What is the Medical Expense Reimbursement Plan?
The plan is a financial tool that allows current employees to save money tax-free to pay for medical expenses they will incur in retirement. The Trust will invest pre-tax contributions, earn income tax-free, and after retirement, reimburse participants tax-free for covered medical expenses and health insurance premiums. Benefits are funded with regular payroll transfers and/or lump-sum transfers of sick and vacation leave. The unions and employers must negotiate a set contribution rate and must transfer the same percentage of each employee’s accrued leave for all members. An individual employee cannot elect to contribute more than what is set forth in their MOU.
How do participants become eligible for benefits?
Eligibility for monthly benefits is open to any participant who qualifies as a Regular Beneficiary by: (1) earning 5 years of Active Service (10 years for employees hired after his or her Association joined the Trust); (2) having contributions made to the Trust on his behalf for all years of Active Service; (3) attaining age 55 (58 for non-safety members); and (4) ceasing employment as an Employee under the Plan. Retirees who do not meet these eligibility requirements will still be eligible for medical expense reimbursement benefits paid out of individual Employee Accounts.
Do you have a change in circumstance?
If you have had a change in circumstance such as a marriage, divorce, new child or change of address, please update your information using the Enrollment Application form.