Over time, some sections of the reporting instruction manual (RIM) may become out of date and no longer in effect. This may be due to changes in retirement law, changes in ORS' system of processing reports and records, or other factors. Sections that no longer apply to current reporting rules are marked obsolete, but sometimes ORS or a reporting unit may need to refer to them.
In past versions of the RIM, obsolete sections were marked as obsolete (beginning in July 2014) but were left in place so that they could still be found and referenced if needed. With this version of the RIM (released in late 2021), all obsolete sections have been moved to Appendix A.
The obsolete sections in this chapter appear in the order they were marked obsolete, beginning with the earliest obsoleted section (marked obsolete in July 2014). The date each section was marked obsolete appears at the top of each section. Any hyperlinks to RIM sections have been disabled since the section no longer exists or has been substantial revised since the time the section was originally published.
Marked obsolete 07/16/14
The remittance advice forms for Defined Contributions (DC) and Personal Healthcare Fund (PHF) payments have been removed from the Employer Information website. Payments to ORS for member and employer retirement contributions and TDP must be made online using the Automated Clearing House (ACH) functionality on the Employer Reporting website. See section 8.03.01.00: Online (ACH) Payments.
Non-ACH payments received will be accepted and deposited by ORS and a nonreversible $50 paper check processing fee will be assessed.
Last updated: 07/16/2014
Marked obsolete 07/16/2014
The remittance advice forms for Defined Benefit (DB) payments have been removed from the Employer Information website. Payments to ORS for member and employer retirement contributions and TDP must be made online using the Automated Clearing House (ACH) functionality on the Employer Reporting website. See section 8.03.01.00: Online (ACH) Payments.
Non-ACH payments received will be accepted and deposited by ORS and a nonreversible $50 paper check processing fee will be assessed.
Last updated: 07/17/2014
Marked obsolete 07/16/2014
The remittance advice forms are no longer used and have been removed from the Employer Information website. Payments to ORS for retirement contributions due must be made online using Automated Clearing House (ACH) on the Employer Reporting website. See section 8.03.01.00: Online (ACH) Payments.
Non-ACH payments received will be accepted and deposited by ORS and a nonreversible $50 paper check processing fee will be assessed.
Last updated: 07/17/2014
Marked obsolete 07/01/2018
OBSOLETE section - MPSERS retirees who return to work to a MPSERS reporting unit may have an impact on their pension and insurance premium subsidy. The retiree and the employing reporting unit have an important responsibility in this process.
For that reason, this section no longer applies.
A retiree eligible to be reported in a critical shortage position (one who retired on any effective date, who has been retired for 12 months or more, is hired directly by the reporting unit and has been reported in a critical shortage position for less than a total of three years) could work without earnings limitations for no more than three years in a critical shortage position or until July 1, 2018, whichever came first.
There is no earnings limit on postretirement earnings from:
Last updated: 07/01/2018
Marked obsolete 07/01/2018
OBSOLETE section - MPSERS retirees who return to work to a MPSERS reporting unit may have an impact on their pension and insurance premium subsidy. The retiree and the employing reporting unit have an important responsibility in this process.
For that reason, this section no longer applies.
As a rule, a member who retires on or after July 1, 2010, and returns to work as an employee of the reporting unit can earn up to one-third of their final average compensation in the calendar year (January - December) without penalty. However, if they exceed that amount, they will forfeit their pension and health insurance subsidy until their employment ceases. For exceptions see section 9.05.01: Exceptions to the Earnings Limitations for Members Who Retired 7/1/2010 or After.
Most members who retired on or after July 1, 2010, who are hired through a third party or as independent contractors do not have earnings limits. For exceptions see section 9.05.01: Exceptions to the Earnings Limitations for Members Who Retired 7/1/2010 or After.
Last updated: 07/01/2018
Marked obsolete 07/01/2018
OBSOLETE section - MPSERS retirees who return to work to a MPSERS reporting unit may have an impact on their pension and insurance premium subsidy. The retiree and the employing reporting unit have an important responsibility in this process.
For that reason, this section no longer applies.
A retiree eligible to be reported in a critical shortage position (one who retired on any effective date, who has been retired for 12 months or more, is hired directly by the reporting unit, and has been reported in a critical shortage position for less than a total of 3 years) hired directly by the reporting unit for a critical shortage position, can work without earnings limitations for no more than 3 years in a critical shortage position or until July 1, 2018, whichever comes first.
There is no earnings limit on postretirement earnings from:
For retirees who meet Social Security full retirement age, there is no earnings limit on how much a retiree can earn while working for a reporting unit.
Last updated: 07/01/2018
Marked obsolete 07/01/2018
OBSOLETE section - MPSERS retirees who return to work to a MPSERS reporting unit may have an impact on their pension and insurance premium subsidy. The retiree and the employing reporting unit have an important responsibility in this process.
For that reason, this section no longer applies.
