RSP Notice 2012-1

NOTICE 2012-1
June 27, 2012

TO: Deans, Directors, Department Chairs, and Department Administrators (for distribution to all Faculty)
FROM: Kim Moreland, Associate Vice Chancellor
SUBJECT:  Fringe Benefit Rates for July 1, 2012 through June 30, 2013

The following fringe benefit rates will become effective July 1, 2012 for the doctoral cluster institutions (UW-Madison and UW-Milwaukee) and for UW-Extension, and will be used when charging the employer’s contribution to fringe benefits on all new and on-going extramural projects.

Regular Faculty and Academic Staff  41.0%
Regular Classified 56.0%
Research Associates and Grad Interns 26.7%
Research Assistants, Project Assistants, Teaching Assistants, Pre-Doc Fellows and/or Trainees  28.0%
Post-Doc Fellows and/or Trainees 17.8%
Limited Term Employes (LTE's) 20.0%
Ad Hoc Program Specialists, Undergraduate Assistants and Undergraduate Interns 9.1%
Student Hourly Employes 2.3%

Rates are based on the actual costs of benefits paid during the fiscal year July 1, 2010 through June 30, 2011. The decreases in Faculty, Academic Staff, and Classified fringe rates are attributable to a projected decrease in the University's contributions for health insurance and retirement costs in future years. The 2011 Wisconsin Act 10 (Budget Repair Bill) and 2011 Wisconsin Act 32 (Biennial Budget Bill) increased employee contributions for these costs. Although the decreased costs to the University did not occur during the fiscal year ending June 30, 2011; the new rates have been reduced to provide a smoother adjustment to future years' rates.

The specific components for each rate are detailed in a schedule that has been published at:

We appreciate your assistance in assuring that all projects with an anticipated beginning date of July 1, 2012 or later utilize the above rates.

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