VRS Hybrid
The VRS Hybrid Retirement Plan combines the defined benefit plan and defined contribution plan features. The plan applies to most members hired on or after January 1, 2014, and current employees who opt into the plan during a special election period from January through April 30, 2014.
The defined benefit portion of the plan requires employees to contribute a fixed percentage of their annual salary. The employer contribution amount is determined actuarially. The actual amount contributed by the employer to the defined benefit will be the actuarially determined amount, less any employer contributions to the defined contribution component of the plan. This information is submitted using the VRS Modernization report.
The additional plan administered by MissionSquare (formerly ICMA-RC), called the defined contribution plan, has multiple parts:
Employees and employers must make a fixed contribution to the defined contribution plan.
Employees may voluntarily contribute to the defined contribution plan.
Employers must match voluntary employee contributions.
The contributions made to the defined contribution component of the plan are submitted directly to MissionSquare.
For current VRS Hybrid rates, refer to the manuals on the VRS Website for Employers.
Menu Path
From the Human Resources menu, select State. From the State - VA menu, select VRS Hybrid.
Selection Rule
Employees with at least one non-zero employee deduction or benefit amount associated with the following deduction types are selected and reported:
E – Hybrid Mandatory Defined Contribution Employee
F – Hybrid Mandatory Defined Contribution Employer
V – Hybrid Voluntary Defined Contribution Employee
M – Hybrid Defined Contribution Employer Match
Prerequisites
Enter valid information in the Employer Code field on the Virginia State Retirement page.
Set up VRS Hybrid deduction codes.
Complete the Setup procedure.
Ensure that VRS Hybrid participants have a record on the Check History page.
Setup
Set up the following before creating the VRS Hybrid report.
Deductions
Associate the VRS Hybrid deduction codes with one of the following deduction types:
E - Hybrid Mandatory Defined Contribution Employee
F - Hybrid Mandatory Defined Contribution Employer
V - Hybrid Voluntary Defined Contribution Employee
M - Hybrid Defined Contribution Employer Match
You must appropriately match Hybrid participant deduction codes for each employee so the correct total employer contribution percentage is calculated. It also allows you to maintain the plan when the Actuarially Determined Rate (ADR) percentage changes.
On the VA VRS Hybrid page, select Deductions.
Filter records using the filter criteria. To enter filter criteria:
Select an option in the first field.
Select or enter a value.
Select Add if the button is enabled.
Refer to Searching for Records for more information.
Select Add Record.
In the Deduction Code field, search for and select a VRS Hybrid deduction code.
In the Deduction Type field, select one of the following:
E - Hybrid Mandatory Defined Contribution Employee
F - Hybrid Mandatory Defined Contribution Employer
V - Hybrid Voluntary Defined Contribution Employee
M - Hybrid Defined Contribution Employer Match
Select Save, then Yes.
Repeat this process for the remaining VRS Hybrid deduction codes.
For more information, refer to Deduction Types Overview.
Load Data
On the VA VRS Hybrid page, select Load.
The Load Date defaults to today's date. You can select another date if required.Select the VRS Payroll Year and VRS Payroll Month.
Select the Pay Runs.
Select Load, then Yes.
If data for the selected criteria is loaded, select Yes to delete and reload the data.
Save the Load Summary report and select OK.
Navigate to the folder containing the summary report file.
Inspect the file. Update data if needed.
Repeat these steps until all required data is loaded.
Maintain Data
You can correct loaded data before submitting the report. However, any corrections must also be updated in the source data.
On the VA VRS Hybrid page, filter records using the filter criteria. To filter records, select an option from the list and then select a value.
To add a record, click Add Record. Refer to Field Descriptions and enter valid information in the required fields. Select Save, then Yes.
To edit a record, select the ellipsis in the Actions column, then select Edit. Update the information and select Save.
To delete a record, select the ellipsis in the Actions column, select Delete, then select Yes.
Field Descriptions
The following table describes the fields on the VA VRS Hybrid page.
Field | Description |
|---|---|
VRS Payroll Year | The payroll year used to reconcile VRS Hybrid information to the corresponding Modernization information. Entered during the load process. |
VRS Payroll Month | The payroll month used to reconcile VRS Hybrid information to the corresponding Modernization information. Entered during the load process. |
Load Date | The date the file was created. |
Check Date | The check date of the VRS Hybrid information being reported. The information is retrieved from the Check History page. The format is MM/DD/YYYY. |
Employee Number | The employee number. |
Social Security Number | The employee’s social security number. The value is retrieved from the Employee Information page. |
Last Name | The employee’s last name. The value is retrieved from the Employee Information page. |
First Name | The employee’s first name. The value is retrieved from the Employee Information page. |
Middle Name | The employee’s middle name. The value is retrieved from the Employee Information page. |
Status Code | The employee’s VRS Status code. This field is not in use. |
Marital Status | The employee’s marital status. Valid values:
The value is retrieved from the Employee Tax Information page. |
Employee Mandatory | The employee’s mandatory contribution. For current Hybrid Mandatory Employee-Defined Contribution rates, refer to the manuals on the VRS Website for Employers. The information is retrieved from the Check History page for deduction codes associated with deduction type E - Hybrid Mandatory Defined Contribution Employee on the VA State Reporting - Deductions page. |
Employer Mandatory | The employer’s mandatory contribution. For current Hybrid Mandatory Employer-Defined Contribution rates, refer to the manuals on the VRS Website for Employers. The information is retrieved from the Check History page for deduction codes associated with deduction type F - Hybrid Mandatory Defined Contribution Employer on the VA State Reporting - Deductions page. |
VRS Agency Code | The five-digit agency code assigned in the VRS Navigator. The value is retrieved from the Employer Code field on the Virginia State Retirement page. |
Employer Match | The employer’s matching contribution for the employee contribution. For current Hybrid Defined Employer Match Contribution rates, refer to the manuals on the VRS Website for Employers. The information is retrieved from the Check History page for deduction codes associated with deduction type M - Hybrid Defined Contribution Employer Match on the VA State Reporting - Deductions page. |
Employee Voluntary | The employee’s voluntary contribution. For current Hybrid Voluntary Employee-Defined Contribution rates, refer to the manuals on the VRS Website for Employers. The information is retrieved from the Check History page for deduction codes associated with deduction type V - Hybrid Voluntary Defined Contribution Employee on the VA State Reporting - Deductions page. |
Employee Type | The type of employment. This field is not in use. |
Create File
On the VA VRS Hybrid page, select Report.
Select the Load Date.
Create a hard copy of the report to verify data before you create the electronic file:
Select Hard Copy.
Select PDF or Excel.
If you have the security to view the entire Social Security Number (without masking) and want to include the entire Social Security Number, select Print Full Social Security Number.
Select Create, then Yes.
Save the file and select OK.
Navigate to the folder containing the report file.
Inspect the file. Update data if needed.
Repeat these steps until all the required data is included.
Create the electronic file:
Select Electronic File.
Select Create, then Yes.
Save the file and select OK.
The default file name is VA VRS Hybrid Report_<MMDDYYYY>_<hhmmss>.rpt.
where
<MMDDYYYY>_<hhmmss> represents the report creation timestamp.
Download the report and follow the state's submission procedures.
Purge Data
If you need to correct setups or employee data, purge the existing records and reload the data.
On the VA VRS Hybrid page, select Purge.
Select Load Date, Month, or Year.
Select the required options.
Select Submit.
Select Yes, then OK.