When a retiree from this retirement system earns wages from a participating reporting unit, the retiree is subject to earnings limitations or a cessation of pension payments and insurance premium subsidies for the duration of the employment. This includes retirees who have elected an Optional Retirement Plan (ORP). Your reporting unit must report retiree wages to ORS; however, the responsibility for tracking wages to make sure that the earnings limit is not exceeded belongs to the retiree.
The retiree may earn the greater of the statutory limits listed below without affecting the pension:
Eligibility for the group health and dental/vision insurance is not affected by earnings. However, if the retiree's pension is suspended because the earnings exceed the limit, the insurance will also be suspended. If this happens, the retiree may request a continuation of insurance, but will be responsible for the portion of the premiums previously withheld from the pension. This may be expensive.
For every dollar the retiree earns above the limit, he/she must return one dollar to the retirement system up to the annual pension amount.
See section 9.04: Exceptions to the Earnings Limitations for Members Who Retired Before 7/1/2010 for more information.
Last updated: 07/01/2018
Marked obsolete 07/01/2018
OBSOLETE section - MPSERS retirees who return to work to a MPSERS reporting unit may have an impact on their pension and insurance premium subsidy. The retiree and the employing reporting unit have an important responsibility in this process.
For that reason, this section no longer applies.
Effective May 19, 2010, Public Act 75 amended the Michigan Public School Employees Retirement Act, MCL 28.1301 et seq., with regard to retirement allowances effective July 1, 2010. Section 61(7) of 2010 PA 75 states the following:
Notwithstanding any other provision of this Act to the contrary, for a retirant who retires on or after July 1, 2010, and following a bona fide termination, including not working in the month of the retirant's retirement effective date, and who becomes employed by a reporting unit and the retirant's amount of earnings in a calendar year exceeds 1/3 of the retirant's final average compensation, the retirant shall forfeit his or her retirement allowance and the retirement system subsidy for health care benefits from the retirement system for as long as the retirant is employed at the reporting unit unless the retirant is employed under subsection (5), (9), or (10). A retirant who has forfeited the retirement system subsidy for health care benefits under this subsection and who wants to retain health care benefits shall pay the retirant's and retirement system's costs for the health care benefits. Upon termination of employment at the reporting unit, the retirement allowance and health care benefits shall resume without recalculation.
The pension plan provided by MPSERS is a qualified governmental plan under the Internal Revenue Code 26 USC 401. Under MCL 38.1408(1) the Department of Technology Management and Budget (DTMB) is required to administer the pension plan to meet the IRS code. According to IRS Revenue Rulings, 56-693, 1956-2 CB 282, 74-254, 1974-1 CB 91, and IRS Information Letter 2000-0245 (September 6, 2000), a member must have a bona fide termination of employment before being reemployed by the entity from which he or she retires. That includes no promise of reemployment prior to retirement and a separation of employment for a significant time before reemployment, which is at least 30 days. A member's resignation of employment on one date followed by the rehiring of the retired member by the same school in less than 30 days would adversely impact the pension fund's tax qualified status under Internal Revenue Code.
Further, section 83(1) of the Michigan Public School Employees Retirement Act, Public Act 300 of 1980, MCL 38.1301 et seq, states the following:
Each retirement allowance shall date from the first of the month following the month in which the applicant satisfies the age and service requirements of this act and terminated reporting unit service…if the applicant satisfies the legal requirements for the retirement allowance at the time the application is filed. [MCL 38.1391(1)]
Employees eligible to terminate employment with a reporting unit on June 30, for example, would be eligible for a retirement allowance effective date of July 1 or after of that year. An execution date of reemployment within 30 days, or before August 1 of that year, establishes that the termination was not bona fide as required by MCL 38.1361(8) because there has not been any significant break in employment and there is a promise of reemployment.
Finally, MCL 38.1307(4) defines "retirant" as "a member who retires with a retirement allowance payable from reserves of the retirement system." If a member resigns during one month, under MCL 38.1383(1), his or her retirement allowance effective date is the first day of the following month. Thus, under MCL 38.1307, the member becomes a retirant as of the first day of that following month, and MCL 38.1361(8) prohibits a retirant from working in the month of the retirant's retirement effective date. For example, a member who chooses to resign by June 30 has a retirement effective date of July 1; as a retirant effective July 1, he or she cannot begin working in July of that year and receive a retirement allowance.
MCL 38.1361(7) states the following regarding a retirant who retires on or after July 1, 2010, has a bona fide termination of employment, and becomes employed by a reporting unit:
…and the retirant's amount of earnings in a calendar year exceeds 1/3 of the retirant's final average compensation, the retirant shall forfeit his or her retirement allowance and the retirement system subsidy for health care benefits from the retirement system for as long as the retirant is employed at the reporting unit unless the retirant is employed under subsection (5), (9), or (10). A retirant who has forfeited the retirement system subsidy for health care benefits under this subsection and who wants to retain health care benefits shall pay the retirant's and retirement system's costs for the health care benefits. Upon termination of employment at the reporting unit, the retirement allowance and health care benefits shall resume without recalculation.
