<html xmlns:v="urn:schemas-microsoft-com:vml" xmlns:o="urn:schemas-microsoft-com:office:office" xmlns:w="urn:schemas-microsoft-com:office:word" xmlns:dt="uuid:C2F41010-65B3-11d1-A29F-00AA00C14882" xmlns:m="http://schemas.microsoft.com/office/2004/12/omml" xmlns="http://www.w3.org/TR/REC-html40">
<head>
<meta http-equiv="Content-Type" content="text/html; charset=us-ascii">
<meta name="Generator" content="Microsoft Word 15 (filtered medium)">
<!--[if !mso]><style>v\:* {behavior:url(#default#VML);}
o\:* {behavior:url(#default#VML);}
w\:* {behavior:url(#default#VML);}
.shape {behavior:url(#default#VML);}
</style><![endif]--><style><!--
/* Font Definitions */
@font-face
{font-family:"Cambria Math";
panose-1:2 4 5 3 5 4 6 3 2 4;}
@font-face
{font-family:Calibri;
panose-1:2 15 5 2 2 2 4 3 2 4;}
/* Style Definitions */
p.MsoNormal, li.MsoNormal, div.MsoNormal
{margin:0in;
font-size:11.0pt;
font-family:"Calibri",sans-serif;
mso-ligatures:standardcontextual;}
a:link, span.MsoHyperlink
{mso-style-priority:99;
color:#0563C1;
text-decoration:underline;}
.MsoChpDefault
{mso-style-type:export-only;
mso-ligatures:none;}
@page WordSection1
{size:8.5in 11.0in;
margin:.2in .3in .2in .3in;}
div.WordSection1
{page:WordSection1;}
--></style><!--[if gte mso 9]><xml>
<o:shapedefaults v:ext="edit" spidmax="1026" />
</xml><![endif]--><!--[if gte mso 9]><xml>
<o:shapelayout v:ext="edit">
<o:idmap v:ext="edit" data="1" />
</o:shapelayout></xml><![endif]-->
</head>
<body lang="EN-US" link="#0563C1" vlink="#954F72" style="word-wrap:break-word">
<div class="WordSection1">
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><a name="_Hlk161057670"></a><a name="_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></a><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="mso-ligatures:none"><img width="159" height="60" id="_x0000_i1025" src="cid:image001.jpg@01DAEFC7.62FE8A30" alt="cid:image001.jpg@01DA73CC.801FC7E0"></span></span></span></p>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-size:6.0pt;font-family:"Arial",sans-serif"><o:p> </o:p></span></span></span></p>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif"><o:p> </o:p></span></span></span></p>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif">August 16, 2024<o:p></o:p></span></span></span></p>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif"><o:p> </o:p></span></span></span></p>
<table class="MsoNormalTable" border="0" cellspacing="0" cellpadding="0" width="729" style="width:547.0pt;margin-left:-4.5pt;border-collapse:collapse">
<tbody>
<tr style="height:19.4pt">
<td width="103" valign="top" style="width:76.95pt;padding:0in 5.4pt 0in 5.4pt;height:19.4pt">
<p class="MsoNormal" style="mso-margin-top-alt:3.0pt;margin-right:0in;margin-bottom:3.0pt;margin-left:0in">
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif">To:<o:p></o:p></span></span></span></p>
</td>
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></span>
<td width="621" valign="top" style="width:465.55pt;padding:0in 0in 0in 0in;height:19.4pt">
<p class="MsoNormal" style="mso-margin-top-alt:3.0pt;margin-right:0in;margin-bottom:3.0pt;margin-left:0in">
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif">Department Benefits Representatives (DBRs)<o:p></o:p></span></span></span></p>
</td>
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></span>
</tr>
<tr style="height:19.95pt">
<td width="103" valign="top" style="width:76.95pt;padding:0in 5.4pt 0in 5.4pt;height:19.95pt">
<p class="MsoNormal" style="mso-margin-top-alt:3.0pt;margin-right:0in;margin-bottom:3.0pt;margin-left:0in">
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif">From:<o:p></o:p></span></span></span></p>
</td>
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></span>
<td width="621" valign="top" style="width:465.55pt;padding:0in 0in 0in 0in;height:19.95pt">
<p class="MsoNormal" style="mso-margin-top-alt:3.0pt;margin-right:0in;margin-bottom:3.0pt;margin-left:0in">
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif">Central HR Benefits Office on behalf of UC Office of the President<o:p></o:p></span></span></span></p>
</td>
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></span>
</tr>
<tr style="height:22.55pt">
<td width="103" valign="top" style="width:76.95pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 5.4pt 0in 5.4pt;height:22.55pt">
<p class="MsoNormal" style="mso-margin-top-alt:3.0pt;margin-right:0in;margin-bottom:3.0pt;margin-left:0in">
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif">Re:<o:p></o:p></span></span></span></p>
</td>
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></span>
<td width="621" valign="top" style="width:465.55pt;border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;height:22.55pt">
<p class="MsoNormal" style="mso-margin-top-alt:3.0pt;margin-right:0in;margin-bottom:6.0pt;margin-left:0in">
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><b><span style="font-family:"Arial",sans-serif;mso-ligatures:none">DepCare FSA Plan 2024 Change to Pre-Taxable Contributions</span></b></span></span><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></span></span></p>
</td>
<span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"></span></span>
</tr>
</tbody>
</table>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-size:9.0pt"><o:p> </o:p></span></span></span></p>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><b><span style="font-family:"Arial",sans-serif">DBRs, please share this information via your internal listserv.
