Fringe Benefit Rates
Because the university uses fringe benefit rates to assess benefits to sponsored projects, the Department of Health and Human Services (DHHS) requires Rutgers to submit and negotiate an annual fringe benefit rate proposal. Our office handles this process. When finalized, the rates are appended to the university’s F&A Rate Agreement.
Rutgers develops and submits the fringe benefit rates annually to DHHS Cost Allocation Services (DHHS-CAS), our federal cognizant audit agency, for approval. Prior year provisional fringe benefit rates remain in effect until DHHS-CAS approves the current fiscal year rates. Once approved, the final negotiated fringe benefit rates become effective on July 1 of the fiscal year noted by the rate agreement.
Rutgers’ composite fringe benefit rate is a hybrid of the benefit components detailed below.
State of New Jersey Fringe Rate: The state of New Jersey proposes and federally negotiates these rates on an annual basis. Most of the benefits included in the state’s fringe benefit rates are applicable to Rutgers employees. The benefits are passed down from the approved state rate and include:
- Pension/retirement
- Health insurance
- Unemployment insurance
- Disability insurance
Rutgers-Only Claims-Made Rates: Rutgers, The State University of New Jersey, proposes and federally negotiates these rates on an annual basis. Claims-made fringe benefits refer to benefits for which the university only incurs costs when a claim is made.
These benefits include:
- Unused sick leave
- Workers’ compensation
- Tuition remission
- Vacation payout
- ABP pension match
Once both sets of rates are approved annually, implementation and application of the composite rate may begin. View a breakdown of the current composite fringe benefit rate by component and our prior year rate agreements.
Accordion Content
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Salary & Wage Description
Salary Account
Composite Fringe Account
FY2021 Negotiated Composite Rate
ADD FICA/Medicare
(51250 & 51260)FULL FY2021 Fringe Rate
Staff
50010
51110
45.96%
7.65%
53.61%
Tenured Faculty
50020
51120
45.96%
7.65%
53.61%
Tenure Track Faculty
50030
51130
45.96%
7.65%
53.61%
Non-Tenure Track Faculty
50040
51140
45.96%
7.65%
53.61%
Teaching/Graduate Assistants
50050
51200
22.69%
0.00%
22.69%
Post Doctoral Associates
50060
51180
45.42%
7.65%
53.07%
Housestaff (RBHS Only)
50070
51160
23.00%
7.65%
30.65%
Contracted
50100
51190
45.96%
7.65%
53.61%
Student Researcher Stipend
50110
0.00%
0.00%
0.00%
Post Doctoral Fellows
50115
0.00%
7.65%
7.65%
Salary Suspense
50190
51220
45.96%
7.65%
53.61%