With regard to earnings limitations, if an employee electing to resign has a bona fide termination, does not work the month of his or her retirement allowance but is rehired by a reporting unit, his or her earnings cannot total more than 1/3 of the retiree's Final Average Compensation (FAC) without forfeiture of the pension and healthcare subsidy. If the earnings total more than 1/3 of the retiree's FAC, he or she will forfeit their pension and health care subsidy until the retiree terminates employment.
"Earnings" include items to be reported on the retiree's W-2 or 1099R form as earnings for services performed for the reporting unit, including but not limited to, amounts deferred or contributed to an annuities. Section 125,132 (f) (4), 401(k), 403(b) and 457 of the Internal Revenue Code, 26 USC. This includes cash in lieu of payments. Note: Living allowance stipends are not pay and are not considered compensation.
Last updated: 07/01/2018
Marked obsolete 02/01/2018
OBSOLETE section - For reports before October 2015, an ORS audit found and addressed problems due to missing DTL4 records. For reports after that date, a missing DTL4 record causes the member's DTL2 record on that report to suspend, and the missing DTL4 record must be added before the report can be posted. For that reason, this section no longer applies.
The member 457 and employer 401(k) contributions for Pension Plus, Personal Healthcare Fund (PHF) and Defined Contribution plan employees are sent from ORS to the Third Party Administrator (TPA). ORS reviews your payroll reports to ensure that every employee who has a DC component to their retirement plan has the appropriate Detail 4 (DTL4) record. After the report is posted and the records are matched with the associated contribution payment on the report, the employee's DTL4 record and contribution is then sent to the TPA. This means that whenever a DTL4 record is not submitted on time or is submitted incorrectly those contributions are not earning interest, creating potential financial loss for your employees. In addition, federal transfer laws concerning 457 and 401k plans require that Defined Contribution monies be transferred to the TPA within 15 business days of the end of the month in which the payroll is paid. To ensure and enforce ORS compliance with state and federal laws we assess fees for missing DTL4 records.
Detail 4 (DTL4) records for Pension Plus members are due on Retirement reports on the established ORS reporting schedule. See section 7.02: Report Due Dates for more information. To ensure that all DTL4 records and monies are transferred timely to the TPA be sure to post reports 100% and correct errors immediately and pay contributions by the due date. See section 8.02.01: Payment Due Dates for required payment due dates.
It is important to note the following:
*Only one DTL4 record per pay period is needed to report both DC and PHF if the member has both types of contributions. Any member changes to DC and or PHF contribution percentages is relayed to the reporting unit via the DC Feedback File link on the employer reporting web site.
ORS currently assesses a fee when a missing or incomplete DTL4 record is identified and then sends each employer a list of records considered as missing or incomplete. This list is called the missing DTL4 record report. Effective with the first missing DTL4 record report of 2014, a permanent fee will be assessed if the records listed on the missing DTL4 record report are not corrected by the 5th business day of the second month after the reporting unit was notified.
For example, all missing or incomplete DTL4 records identified for January must be completed by the fifth business day in March to avoid any fee. If the records are not fixed within this timeline then a permanent $50 fee per report end date will be assessed.
| Detail 4 record as missing/incomplete for |
Date the Detail 4 record must be corrected to avoid a $50 late fee (Fifth business day of the second month after the reporting unit i s notified) |
| January 2014 | March 7, 2014 |
| February 2014 | April 7, 2014 |
| March 2014 | May 7, 2014 |
| April 2014 | June 6, 2014 |
For further information about DTL4 records see section 7.21: DC Contributions.
Last updated: 02/01/2018
Marked obsolete 02/01/2018
OBSOLETE section - this information no longer applies.
DTL4 records for employees who first worked on or after 9/4/2012 and who elected the Defined Contribution (DC) retirement plan that are still unposted on a payroll report with a begin date prior to 9/12/2015 may be manually adjusted before posting. Unposted DTL4 records for these employees appearing on a payroll report with a begin date on or after 9/12/2015 do not require an adjustment, as ORS will calculate the contributions correctly prior to posting, but they may be adjusted if the reporting unit wishes to do so.
