NEWS FROM the IAFF

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NEWS FROM the IAFF
IAFF-FC Programs for Affiliates
In its five-year history, the IAFF Financial Corporation
(IAFF-FC) has worked to develop programs and
services that benefit IAFF members. A few of these
programs are featured below.
Affiliate Business Banking
The IAFF-FC Banking Center, developed exclusively for
IAFF leaders and members, offers high rates for
products including business savings accounts, jumbo
business savings accounts and certificates of deposit.
The highest rate on business savings is a variable
rate of 3.75 percent (as of June 30, 2008) with a
minimum balance of $15,000. In addition, the IAFF-FC
has reduced the hold time for check deposits made by
affiliates from five days to three.
The IAFF-FC Banking Center combines the advantages
of traditional banks with the convenience of online
banking. Like most brick-and-mortar banks, a full
range of deposit products are available through the
IAFF-FC Banking Center and are FDIC insured up to
$100,000 per customer.[1] Additionally, because it is
an online banking center, access to accounts is
available 24 hours a day. The IAFF-FC Banking Center
web site, checks and ATM/debit cards all feature the
IAFF-FC logo.
The IAFF-FC Banking Center takes its responsibility to
provide secure access to customers' accounts very
seriously. Many measures are taken to ensure the
integrity of all of the accounts opened through the
IAFF-FC Banking Center. Internet browsers equipped
with encryption technology are required for access
and digital IDs from Verisign are used to verify the
identities of the customers. In addition, all account
activity is logged and monitored for suspicious
activity.
Managing your account is also easy and convenient.
Deposits are accepted by direct deposit, mail, wire
transfers, overnight delivery and the UPS Store.
Withdrawals can be made using ATMs, wire transfers,
checks, cashier's checks or online bill payment.
Contact Georgia Schwab at
[email protected] or call Georgia at
(949) 417-1104.
Post Employment Health Plan
How often do your members express concerns about
how they will afford the cost of out-of-pocket medical
expenses and health insurance premiums after they
leave employment?
and Medicare Supplement
plans, and long-term care insurance.
Medical expenses have consistently increased in
excess of overall inflationary trends. As a result,
health care providers in both public and private
sectors are forced to limit coverage levels and
increase premiums and out-of-pocket deductibles,
which shifts the burden of coverage to the individual
employee. In some cases, employees have been
"job-locked" with their employers because the cost of
their health care is unaffordable once they leave their
employer.
The plan also allows for employees to apply certain
account balances toward the reimbursement of
out-of-pocket medical expenses not covered by
insurance. Examples of out-of-pocket expenses
include eyeglasses, doctor co-pays and prescription
drugs.
The IAFF-FC has teamed with Nationwide Retirement
Solutions to offer the Post-Employment Health Plan
(PEHP) to members. The PEHP program is designed to
enable bargaining units to negotiate with their
employer to make contributions to a trust where
assets are held for the benefit of employees and their
dependents. PEHP also provides tax benefits to
employees, as contributions, investment earnings and
reimbursements from the plan for qualified medical
expenses are free from federal income and FICA
taxes or Medicare taxes for those who have opted out
of Social Security.
In addition to negotiating to fund the PEHP program
with an ongoing contribution, bargaining units may
also elect to fund the plan with all or a portion of
members' unused accumulated sick or vacation time.
Once the employer contribution is made into the PEHP
program, members direct the investment within their
individual accounts.
In addition, PEHP enables bargaining units to negotiate
for a new benefit to help members pay for health care
expenses upon leaving employment for themselves
and their dependents with tax free dollars.
Group Vision Benefits
CompBenefits offers IAFF affiliates and members
valuable group vision benefits. The VisionCare Plan
can be offered through an affiliate or be a negotiated
benefit through the employer, saving members even
more money.
Vision benefits are vital for everyone, but they are
especially important to those who need to act quickly
when lives are on the line. VisionCare Plan can
provide your members with valuable group benefits
and substantially reduce the costs of regular eye
care. For more information, contact Cathy Vane at 1
(866) 423-3757 or mail [email protected].
Members are encouraged to log on to the IAFF
website (www.IAFF.org) for daily coverage of
Convention business.
Upon separation of service,
members have access
to a tax-free source
of money to meet their
own post-employment
medical expense needs
and those of their spouses
and qualified dependents.
Expenses that qualify
(as defined by the Internal
Revenue Code) include
COBRA continuation,
insurance premiums
for health care plans,
eye and dental plans,
prescription drug plans,
Medicare Part B
JULY / AUGUST 2008
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