F.A.Q.

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Retiree

 

Pension / Compensation

 

Insurance Benefits

 

NOTE: If for whatever reason you cannot print any of the forms bellow, please contact Administrative Headquarters at (708) 349-0074. We will gladly mail you the form(s) to your address.



Who do I contact for retirement services?

Lucy McGlynn, Human Recourse Director, is in charge of paperwork pertaining to retirement services. Her office can be found in the Administration Headquarters, located behind Station 1 (9790 W. 151st Street, Orland Park, Illinois, 60462). The building is open from 8:00 AM to 4:30 PM. Ms. McGlynn can also be reached at (708) 873-2709 (phone) or (708) 873-2760 (fax).

Mail forms to:
Orland Fire Protection District
9790 W. 151st Street
Orland Park, IL, 60462
ATTN: Human Recourse Director

 

Kerry Sullivan, Finance Director, is in charge of financials pertaining to retirement services. Her office can be found in the Administration Headquarters, located behind Station 1 (9790 W. 151st Street, Orland Park, Illinois, 60462). The building is open from 8:00 AM to 4:30 PM. Ms. Sullivan can also be reached at (708) 873-2711 (phone) or (000) 000-0000 (fax).

Mail forms to:
Orland Fire Protection District
9790 W. 151st Street
Orland Park, IL, 60462
ATTN: Finance Director

 



How much money will I get now that I’m retired?

The pension you are entitled to is based on a mathematical formula that includes your years of service (YOS) worked, your average salary, and your Final Compensation. This is used to calculate the monthly pension benefit. This formula will also show the options for the continuance of benefits for your eligible spouse.

Prior to July 1, 2008
YOS x % x Final Compensation
Up to 20 x 2.5% x Final Compensation
21-25 x 3% x Final Compensation
26-30 x 4% x Final Compensation
After July 1, 2008:
YOS x % x Final Compensation
Up to 20 x 2.5% x Final Compensation
21-30 x 3% x Final Compensation


When will I receive my pension check?

If you retire prior to the payroll deadline date within your retirement month, you will receive your first retirement check on the last day of the first month of retirement. If you retire past the payroll deadline date of your retirement month, you will receive your first retirement check on the last day of the following month. You will then receive a pro-rated amount for the month your retired plus the full following month.



When will I receive my annual member statement?

Member statements are mailed in February of each year. It is important to check all of the information for correctness and notify the Human Recourse department of anything that is needs to be corrected.



Where do I get my notice of separation?

Notice of Separation will be one of the forms that you will have signed during enrollment. The completed form would have been forwarded to the Orland Fire Protection District for us to complete our part of the process.



How do I change my beneficiaries?

If for any reason you want to change your primary and/or secondary beneficiaries, please complete a Beneficiary Designation Form and submit the form to the Human Recourse department. It is wise to review your beneficiary forms annually to be sure they are up to date.



Can I add a new spouse as a beneficiary to my city pension?

Yes, if you remarry after retirement, you have the option of naming your new spouse as a beneficiary for a continuance of benefits in the event of your death. However, this option is only available to you if you contact the Human Resource department within 30 days of your marriage. To show the amount your monthly pension would be reduced to pay for this benefit, this is actuarially calculated based on your monthly pension amount, your date of birth, and your spouse’s date of birth. (The greater the age difference, the greater the cost.)



What do I need to do to change my direct deposit information?

Please complete and send an updated Direct Deposit Form to the Finance department. The form must be signed and dated. Remember to attach a voided check to your request.



I’m moving. What do I need to do?

If you decide to move after you have retired, we need to get in writing the new address information. Please complete and send an updated Change of Address Form to the Human Resource department. The form must be signed and dated.

Before you submit your change of address request, you may want to consider how your move may affect your medical coverage, state taxes, and where you want your pension to be deposited.

If you move out of Illinois, you need to determine if you need to continue to pay Illinois state taxes or terminate the deduction. This would be something you may want to ask your tax preparer. To make a change to your state taxes deduction, the Illinois State Tax Withholding Form needs to be completed and submitted along with your change of address form. The form must be signed and dated.

If moving is going to cause a change of your financial institution, you will need to change your direct deposit information. (See above questions for more details.)

The Human Recourse department recommends that you notify us of the change of address at least a month in advance to meet payroll deadlines and avoid the Orland Fire Protection District depositing your pension to a closed account, having laps in coverage while changing providers, etc.



What do I need to do when I turn 65 years of age?

About three months prior to your 65th birthday, Human Recourse will mail you a packet that includes the necessary forms needed to enroll in a Medicare plan. The letter will instruct you to go to your local Social Security Administration office to enroll in Medicare Part-A (hospitalization) and Part-B (outpatient). (NOTE: Active part-time employees would enroll in Part-A only. You would not enroll in Part-B until you retire from full-time employment.)

Medicare Part-A is the part that you must pay into Social Security for 10 years or 40 quarters to be eligible. If you have worked most of your career with the Orland Fire Protection District and did not pay into Social Security, you need to obtain a letter from Social Security stating your ineligibility. You may be able to meet the eligibility requirements for Part-A through the work history of your spouse, ex-spouse, or deceased spouse.

Everyone is eligible for Medicare Part-B. For 2009, the premium for Part-B starts at $96.40 (plus income-related premiums for high-income beneficiaries). The premium is either deducted from your monthly pension check, or it can be directly paid to the Orland Fire Protection District each quarter by personal check or money order.