To adjust unposted DTL4 records for employees who first worked 9/4/12 or after and opted for the Defined Contribution plan:
| 1. | Go to Work on Reports and locate the unposted payroll report that contains unposted DTL4 records for the employee. |
| 2. | Click on Edit, enter the employee's SSN in the box under Option 2, and click on the Add or Edit Record button. |
| 3. | Select the DTL4 record to open it. |
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| 4. | In the fields that need a different dollar amount or a different contribution percentage, highlight or delete the current data and type in the correct data. |
| 5. | The dollar amount in the Member DC Contributions $ field should equal 6% of the gross earnings reported in the Employer Reported Wages field. The percent amount in the Member DC Percent (%) field should be changed from 2.00 to 6.00. See before and after images below. |
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| 6. | The dollar amount in the Employer DC Contribution: $ field should equal 3% of the gross earnings reported in the Employer Reported Wages field. The percent amount in the Employer DC Match Percent (%) field should be 3.00. See before and after images below. |
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| 7. | The dollar amount in the Member and Employer PHF Contributions $ fields should already be populated with amounts equal to 2% of the gross earnings reported in the Employer Reported Wages field. The percent amount in the Member and Employer PHF Percent (%) fields should be 2.00. |
| 8. | When all fields have the correct data, click the Save button. |
Last updated: 02/01/2018
Marked obsolete 02/01/2018
OBSOLETE section - For reports before October 2015, an ORS audit found and addressed problems due to missing DTL4 records. For reports after that date, a missing DTL4 record causes the member's DTL2 record on that report to suspend, and the missing DTL4 record must be added before the report can be posted. For that reason, this section no longer applies.
After logging into the Employer Reporting website, locate the unposted payroll report to which you are going to add the record(s). The report must have an end date equal to or later than the end date of the missing DTL4 record.
Always make sure the begin and end dates on the DTL4 record match the begin and end dates used on the DTL2 record. Use the correct Record Type: 05 - Positive Adjustment or 06 - Negative Adjustment for the pay period begin and end dates prior to the report on which the adjustment records appear, or 01 - Regular Wages if the DTL4 record is for the pay period upon which the record appears.
The Status Change Date and Status Change Reason Code fields are only populated when you need to let the third party administrator (TPA) know that the Pension Plus, Defined Contribution or PHF member is leaving your employment permanently (retirement, death or termination) or temporarily (such as leave or layoff). Never enter data in just one of the fields or the record will suspend. Populating both fields will notify the TPA that the employee is terminating and they can refund any contributions or make distributions to the employee upon the request of the member. Failure to include a DTL4 record with this information will prevent the third party administrator from processing a refund request made by the member.
Last updated: 02/01/2018
Marked obsolete 02/01/2018
OBSOLETE section - ORS offers tools to help you report retirees employed by your reporting unit. For accurate reporting, you must review both tools for each retiree.
For that reason, this section no longer applies.
Wages for non-qualified participant retirees (MIP or Basic members prior to retirement) who retired on or after July 1, 2010, who have been retired for 1 month but less than 12 months (if retired more than 12 months see section 7.20.03: PA 464 Reporting Retiree Critical Shortage Wages) and are hired directly by the reporting unit as school improvement facilitators or instructional coaches are reported using class codes 9003, 9004 or 9055 for the period of December 27, 2012 through July 1, 2014. See the Employer Action Guide for the appropriate class code.
The employer is required to report Unfunded Actuarial Accrued Liability (UAAL) contributions on the gross wages; there are no employee contributions. Report wages, hours and UAAL contributions on a DTL2 record. Online payment of UAAL contributions is made to the Contributions & TDP receipt type. No DTL4 record is required. See example of DTL2 record below.
Example: Ralph March
The DTL2 record uses wage code 07 - Retiree Wages and class code 9003 - Retiree (Other)
Wages for qualified participant retirees (retirees who converted to Defined Contribution (DC) and /or elected Personal Healthcare Fund (PHF) prior to retirement, or retired employees who first worked for a reporting unit on or after September 4, 2012) who retired on or after July 1, 2010, who have been retired for 1 month but less than 12 months (if retired more than 12 months see section 7.20.03: PA 464 Reporting Retiree Critical Shortage Wages) and are hired directly by the reporting unit as school improvement facilitators or instructional coaches, are reported using class code 9033, 9034 or 9035 beginning December 27, 2012 through July 1, 2014. See the Employer Action Guide for the appropriate class code.
The employer is required to report employer Unfunded Actuarial Accrued Liability (UAAL) contributions and any employer and/or employee DC/PHF contributions* on the gross wages. Report wages, hours and UAAL contributions on a DTL2 record. Online payment of UAAL contributions is made to the Contributions & TDP receipt type. Report employer and/or employee DC/PHF contributions on a DTL4 record. Online payment of DC/PHF contributions is made to the DC Contributions receipt type. See examples of the DTL2 and DTL4 records below.
*Begin withholding member contributions at the default rate. DC/PHF member rate can be changed by the employee through the third party administrator; the reporting unit will be notified of any changes through the DC Feedback File link on the Employer Reporting website.
Example: Martha Dixon
Both a DTL2 record and a DTL4 record are required.
For the DTL2 record, use a wage code of 07 - Retiree Wages and a class code of 9034 - Non CS/Direct Hire Retiree (Admin)
Wages reported for both non-qualified participant and qualified participant retirees hired as school improvement facilitators or instructional coaches through a third party or as independent contractors, who retired on or after July 1, 2010, and who have been retired for one month or more are reported using class codes 9023, 0924 and 9025 for the period of December 27, 2010 through July 1, 2014. See the Employer Action Guide for the appropriate code.
