Common use of Tier A Clause in Contracts

Tier A. (1) Employees hired prior to August 15, 1999, with medical insurance or health plan coverage whose premium rate is less than the County contribution shall receive a cash payment not to exceed $535 per month minus the cost of the premium, if any. For such employees who are covered by social security (FICA), this cash payment will not exceed $535 per month minus the cost of the premium, if any, for the employee’s medical insurance or health plan coverage, minus a percentage equal to the County’s social security contribution rate on FICA taxable wages, and minus any County costs (excluding FICA) which are applicable to such cash payment, if any. For such employees who are not covered by social security, the cash payment will be calculated in exactly the same manner, except there will be no deduction of the percentage equal to the County’s social security contribution rate on FICA taxable wages. Employees hired on or after August 15, 1999, shall not receive this cash payment. Current employees who receive cash-back benefits shall be grandfathered for the duration of their continuous employment history with the County of Sacramento. Such cash-back benefit shall be a vested right.

Tier A. (1) Employees hired prior to August 15December 21, 19991997, with medical insurance or health plan coverage whose premium rate is less than the County contribution shall receive a cash payment not to exceed $535 per month minus the cost of the premium, if any. For such employees who are covered by social security (FICA), this cash payment will not exceed $535 per month minus the cost of the premium, if any, for the employee’s medical insurance or health plan coverage, minus a percentage equal to the County’s social security contribution rate on FICA taxable wages, and minus any County costs (excluding FICA) which are applicable to such cash payment, if any. For such employees who are not covered by social security, the cash payment will be calculated in exactly the same manner, except there will be no deduction of the percentage equal to the County’s social security contribution rate on FICA taxable wages. Employees hired on or after August 15December 21, 19991997, shall not receive this cash payment. Current employees who receive cash-back benefits shall be grandfathered for the duration of their continuous employment history with the County of Sacramento. Such cash-back benefit shall be a vested right.