Once you have enrolled in Medicare Parts A and B, you will enroll in one of the Medicare plans available to retirees. For detail information about the different plans, click here.

Each Medicare plan has its own set of forms that need to be completed to comply with regulations set by the Centers of Medicare and Medicare Services (CMS). The Human Recourse department will send the forms that are for the medical plan you are enrolled in. If you wish to change medical providers, you will need to contact the office to get the required forms.



My loan officer has requested written confirmation of the monetary value of my retirement account. How do I get that?

The Finance department can provide this information with your written consent for release of the information.



What is “Final Compensation”?

Final Compensation is defined in Section 3.36.020.5(B)(2) in the Orland Fire Protection Disrict Municipal Code as your highest 12 consecutive months. However, if any period of your highest year is within the last 12 months of your city service, your highest year will be capped at 108% of the 12 months before the last 12 months of work. If none of the highest 12 months is in your last 12 months before retirement, there is no cap.

Example: You want to retire on 1/1/12, and your highest year is 7/1/10 – 6/30/11. Since 1/1/11 – 6/30/11 is within the last 12 months of your city service, your highest year will be capped at 108% of your compensation between 1/1/10 – 12/31/10 (the 12 months prior to the last 12 months that you worked).

Now, suppose you want to retire on 1/1/12, but your highest year is 7/1/09 – 6/30/10, there would be no cap since none of that period is within the last 12 months of your City service.



What is included in my “Pensionable Salary”?

“Compensation”, as it is defined in the Orland Fire Protection District Municipal Code Section 3.36.020.3, is commonly referred to as “pensionable salary” and generally includes the following:

  • Holiday pay or Holiday-in-Lieu
  • Incentive pay for completing and maintaining an Emergence Medical Technician Certificate earned on or after July 7, 1991
  • Anti-terrorism training pay received earned on or after July 1, 2006
  • Disability leave payments paid by the city to a member pursuant to which a member continues to receive full monthly compensation, including but not limited to, disability leave payments made pursuant to Labor Code Section 4850.
  • Premium pay paid pursuant to the Fair Labor Standards Act (FLSA) for regularly scheduled hours for employees who are assigned to a work week averaging fifty-six hours per week over a twelve-month period earned after December 28, 1997.
  • Pensionable pay is administered by Finance-Payroll as part of the active employee payroll process. Any questions requesting more detail than what’s provided here should be directed to Finance-Payroll.


What are the health benefits for retirees?

The Retirement Fund provides subsidized medical and dental benefits if you meet the necessary eligibility requirements. The plan will pay 100% of the premium for dental, and 100% of the premium for the lowest cost medical plan. If you choose a plan other than the lowest cost plan, you are responsible for paying the difference.

You are eligible for dental benefits as a retiree if you retired for disability or service with either 15 years of service (YOS) or receive allowance that is at least 37.5% of final compensation.

You are eligible for medical benefits as a retiree if you retired for disability or service with either 15 YOS or receive allowance that is a t least 37.5% of final compensation.

If you separate employment and leave your contributions in the fund, you can enroll in health and dental benefits at the time of retirement if you meet the eligibility requirements as stated above.



How long can my dependent child(ren) be on my health coverage?

Effective January 1, 2011, your child dependent(s) can remain on your medical until the end of the month when he/she turns 26 years old.

For dental and other voluntary insurances, the child dependent(s) can remain on until the end of the month when he/she turns 19 years old or age 24 if a full time student.

Full-time students must be enrolled with a minimum of 12 units at an accredited college or university. It is very important for you to provide student verification to the Human Resource department each quarter or semester. If verification is NOT received with in 30 days of enrollment, the dependent will be dropped from your dental and voluntary insurances. At the time of loss of coverage, the child will be offered Consolidated Omnibus Budget Reconciliation Act (COBRA) coverage, which is a federally mandated provision of continuation of medical, dental and vision care benefits. The maximum duration of this self-paid coverage is 36 months.



How is the Medicare Part B Reimbursement calculated?

The retirement fund will pay the cost of the lowest cost plan for health coverage. If the member chooses a plan other than the lowest cost plan they pay the difference. The same goes for the reimbursement of Medicare Part B. If there is a subsidy balance, that balance may be used toward the reimbursement of the Medicare Part B premium paid to Social Security. Therefore a member may get a full reimbursement or they may only get a partial reimbursement depending on the subsidy balance.



Besides medical and dental insurance, are there other insurances that can carry over to retirement?

Voluntary Insurances are those where the retiree pays 100% of the premium. (For detailed information on the different insurances, click here.) Retirees have the option of continuing the following voluntary insurances:

  • Vision: VSP Choice and VSP Signature
  • Life Insurance through Standard
  • Personal Accident Insurance (AD&D) through CIGNA/LINA
  • Long Term Care through Prudential
  • Trustmark (Accident and Cancer/Critical Illness)


Is a retiree eligible to continue the City’s Employee Assistance Program (EAP)?

Your EAP coverage will end on the last day of the month in which your employment or benefits eligibility terminates. Your dependents’ coverage will end on the last day of the month in which either you or your dependents are no longer eligible.

Continuation of coverage at the time of retirement may be available through COBRA. Contact the Human Resource department for COBRA coverage. If you carry the insurance through a Union, please contact your Union for more information.



Where can I get information on Long Term Care (LTC)?

The city of Orland Park offers a Long Term Care (LTC) plan through Prudential. For inside Illinois, call (000) 000-0000. For outside Illinois, call (000) 000-0000.