Benefits Overview
The following description is a general overview of the benefits provided to City of Mission Viejo benefit eligible employees. For specific details, please review the Human Resources Policies, Management and Budget Policies, Administrative Regulations, and official plan documents, or contact the Human Resources office at 949.470.3060.
Employees of the City are currently covered under the California Public Employees' Retirement System (CalPERS). While the City does not participate in the Social Security System, federal mandate requires new employees to contribute 1.45% of wages to Medicare insurance coverage.
Retirement
Employees Hired On or After January 1, 2013, Who Are CalPERS Members –
A CalPERS member hired by the City of Mission Viejo within less than a six (6) month break in CalPERS covered service, will participate in the 2% at 60 formula, three-year final compensation, and 1959 survivor benefit. Employees are required to contribute the full 7% member contribution, plus an additional 1.5% towards the employer rate.
A CalPERS member hired by the City of Mission Viejo with a six (6) month or more break in CalPERS covered service, will participate in the 2% at 62 formula, three-year final compensation, and 1959 survivor benefit. The employee pays the full member contribution, which is variable. The contribution rate for new members is 50% of the normal cost rate which is subject to change. The current member contribution is 7.0%. Employees also contribute 1.5% towards the employer rate.
Employees Hired On or After January 1, 2013, Who Are Not CalPERS Members –
Employees hired on or after January 1, 2013, will participate in the 2% at 62 formula, three-year final compensation, and 1959 survivor benefit. The employee pays the full member contribution, which is variable. The contribution rate for new members is 50% of the normal cost rate which is subject to change. The current member contribution is 7.0%. Employees also contribute 1.5% towards the employer rate.
Employer's Contribution Rate –
Beginning July 1, 2021, the employer's normal cost contribution rate is 9.82%, which reflects the employee pick-up of 1.5% of the employer rate.
Retiree Benefits
Employees Hired On or After December 2, 2006 –
The City's Supplemental Health Account for Retired Employees (SHARE) Plan is a defined contribution health reimbursement plan, which is intended to help employees offset post-retirement healthcare costs by allowing employees to contribute pre-tax dollars from their current wages with an additional contribution from the City, into an account that can be accessed upon retirement. To be eligible for the full benefits of the SHARE Plan, an employee must reach age 55 with a total of 15 years of service with the City of Mission Viejo.
The Plan requires mandatory contributions from both the employee and the City. Contributions to the Plan will commence for an employee beginning with the first pay period that occurs after the eligible employee's completion of one year of service with the City. Eligible employees will be required to contribute 1.5% of their salary. Deductions will be pre-tax and will be taken from each paycheck.
Starting the same date, the City contribution will be $100 per month ($50 per pay period for 24 pay periods) for full-time employees, $75 per month ($37.50 per pay period for 24 pay periods) for full-time equivalents of .750 to .999, and $50 per month ($25 per pay period for 24 pay periods) for full-time equivalents of .500 to .749, after the completion of the waiting period. This program is administered by ICMA-RC.
PaydayThe City issues paychecks on a biweekly basis (see Payroll Calendar), every other Friday. Benefits are deducted from paychecks twice a month.
HolidaysThe City observes ten (10) paid holidays, including a Winter Closure at City Hall and the Corporation Yard between December 26th and December 31st. Employees also have one (1) floating holiday per year, which is credited annually on January 1st (on the employee's hire date in the first year) and cannot be carried-over.
Comprehensive Annual LeaveProvides employees with paid time off for rest and relaxation, personal or family illness, bereavement, and personal business. For non-exempt classifications, 19 days annual accrual during the first year, increasing to 30 days beginning in year ten, prorated based on the full-time equivalent for all part-time positions. For exempt classifications, 24 days annual accrual during the first year, increasing to 35 days beginning in year ten, prorated based on the full-time equivalent for all part-time positions.
Jury Duty LeaveEmployees are granted up to 30 paid days for jury service.
Cafeteria PlanThe City offers a "cafeteria style" flexible benefits plan, with a fixed monthly contribution provided by the City for all regular and probationary full-time and part-time employees. The benefits plan is covered under Section 125 of the Internal Revenue Code allowing employees to pay monthly benefit premiums on a pre-tax basis. Benefit coverage begins the first day of the month following thirty-days (30) of continuous regular employment.
Medical InsuranceThe City contracts with CalPERS to offer medical insurance to employees, plus their qualified dependents. Employees are required to participate in the City group medical plan.
Dental InsuranceThe City contracts with Delta dental for dental coverage for employees, plus their qualified dependents. There is a choice among two plans, Delta PPO and Delta Care PMI.
VisionThe City contracts with Vision Service Plan (VSP) for vision coverage for employees, plus their qualified dependents.
Life InsuranceThe City contracts with Voya to provide term life insurance for employees in an amount equal to two (2) times the employee's annual salary to a maximum of $300,000. The City pays the full cost of the monthly premium. If you need more than the Basic Life insurance the City provides, you may purchase additional coverage by enrolling in the Supplemental Term Life (STL) and AD&D insurance programs.
Short and Long Term DisabilityThe City contracts with Voya to provide both short and long-term disability insurance coverage to the employee, in a benefit amount up to 66% of the employee's salary. The City pays the full cost of the monthly premium.
Flexible Spending Account You can set up one Flexible Spending Account (FSA) for health care expenses and another to pay for the cost of caring for your dependents while you are at work. The Health Care Spending Account is a tax-free way to pay any qualified out-of-pocket expenses associated with medical, dental, and vision care for yourself and any family members who are legal dependents. You may contribute between $180 and $2,500, pre-tax, annually to this account. The Dependent Care Spending Account allows you to pay for child or elder care expenses on a tax-free basis. You may contribute between $300 and $5,000 annually towards this account. Both types of accounts are administered through Wex Benefits.
Employee Assistantance ProgramThe City contracts with MHN to provide short term counseling benefits, as well as life management services and referrals, to employees, their dependents, and any other members within their household. The City pays the full cost of the monthly premium.
Deferred CompensationA voluntary deferred compensation plan is available through Nationwide. The City matches contributions up to $150 per month.
College Savings PlanThe City offers payroll deductions to a qualified 529 plan. This voluntary ScholarShare fund, managed by ScholarShare, is a flexible college savings program that helps make saving for a child's higher education easier.
Wellness ProgramThe City offers free membership, with some restrictions, to the City's Recreation and Tennis Centers for employees and their resident family members.
Tuition ReimbursementOnce probation has been successfully completed, the City offers tuition reimbursement to employees for qualified classes and/or programs up to $1,250 per fiscal year, prorated based on the full-time equivalent for all part-time positions. Pre-approval by the employee's supervisor and the City Manager is required.
Technology Loan ProgramOnce probation has been successfully completed, an interest-free technology loan is available to employees in an amount up to $3,500, prorated based on the full-time equivalent for all part-time positions.
Flexible Workplace ProgramThe Flexible Workplace Program allows an employee to enter into an agreement to schedule portions of their work week away from their regular worksite. Participating employees will work a full workday, but program participation allows times and number of hours in the office to be scheduled differently between individual days of the week. The City Manager must approve all Flexible Workplace Program applications. Program participation is a benefit and not an entitlement and is approved on a case-by-case basis.