Revision date: 19/12/2022
Purpose
To promote the physical fitness of out-of-scope employees of Executive Government by encouraging physical activities that have been shown to improve wellness, contribute to reduced absenteeism and reduce the cost of health benefits.
To encourage long-term financial planning through financial advice and/or enhanced retirement savings.
To enhance youth recruitment and retention, through reduction of student loan costs and encouraging family wellness.
Amount of Benefit
Out-of-scope employees are eligible for a flexible benefit in the following amount per full-time employee per fiscal year:
- 2020/2021=$844
- 2021/2022=$861
- 2022/2023=$878
- 2023/2024=$878
The flexible benefit amount is adjusted annually by the general wage increase on a non-retroactive basis.
Eligibility
Full-time employees (permanent full-time, probationary, employees on variable hours and term)
Full-time employees will become eligible for the full amount of the flexible benefit in the fiscal year in which they complete six months of service.
Less than full-time employees (part-time employees)
Less than full-time employees on staff April 1 and who have completed six months of service will be eligible for a prorated portion of the flexible benefit based on their time worked in the previous fiscal year.
For example, a part-time employee who worked 60% in the previous fiscal year would receive 60% of the benefits.
Less than full-time employees who become eligible after April 1 will receive a prorated portion of the flexible benefit after completion of six months of service, based on the previous six months of service. For example, a part-time employee or employee hired May 1 working 60% would receive 60% of the benefit following completion of the waiting period.
Eligible employees who change employment status from less than full-time to full-time will be eligible for 100% of the flexible benefit in the fiscal year that they become full-time.
Employees who take a Definite Leave of Absence
Employees who take a definite leave of absence of six months or less in the fiscal year will be eligible for the full amount of the flexible benefit in that fiscal year.
Employees who take a definite leave of absence of greater than six months in the fiscal year will be eligible for a prorated portion of the flexible benefit (allocated benefit dollars reduced by 1/12th for each full calendar month not worked) in that fiscal year. For example, an employee who takes a definite leave of absence for eight months starting May 3 and returning January 3 would be eligible for 5/12ths of the flexible benefit because they would have worked all of April, part of May and January, all of February, and all of March.
Employees not eligible
If the employee does not complete the six months of service in that fiscal year, no benefit will be provided to the employee for that fiscal year; i.e. employees hired after October 1 will not be eligible for a benefit in that fiscal year.
In-scope employees and in-scope employees on temporary reclassification or TAHD to an out-of-scope assignment are not eligible.
Enrolment
All employees will be required to complete an enrolment form in order to be eligible for the flexible benefit account. Employees who do not complete an enrolment form will not be eligible to access the flexible benefit account until the form is completed and submitted. If the enrolment form is not completed by February 28 of the fiscal year, the benefit is lost for that fiscal year. Please note that an enrolment form is only required once, not each year.
Application
The flexible benefit will be administered as a reimbursement (receipts required) to offset the costs associated with:
- Activities that promote physical fitness, strength, mobility and/or balance (fees and/or eligible equipment);
- Fitness counselling;
- Financial advice;
- Payment of student loans;
- Registered Retirement Savings Plan (RRSP).
Guideline: Registration fees for programs contributing to fitness must be for a minimum of six weeks of duration.
Employees are eligible to claim reimbursement for fees for themselves or for fees associated with family membership or family registration.
The flexible benefit can also be directed as a voluntary contribution to PEPP at any time in the fiscal year.
Funds allocated to PEPP will not be matched by the employer.
Employees are responsible to ensure that their personal RRSP contribution and PEPP contributions do not exceed the maximum contribution limits in a calendar year.
Unused amounts of the flexible benefit less than $10 will be forfeited; unused amounts as of February 28 each year are to be authorized by the employee to be directed to PEPP as part of the enrolment process.
Employees who terminate prior to March 31 of a fiscal year will have their allocated benefit dollars reduced by 1/12th for each full calendar month not worked. For example, if an employee terminates January 14, their allocated benefit dollars would be reduced by 2/12ths due to the fact they would have two full calendar months not worked in that fiscal year. Any amount owed to the employer will be deducted from their final pay cheque; unused amounts will be paid out.
Submission of Claims
It is intended that claims made under this program be at arms-length from other public servants and/or family members. No claims should be filed seeking reimbursement based on receipts issued by another public servant, his or her immediate family member nor the employee’s immediate family member. Claims must be made on the prescribed form, accompanied by an itemized receipt.
Employees may submit receipts dating back to April 1 in the year in which they become eligible, but not prior to their date of employment.
To offset the cost of a student loan or contribution to an RRSP, a receipt showing the payment must be attached to the claim form and specific direction provided as to the amount of money to be reimbursed.
To direct funds to PEPP, a claim form is to be completed and the section specifically identified for the PEPP contribution must be completed.
Employees are encouraged to accumulate and submit claims when the total reaches $100.00 or more.
A receipt for an item may only be submitted once. For example, if you purchase a $2000 item, you cannot claim a portion this year and the remainder the next year for the same item.
All claims for reimbursement for the fiscal year must be received by February 28 as no claims will be accepted between March 1 and March 31. All unused flexible benefit amounts greater than $10 as of March 1 will be directed to PEPP.
Employees who become eligible for the flexible benefit in March will have the full amount that they are eligible for in that fiscal year ending March 31 directed to PEPP.
Interpretation
PSC Total Rewards, Compensation Branch provides interpretation of employee and claim eligibility as well as guidelines on application of the flexible benefit program.
Other
Note: Claims will be taxable and will be reflected on your T4.
Reimbursement for an RRSP or for financial planning related to retirement, for example, will be taxed at source. However, you will be able to claim this as a deduction on your personal tax return. For payments to PEPP, the flexible benefit payment will be processed at the same time as the voluntary contribution; therefore, there will be no impact on the income tax owing.
Authority
Public Service Regulations, 1999
Policy Inquiries
If you have any questions about the policy, benefits or eligibility, please contact the Human Resource Service Centre at 306-798-0000 or 1-877-852-5808 or by email at HRSC@gov.sk.ca.