Welcoming a child? In the excitement of bringing a new child into your household, don't overlook making the necessary changes to your benefits.
Within a limited timeframe after the date of your child's birth or adoption, you will want to evaluate changes to health insurance, for example, so the newest addition to your family will have medical coverage. Here are some of the benefits issues you'll want to consider.
MIT provides Paid Parental Leave to eligible mothers and fathers after the birth of a child, adoption of a child under 18 (under 23 if the child has mental or physical disabilities), or placement of a foster child (under 23 if the child has mental or physical disabilities). Learn more about paid parental leaves.
Health, dental, and vision plans
- Compare costs and coverage of the health, dental, and vision plan family plan options offered by MIT and the employer of your spouse or partner to determine the best option.
- Change or enroll in health, dental, and vision plans within 31 days from the date of your child's birth or adoption.
- If you do not make changes within 31 days, you must wait until the next annual Open Enrollment event.
- If this new addition to your family changes your eligibility for Medicaid or the State Children's Health Insurance Program, you have 60 days to make corresponding changes to your health-related benefits. Learn more about Medicaid and SCHIP.
- Visit Atlas to evaluate your participation in the MIT Supplemental Life Insurance Plan. Dependent child life insurance coverage can be added within 31 days from the date of your child’s birth or adoption or during Open Enrollment.
- Review and update your beneficiaries at any time of the year by submitting the beneficiary designation form below to MIT Benefits.
Flexible spending accounts
MIT reimburses eligible employees for qualified adoption expenses up to $5,000 per finalized adoption, not to exceed a lifetime benefit of $20,000 per employee.
All eligible MIT employees may apply for support under the program when they adopt a child under the age of 18.
Who is eligible
- eligible MIT employees may apply for support when they adopt a child under the age of 18
- employees must be actively employed or on approved paid or unpaid leave at the time expenses are paid and at the time adoption is finalized
- if the adoptive parents are both MIT employees, only one employee is eligible for reimbursement per adoption
- child being adopted cannot be the child of an employee's spouse or domestic partner
Time to enroll: Whenever eligible — no need to wait for annual Open Enrollment.
How it works
MIT reimburses eligible employees for qualified adoption expenses up to $5,000 per finalized adoption, not to exceed a lifetime benefit of $20,000 per employee. Applications for assistance must be submitted no later than 90 days after the official date of the adoption. Employees will receive the reimbursement in their pay. Reimbursements are subject to some taxes.
- Read the details of the plan below.
- Complete an Adoption Assistance Plan Reimbursement Form (available below).
- Submit the reimbursement form along with documents substantiating the finalization of the adoption, the qualified expenses, and the dates on which the services were received within 90 days of the finalized adoption.
Reasonable and necessary expenses for the legal adoption of an eligible child consistent with federal income tax guidelines, such as
- agency and placement fees
- travel expenses associated with the adoption (including transportation, lodging, and meals)
- medical expenses for the child not otherwise covered by insurance
- temporary foster care provided before placement of the child in your home
- immigration, immunization, and translation fees
- court costs and legal fees
Expenses not eligible for reimbursement
- adoptions that take place prior to the date of employment
- surrogate parenting arrangements
- expenses associated with establishing legal guardianship
- expenses paid using funds received under another federal, state, or local program or from another employer or party
- expenses allowed as a credit or deduction under any other federal income tax rule
How to get reimbursed
- Complete an Adoption Assistance Plan Reimbursement Form below and submit it with documents substantiating the finalization of the adoption, the qualified expenses, and the dates on which the expenses were incurred.
- Submit your application for reimbursement no more than 90 days after the adoption is finalized.
- Reimbursements are processed by MIT Benefits and paid out in your paycheck.
- Reimbursements are subject to certain taxes as explained below.
- FICA and FUTA taxes will be withheld consistent with federal and state regulations.
- Federal and state income tax will not be withheld.
- The Adoption Assistance Program has been designed to take advantage of federal income tax provisions, and certain tax benefits may be available, depending on your modified adjusted gross income (MAGI).
- Reimbursements under the program will be reported in Box 12 of your W-2 form.
- You are responsible for accurately reporting Adoption Assistance Plan reimbursements to federal, state, and local tax authorities.
- For further information on federal income tax provisions for adoption expenses, visit www.irs.gov or call (800) TAX FORM or (800) 829-3676.
Why the Period for Making Changes is Limited
Most of the benefit plans offered through MIT are paid with pre-tax dollars. In exchange for the tax advantage, you legally cannot enroll in, cancel, or make changes to your medical, dental, or reimbursement account plans outside of the annual Open Enrollment period, unless you experience a qualifying change in your life like the one described above.
MIT's policy for allowing changes outside Open Enrollment in the case of certain qualifying life events is consistent with the federal Department of Labor guidelines under the Health Insurance Portability and Accountability Act of 1996 (HIPAA).