The employer is required to report employer Unfunded Actuarial Accrued Liability (UAAL) contributions on the gross wages; there are no member contributions required. Wages, hours and UAAL contributions are reported on a DTL2 record using the Contributions & TDP receipt type. There is no DTL4 record required. See the example of the DTL2 record below.
Example: Tim Perry
On the DTL2 record use wage code 07 - Retiree Wages and class code 9024 - 3rd Party Retiree (Admin)
Last updated: 07/01/2018
Marked obsolete 02/01/2018
OBSOLETE section - ORS offers tools to help you report retirees employed by your reporting unit. For accurate reporting, you must review both tools for each retiree.
For that reason, this section no longer applies.
Wages for non-qualified participant retirees (MIP or Basic members prior to retirement) who retired on or after July 1, 2010, who have been retired for 1 month or more and are hired directly by the reporting unit as substitute teachers are reported using class code 9033, 9034 or 9035 for the period of December 27, 2012 through July 1, 2014. See the Employer Action Guide for the appropriate class code.
The employer is required to report Unfunded Actuarial Accrued Liability (UAAL) contributions on the gross wages; there are no employee contributions. Report wages, hours and UAAL contributions on a DTL2 record. Online payment of UAAL contributions is made to the Contributions & TDP receipt type. No DTL4 record is required. See example of DTL2 record below.
Example: Betsy Moore
A DTL2 record is required using wage code 07 - Retiree Wages and class code 9033 - Non-CS/Direct Hire Retiree (Teacher).
Wages for qualified participant retirees (retirees who converted to Defined Contribution (DC) and /or elected Personal Healthcare Fund (PHF) prior to retirement or retired employees who first worked for a reporting unit on or after July 1, 2010) who retired on or after July 1, 2010, who have been retired for 1 month or more and are hired directly by the reporting unit as substitute teachers, are reported using class code 9033, 9034 or 9035 beginning December 27, 2012. See the Employer Action Guide for the appropriate class code.
The employer is required to report employer Unfunded Actuarial Accrued Liability (UAAL) contributions and any employer and/or employee DC/PHF contributions* on the gross wages. Report wages, hours and UAAL contributions on a DTL2 record. Online payment of UAAL contributions is made to the Contributions & TDP receipt type. Report employer and/or employee DC/PHF contributions on a DTL4 record. Online payment of DC/PHF contributions is made to the DC Contributions receipt type. See examples of the DTL2 and DTL4 records below.
*Begin withholding member contributions at the default rate. DC/PHF member rate can be changed by the employee through the third party administrator; the reporting unit will be notified of any changes through the DC Feedback File link on the Employer Reporting website.
Example: John Smith
Both a DTL2 record and a DTL4 record are required.
The DTL2 record uses wage code 07 - Retiree Wages and class code 9033 - Non CS/Direct Hire Retiree (Teacher)
Wages reported for non-qualified participant and qualified participant retirees hired as substitute teachers through a third party or as independent contractors who retired on or after July 1, 2010, and who have been retired for one month or more are reported using class codes 9023, 0924 and 9025 for the period of December 27, 2010 through July 1, 2014. See the Employer Action Guide for the appropriate code.
The employer is required to report employer Unfunded Actuarial Accrued Liability (UAAL) contributions on the gross wages; there are no member contributions required. Wages, hours and UAAL contributions are reported on a DTL2 record, using the Contributions & TDP receipt type. There is no DTL4 record required. See the example of the DTL2 record below.
Example: Sam Cook
The DTL2 record uses wage code 07 - Retiree wages and class code 9023 - 3rd Party Retiree (Teacher).
Last updated: 07/01/2018
Marked obsolete 07/01/2018
OBSOLETE section - ORS offers tools to help you report retirees employed by your reporting unit. For accurate reporting, you must review both tools for each retiree.
For that reason, this section no longer applies.
Wages for positions that appear on the Critical Shortage list (provided by the State Superintendent of the Michigan Department of Education) for non-qualified participant retirees (MIP or Basic members prior to retirement) who retired on any effective date, who have been retired for 12 months or more and are hired directly by the reporting unit, are reported using class codes 9013, 9014 or 9015 for the period of December 27, 2012 through July 1, 2014 or until the employee is no longer eligible to be reported in a critical shortage position. See the Employer Action Guide for the appropriate class code.
The employer is required to report Unfunded Actuarial Accrued Liability (UAAL) contributions on the gross wages; there are no employee contributions. Report wages, hours and UAAL contributions on a DTL2 record, using the Contributions & TDP receipt type. No DTL4 record is required. See example of DTL2 record below.
Example: Don Martin
On the DTL2 record use wage code 07 - Retiree wages and class code 9014 - Critical Shortage Retiree Admin.