<u>Do not reply to this email.</u> Please send a separate email with questions to
</span></b></span></span><a href="mailto:benefits@ucr.edu"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><b><span style="font-family:"Arial",sans-serif;color:#657C9C">benefits@ucr.edu</span></b></span></span></a><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><b><span style="font-family:"Arial",sans-serif;color:#657C9C">.</span></b></span></span><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></b></span></span></p>
<p class="MsoNormal"><span style="mso-bookmark:_Hlk161058449"><span style="mso-bookmark:_Hlk161057670"><span style="font-size:9.0pt"><o:p> </o:p></span></span></span></p>
<span style="mso-bookmark:_Hlk161057670"></span><span style="mso-bookmark:_Hlk161058449"></span>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">This is to inform you that certain participants in the Dependent Care (DepCare) Flexible Spending Account (FSA) will receive communications today Friday, August 16, 2024, regarding their contributions
to the plan.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">DepCare FSA plans are highly regulated by the Internal Revenue Service (IRS) to ensure that the tax benefits offered are equitable to all participants. This includes non-discrimination testing
requirements to confirm the DepCare FSA plan does not favor highly-compensated employees (HCEs - defined by the IRS as those earning $150,000.00 or more in 2023) and is providing comparable benefits to all participants.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Arial",sans-serif">2024 plan year contribution adjustments</span></b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Arial",sans-serif"> </span></b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">Based on recent non-discrimination testing results for UC’s plan, HCEs must have their 2024 DepCare FSA benefit capped at an annual maximum of $2,500.00 to comply with Internal Revenue Service
regulations. The results of non-discrimination testing vary based on plan enrollment, so while we make every effort to estimate the maximum allowable contribution in advance, the composition of the enrolled population can change during the plan year, which
can result in UC needing to adjust the maximum annual contribution to pass required non-discrimination tests.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">As necessary, HCEs’ DepCare deductions will be reduced beginning with the August 28, 2024, paycheck for biweekly-paid employees and the August 30, 2024, paycheck for monthly-paid employees.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Arial",sans-serif">Communications</span></b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Arial",sans-serif"> </span></b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">The <b><u><a href="https://hr.ucr.edu/sites/default/files/2024-08/ucpath-notice-depcare-reminder-2024.pdf">DepCare FSA Contributions</a></u></b> notice will be mailed and emailed to affected
employees on Friday, August 16, 2024.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">Affected employees may contact the UCPath Center with questions. The communication lists the UCPath phone system and case initiation paths that should be used to help ensure a timely response
to inquiries. Do not refer employees to Health & Welfare Benefits staff. UCPath will escalate cases to Health & Welfare Benefits if necessary.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Arial",sans-serif">Looking ahead</span></b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></p>
<p class="MsoNormal"><b><span style="font-family:"Arial",sans-serif"> </span></b><span style="font-family:"Arial",sans-serif"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif">Please note that for employees earning $155,000.00 or more in 2024 who choose to participate in DepCare FSA in 2025, the maximum allowed election will be $2,500.00. This information will be
included in the UCPath Open Enrollment portal, ALEX, and other OE communications<b>.</b><o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
</div>
</body>
</html>