employee Fringe Benefit Components
When the University pays salaries or wages to regular employees, it must also make associated fringe benefit payments. Fringe Benefits include the following:
Employees Eligible for BRP (Benefit Replacement Pay)
| Employee Type | Regular Faculty and Staff including Adjunct Faculty at 50% or more FTE | Salaried Graduate students 1 | Hourly Student employees | Non-Student Hourly and other salaried appointments2 | |
|---|---|---|---|---|---|
| Retirement Plan | TRS | ORP | N/A | N/A | N/A |
| Retirement Plan Contribution | 8.25% | 6.6% or 8.5% 3 |
N/A | N/A | N/A |
| FICA - UNT employer portion on wages to $160,200 for CY2023, $168,600 for CY20244 | 7.65% | 7.65% | 0% or 7.65%5 |
0% or 7.65%5 |
7.65% |
| Benefit Replacement Pay (BRP) | 6.25% max $1031.25 |
6.27% max $1034.01 |
5.85% max $965.25 |
5.85% max $965.25 |
5.85% max $965.25 |
| Texas Unemployment Compensation & Worker’s Compensation6 | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% |
| TOTAL estimated fringe benefits | 23.15% + Insurance |
21.52% or 23.42% + Insurance |
6.85% or 14.5% + Insurance |
6.85% or 14.5% | 14.50% |
Employees Not Eligible for BRP (Benefit Replacement Pay)
| Employee Type | Regular Faculty and Staff including Adjunct Faculty at 50% or more FTE | Salaried Graduate students 1 | Hourly Student employees | Non-Student Hourly and other salaried appointments2 | |
|---|---|---|---|---|---|
| Retirement Plan | TRS | ORP | N/A | N/A | N/A |
| Retirement Plan Contribution | 8.25% | 6.6% or 8.5% 3 |
N/A | N/A | N/A |
| FICA - UNT employer portion on wages to $160,200 for CY2023, $168,600 for CY20244 | 7.65% | 7.65% | 0% or 7.65%5 |
0% or 7.65%5 |
7.65% |
| Benefit Replacement Pay (BRP) | N/A | N/A | N/A | N/A | N/A |
| Texas Unemployment Compensation & Worker’s Compensation6 | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% |
| TOTAL estimated fringe benefits | 16.9% + Insurance |
15.25% or 17.15% + Insurance |
1.0% or 8.65% + Insurance |
1.0% or 8.65% | 8.65% |
1 Position must require graduate status, be at least 50% FTE, and be authorized for at least 4.5 months (i.e. teaching fellows, teaching assistants, research assistants, graduate practicum, graduate services assistant)
2 In addition to hourly non-faculty assignments, these appointments include non-contract adjunct faculty at less than 50% FTE. Contact HR for assistance regarding benefits costs for return to work retirees.
3 8.5% contribution rate applies to employees enrolled in OPR plan prior to September 1995.
4 Only OASDI taxes (6.2%) are subjected to the (projected) salary limit of $160,200. Medicare taxes (1.45%) on the first $200,000 of wages; additional .09 in excess of $200,000. Limit updates expected in 2024.
5 Exemption from FICA for student employees is determined by IRS criteria. Student employees who become ineligible for FICA exemption will subject the employing department to the full 7.65% employer FICA expense in payroll periods for which they are ineligible. For proposal purposes it may be advisable to estimate some FICA expense for student employees; consult with Grant Accounting for assistance
6 Auxiliary departments are charged 1.5% for Texas Unemployment and Workers Compensation for all categories of employment.
For proposals, regular employee fringe benefits may be estimated according to the table above as a percentage of base salary (plus insurance contributions below). Actual costs against the payroll account(s) when payment is made WILL vary depending on the individual circumstances at the time of payment. For example, Benefit Replacement Pay may be estimated as a percentage of base salary but is only payable until the individual’s maximum contribution amount is reached (the individual’s maximum may be less than the maximums stated above.) See also the information below regarding assessment of insurance contributions from sponsored project accounts.
Benefit Replacement Pay
Benefit Replacement Pay (BRP) for eligible employees is authorized by the Texas Government Code 659-123 - 659.126.
Prior to January 1, 1996, Texas state employees received a state-paid FICA (Federal Insurance Contributions Act) supplemental payment of 5.85 percent on the first $16,500 of FICA-covered wages. This state-paid supplement was discontinued as of January 1, 1996 and eligible employees began receiving Benefit Replacement Pay (BRP.)
Eligible BRP recipients are individuals who were employed by a Texas state agency as defined by Texas Government Code 606.064, as it existed on August 31, 1995, and are currently employed by a Texas state agency.
|
Retirement System |
Monthly BRP Amount |
Annual (Maximum) BRP Amount |
|
Employees Retirement System |
9-month amount: $114.10 12 month amount: $85.57 |
$1,026.86 |
|
Teacher Retirement System |
9-month amount: $114.58 12 month amount: $85.93 |
$1,031.25 |
|
Optional Retirement System |
9-month amount: $114.89 12 month amount: $86.17 |
$1,034.01 |
**9-month employees receive BRP September year 1 through May year 2. BRP payments are not received during the summer (June, July and August), even if the employee works during the summer
**9-month employees who transfer to 12-month positions, vice versa, usually retain the former BRP payment amount. Manual intervention is required to change the BRP payment amount to correspond to the employment period when a change of this nature occurs
Insurance Contribution Rates
The Texas Legislature requires the following contributions by the University toward the cost of employee insurance for HealthSelect of Texas coverage.
| FY24 (9-1-23/8-31-24) | Employee Cost | State/Employer Contribution |
|---|---|---|
| Employee Only | $0.00 | $622.60 |
| Employee & Spouse | $358.00 | $980.60 |
| Employee & Child | $239.70 | $862.30 |
| Employee & Family | $597.70 | $1220.30 |
| FY23 (9-1-23/8-31-24) | Employee Cost | State/Employer Contribution |
|---|---|---|
| Employee Only | $311.30 | $311.30 |
| Employee & Spouse | $848.30 | $490.30 |
| Employee & Child | $670.85 | $431.15 |
| Employee & Family | $1207.85 | $610.15 |
Assessment of Insurance Contributions
When partial salaries are paid from sponsored project or other local accounts, the pro-rated share of these premium costs must also be paid from those accounts. When paying all or part of an employee’s salary for an insurance-eligible position from a sponsored project account, you must budget for insurance coverage for that employee.
Longevity Pay
An individual in a full-time staff position is entitled to State Longevity Pay, payable as $20 per month for every 2 years of applicable State service (maximum 42 years of service).
Leave Eligibility and Entitlements
Employees who work on sponsored projects may be eligible to accrue vacation, sick leave, compensatory time as applicable, and all other forms of applicable leave and unpaid leave as allowed under Leave policies for UNT System. Applicable Policies as of 01/01/2023: UNT 05.050, 05.055, 05.062; UNTS 03.602, 03.609, 03.613.
Stipends (UNDER REVIEW)
Payment of fringe benefits is required only when an individual is paid a salary or wage. If an individual is paid a true stipend (i.e. a “gift” For which no work is required) then fringe benefits are not applicable. However, some agencies use the word “stipend” when work is actually being performed, therefore, the use of the word “stipend” should not be automatically assumed to mean that fringe benefits do not apply. TAXABLE STIPENDS (Job Code 1686) are payments for past, present, or future services performed for other employers and are subject to fringe benefits including FICA. Contact the Payroll Office for assistance.