Wages for positions that appear on the Critical Shortage list (provided by the State Superintendent of the Michigan Department of Education) for Qualified participant retirees (retirees who converted to Defined Contribution (DC) and /or elected Personal Healthcare Fund (PHF) prior to retirement or retired employees who first worked for a reporting unit on or after July 1, 2010) who retired on any effective date, who have been retired for 12 months or more and are hired directly by the reporting unit, are reported using class codes 9013, 9014 or 9015 for the period of December 27, 2012 through July 1, 2014 or until the employee is no longer eligible to be reported in a critical shortage position. See the Employer Action Guide for the appropriate class code.
The employer is required to report employer Unfunded Actuarial Accrued Liability (UAAL) contributions and any employer and/or employee DC/PHF contributions* on the gross earnings. Report wages, hours and UAAL contributions on a DTL2 record. Online payment of UAAL contributions is made to the Contributions & TDP receipt type. Report employer and/or employee DC/PHF contributions on a DTL4 record. Online payment of DC/PHF contributions is made to the DC Contributions receipt type. See examples of the DTL2 and DTL4 records below.
*Begin withholding member contributions at the default rate. DC/PHF member rate can be changed by the employee through the third party administrator; the reporting unit will be notified of any changes through the DC Feedback File link on the Employer Reporting website.
Example: Nancy Jones
Both a DTL2 record and a DTL4 record are required. On the DTL2 record use wage code 07 - Retiree wages and class code 9014 - Critical Shortage Retiree Admin.
Last updated: 07/01/2018
Marked obsolete 12/16/2018
| 1. | Click on the FF, ORP and/or UAL Wages link in the left navigation bar. This will open the FF, ORP and/or UAL Wages screen. |
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| 2. | Select the Enter new FF Wages link. |
| 3. | Enter begin and end dates of valid quarter in the date fields. |
| 4. | Type in the federal wages for the defined dates. If there are no federal wages for the quarter, you must enter 0.00. |
| 5. | Click on the SAVE button to save the information to the system. If you click on the CANCEL button, the information will not be saved. |
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| 1. | Select the quarter end date you want to review/update from the Review/update existing fiscal details screen and click OK. |
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| 2. | When the detail record appears, only the federal funded wages can be updated. Make the necessary changes and click the SAVE button. If there are no wages enter 0.00. |
| 3. | If you only reviewed the data and no changes were made, click the CANCEL button. |
| 4. | Valid Quarterly dates can only be one of the following:
Example: 07/01/2006 - 09/30/2006 |
| 5. | If the drop down box(es) contain the words "None Available", it means no data has been entered for the fiscal year by your reporting unit. (If there is no data, refer to instructions to enter new federally funded wages. Data must be entered even if the amount is $0.00) |
| 6. | If the drop down box(es) contain the words "Select an end date", it means data is present and you need to click on the down arrow to the right of the box to see the listing of dates. |
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| 1. | Click on the FF, ORP and/or UAL Wages link in the left navigation bar. This will open the FF, ORP and/or UAL Wages screen. |
| 2. | To enter new federally funded, option retirement plan wages, unfunded accrued liability wages, and employee counts, select the Enter new FF, ORP and/or UAL Wages link. |
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| 3. | Enter begin and end dates of a valid quarter in the date fields. |
| 4. | Enter the wages and required employee counts for the defined dates. If you do not have wages or employee counts, enter 0.00 for wages and 0 for employee count. |
| 5. | Click on the SAVE button to save the information to the system. If you click on the CANCEL button, the information will not be saved. |
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| 1. | Select the quarter end date you want to review/update from the Review/update existing fiscal details screen and click OK. |
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| 2. | When the detail record appears, only the wages and employee counts can be updated. The quarterly begin and end dates cannot be updated. If the update is for zero dollars and no employees, enter 0.00 for wages and 0 for employee count. |
| 3. | Make the necessary changes and click the SAVE button. If you only reviewed the data and no changes were made, click the CANCEL button. |
| 4. | Valid Quarterly dates can only be one of the following:
Example: 07/01/2006 - 09/30/2006 |
| 5. | If the drop down box(es) contain the words "None Available", it means no data has been entered for the fiscal year by your reporting unit. (If there is no data, refer to instructions to enter new federally funded wages. Data must be entered even if the amount is $0.00) |
| 6. | If the drop down box(es) contain the words "Select an end date", it means data is present. Click on the down arrow to the right of the box to see the listing of dates. |
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Last updated: 04/18/2012
Marked obsolete 12/16/2018
Your reporting unit is responsible for submitting required payments (reporting unit contributions and Member Investment Plan contributions) only for employees who are members of this retirement system.
ORP and UAL wages for universities and colleges are also included on this report. ORP and UAL wages only apply to universities and community colleges that have employees participating in the optional retirement plan.
Retirement law mandates that federally funded, Optional Retirement Plan (ORP) and unfunded accrued liability (UAL) wages are to be reported to ORS on a quarterly basis. ORS uses this data to create statistical reports for the legislature, other state agencies, and the system actuary.
Your reporting unit must report total reportable wages for:
These reports are due on April 15, July 15, October 15, and January 15 for the preceding quarter.
