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Fringe benefits (fringes) are expenses directly related to an employee’s salaries and wages. The type of salary or wage being paid will determine the type of fringes that apply. Fringes are required to be budgeted on all personnel dollars for personnel accounts from 511100-514500 and are retained in a Central Fringe Pool (Fringe Pool).

Budget, Planning and Analysis maintains the Fringe Pool, providing a budget for all state appropriated funds (Appropriations) for fringes for personnel accounts (511100-514500). Fringes that are covered by the Fringe Pool are:

  • SHRA Premium Payments (512300)
  • SHRA Longevity Payments (512700)
  • LEO Separation Allowance (552320)
  • Disability (516200)
  • Social Security (515100)
  • State Retirement (515200)
  • Medical Insurance (515500)
  • TIAA Retirement (515400)
  • LEO Retirement (515300)

Departments should calculate and budget fringe benefits when personnel budget is being created using non-personnel budget by referring to the policies below. At the beginning of the fiscal year, a $0 budget must be created, as the budget exception needs to have override ability in order for payroll to process. After each payroll is run, an allocation is processed to transfer fringe budgets from the pool and to roll up to each chartfield string – the amounts must net $0.

Policies and Procedures

Fringe Benefit Rates for Fiscal Year 2023-24

Fringe Rates for Calculating State Benefit Costs
Benefit Account Percent Salary
Social Security 515100 7.65% up to $160,200
Medicare 1.45% over $160,200
State Retirement 515200 25.02%
TIAA Retirement 515400 14.09%
Law Enforcement Officers Retirement 515300 30.02%
Medical Insurance PPO 515500 $7,557
Average Teaching Salary/Average SHRA Salary for 2022-2023
Area Type Salary
Academic Affairs 16020 EHRA Faculty $116,139
Academic Affairs 16020 EHRA Non-Faculty $102,856
Academic Affairs 16020 SHRA $55,703
Health Affairs 16021 EHRA Faculty $151,198
Health Affairs 16021 EHRA Non-Faculty $124,549
Health Affairs 16021 SHRA $50,260
AHEC 16022 EHRA Non-Faculty $122,460
AHEC 16022 SHRA $58,159

For Sponsored Programs Fringe Benefit Rates: See the Office of Sponsored Programs.