For more information, see section 7.19.00: Reporting FF/ORP/UAL Wages on the Employer Reporting Website.
Please note: reportable and nonreportable "compensation" is defined in MCL 38.1303a and only applies to active MPSERS members. For information on reporting earnings for retirees please see section 9.01: Earnings of Retirees Who Return to Work.
Last updated: 02/10/2017
Marked obsolete 04/30/2020
Obsolete section - the TDP agreement/addendum file is no longer required.
|
Field Name |
Agreement Form Box Number/Example |
Length |
Format |
|
Organization/RU number |
2 |
5 |
12340 |
|
Agreement/Addendum number |
3 (first number) |
9 |
012345678 |
|
Invoice Number |
3 (second number) |
8 |
12345678 |
|
Social Security Number |
5 (no dashes) |
9 |
111111111 |
|
Signature Date |
Next to your school official's signature (no dashes) |
8 |
07312006 |
|
Box 6 |
6 (must be filled with all 0's) |
9 |
000000000 |
|
Billing Amount |
7 (no $ or decimal points 1000.00) |
8 |
00100000 |
|
Service Credit Available |
8 (goes out 3 decimal places 5.000 years) |
5 |
05000 |
|
Box 9 |
9 (must be filled with all 0's) |
8 |
00000000 |
|
Service Credit Purchased |
10 (goes out 3 decimal places 5.000 years) |
5 |
05000 |
|
Scheduled Deduction |
11 (no $ or decimal points 50.00) |
8 |
00005000 |
|
Service Purchase Type |
12 (obsolete - fill with 00) |
2 |
00 |
|
Frequency of Pay |
13 (bi-weekly) |
2 |
26 |
|
Box 14 |
14 (must be filled with all 0's) |
8 |
00000000 |
|
Billing Due Date |
15 (no dashes) |
8 |
09302006 |
Example of the TDP Agreement/Addendum file layout using Microsoft Notepad. Color has been added to show field separation.
Last updated: 04/30/2020
Marked obsolete 04/30/2020
Obsolete section - the TDP agreement/addendum file is no longer required.
The TDP agreement/addendum file is required to report new TDP agreements and addendums. This file is used to upload the information to the members' retirement accounts.
Last updated: 04/30/2020
Marked obsolete 04/30/2020
Obsolete section - the TDP agreement/addendum file is no longer required.
The TDP agreement/addendum file is required to report new TDP agreements and addendums. This file is used to upload the information to the members' retirement accounts.
The layout format for the TDP agreement/addendum file is located in sections 15.01.11 and 15.01.12 TDP Agreement/Addendum File Layout.
When creating your TDP agreement/addendum file, make sure that you enter the complete agreement number and invoice number from the agreement/addendum form. If the agreement/addendum and invoice numbers do not correspond to the information on file at ORS, the deductions that you report will not post to the members' accounts. Include all of the preceding zeros in the agreement/addendum and invoice numbers. The agreement/addendum number has nine characters, and the invoice has eight characters. Both numbers are preprinted on the agreement form if the agreement is initiated after January 1, 2004.
Make sure that the information in the Frequency field (box 13 on the agreement form) indicates how many payments the employee will make each year. It should not refer to the number of payments required to pay off the balance. For example: if payroll is run every two weeks, the Frequency field should read 26. If the payroll is run monthly, it should read 12.
Using the instructions in section 14.03 Uploading Secure Files and section 15.01.10 File Naming, upload your file to the File Transfer Service (FTS). ORS will then access that file and load the information to each employee's account.
Last updated: 04/30/2020
Marked obsolete 09/29/2020
The retirement law allows regular longevity payments to be reportable compensation as long as they are paid to all employees. Super longevity payments are paid in addition to regular longevity payments and are typically offered to a targeted group of staff. Super longevity payments are consistent with the definition of a bonus payment and are not reportable on a DTL2 - Wage and Service record. However, the wages must be considered as part of gross earnings when calculating member and employer contribution withholding for the Defined Contribution portion of a member benefit plan and for the Personal Healthcare Fund. The wages must be included in the Employer Reported Wages field on a DTL4 record.
For more information see section 4.01: Reportable Compensation.
Please note: reportable and nonreportable "compensation" is defined in MCL 38.1303a and only applies to active MPSERS members. For information on reporting earnings for retirees please see section 9.01: Earnings of Retirees Who Return to Work.
Last updated: 02/10/2017
Marked obsolete 11/02/2020
OBSOLETE. Election workers are not performing services for MPSERS reporting units.The language below is retained for historical record only.
If a person is already a member of this retirement system, is currently working for your reporting unit, and is assisting with the election, then the election wages and hours are reportable.
If a person is a retiree of this retirement system and is working for your reporting unit in another position, and is assisting with the election, or if he or she is only working for your reporting unit for the election, the wages and hours are reportable.
A retiree is subject to the earnings limits when employed by a reporting unit in an election capacity.
If a person is not a retiree of this retirement system and is working for your reporting unit for the sole purpose of an election, the wages and hours are not reportable per Public Act 150 of 2000.
Last updated: 11/02/2020
Marked obsolete 01/08/2021
OBSOLETE section - This section duplicates information in section 4.04.02 and is thus obsolete.
Earned wages that are placed in either an elective tax-sheltered annuity or a deferred compensation plan by employees are considered reportable compensation.
Please note: reportable and nonreportable "compensation" is defined in MCL 38.1303a and only applies to active MPSERS members. For information on reporting earnings for retirees please see section 9.01: Earnings of Retirees Who Return to Work.
Last updated: 01/06/2021
Marked obsolete 12/01/2021
Retroactive wage records allow you to correct existing wage records for a contract settlement for an entire group of employees. The wage codes for reporting retroactive wages are:
Please note, PA 54 of 2011 prohibits the payments of retroactive wages for labor contracts that have expired. Consequently, ORS no longer expects retroactive pay adjustments for settled contracts after June 8, 2011.
This DTL2 record allows you to adjust and entire fiscal year at a time. Several things are important to know when reporting a retroactive payment:
When you submit your original retroactive records, we evaluate them for these key elements:
If you do receive suspend errors on retroactive wage records, you can resolve many of them easily. Below is a chart showing some of the most common edit messages you will see for retroactive wage records. These edits are labeled as ORG Fix, and you can correct them. However, you could get more than one message for the same record and another message might be On Hold. For more information on edit labels see section 7.07: Editing a Retirement Detail Report After ORS Validation earlier in this chapter.
| Message | Solution |
|
No wage record found for this class code during the retro period. The class code and the record begin date combination is not correct. Create separate retro records for each fiscal year.
|
The employee was not reported with this class code during the retro period. Edit the record by entering the correct class code using the drop down menu. You may also get this message if the record crosses fiscal years. If this is the case, create separate retroactive wage records for each affected fiscal year. |
| No wage record found for this class code during the retro period. The class code and the record begin date combination is not correct. | The employee was not reported with this class code during the retro period. Edit the record by entering the correct class code using the drop-down menu. |
| The wage code is 04 and the retirement hours are greater than zero. | You have included hours on the retroactive wage record. Delete the hours from the Detail 2 record. |
| Record End date cannot be greater than the Pay Period End Date. or Retroactive wages can only be reported for prior pay periods. |
Records with either of these edit messages have an end date that falls in or after the current report period. Retroactive wages can only be reported for prior pay periods. To resolve these errors and preserve your totals, take the following actions:
|
|
The member is reported more than once; each of record's class code and wage codes are not unique; begin, end dates overlap. |
You have two (or more) retroactive wage records for the same person, for the same report period, using the same class code. If they are both really for the same class code, combine them into one. If you are trying to submit two separate records for this person for two different class codes, make sure you have the class codes entered correctly. |
When making an adjustment or a retroactive payment, you will also need to calculate the correct member contribution amounts to be withheld from the employee's pay. If the wages are being paid in the same fiscal year (July 1-June 30) in which they were earned, use the same member contribution rate that you used for the last set of posted wages for that school fiscal year.
For example, you have an employee who has posted earnings of over $15,000 at the time you make the adjustment or issue retroactive pay. Even if you are adjusting pay periods earlier in the year when the MIP graded percentage was lower, because this employee is already at 4.3 percent, that is the MIP rate you use.
If the wages are being paid for a previous fiscal year, use the same member contribution rate that you used for the last set of posted wages for that fiscal year. If you are reporting current wages along with the retroactive pay or adjustment, these may require separate calculations.
The employer contribution rate for any adjustment or retroactive payment is the rate in effect for the record's pay period end date. So, retroactive wages paid in the fall for the previous school fiscal year (July 1 - June 30) are calculated using the previous fiscal year's contribution rate.
Last updated: 04/13/2012
Marked obsolete 12/01/2021
The retirement statute, Public Act 300 of 1980, specifically MCL 38.1342(7), requires ORS to charge a late fee on missing/late reports. Any employer with retirement reports that are missing or are not submitted by the due date are assessed a fee. (For more information on the report due dates or details on the missing report fee, see section 8.02.00 Payment Due Dates and Late Fees.) Please note that each report that has a missing/late DTL4 record is charged $50 for each reporting due date that the DTL4 record is missing/late.
For example, for a biweekly reporting unit, a report dated March 17, with a missing DTL4 record on March 31st, $50 will be charged. If that March 17, report still had that missing DTL4 record on April 7th, an additional $50 will be charged.
Last updated: 04/13/2012
The retirement system has determined that core services are those services that are important to the central purpose of a reporting unit. A list of core services can be downloaded here.
Retirees with a retirement date on or after July 1, 2010, but before August 1, 2022, who are employed by a third party or as an independent contractor, and who perform any core services for a participating Michigan public school (including any charter school), forfeit their pension and retiree healthcare subsidy until the core services employment ends.
Last updated: 08/17/2022
