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Travel Changes for Dependents to Take Effect February 1, 2007
December 21, 2006
As part of the annual benefits enrollment process, the company
communicated changes to tax laws that have an impact on benefits
eligibility for 2007 and beyond – including travel privileges – for
full-time students over the age of 18.
While this information was shared with impacted employees during the
enrollment process, it’s worth reiterating to remind everyone of the
changes they’ll see in travel privileges for their dependent’s
eligibility beginning Feb. 1.
Please read this information entirely to ensure you’re
looking at the correct information for your situation. These changes
apply to both East and West employees as we’re simultaneously
synchronizing procedures and applying tax law changes.
WHAT IS THE NEW POLICY FOR DEPENDENT TRAVEL ELIGIBILITY AND WHAT
EMPLOYEE ACTION IS NEEDED?
- An unmarried dependent that will remain less than 19 years
old throughout the 2007 calendar year is eligible for
unlimited free space available travel during that calendar year.
EMPLOYEE ACTION: No action required.
- An unmarried dependent who will turn 19 years old at any
time during the 2007 calendar year must be a full-time
student for at least 5 months of the calendar year in order to be
eligible for unlimited free space available travel.
EMPLOYEE ACTION: If your child will turn 19 in 2007,
submit proof of full-time student status (either full-time high school
or college status as applicable) by Jan. 20, 2007 to Employee Travel
Services/The Pass Bureau (mail/deliver to CH-PSB or fax to
480-693-8850). Be sure to include your name and employee number on the
verification document to avoid changes to your dependent’s travel
eligibility.
What happens if you don’t verify in time? Travel
system will turn off eligibility as of February 1, 2007. If this
happens and you really do have an unmarried full-time student
dependent who is or will be 19 in 2007, you may turn in your
documentation at any time and we will update the travel system to
reinstate travel privileges as soon as possible after that.
- An unmarried dependent who will be 19 but less than 24
years old at any time during the 2007 calendar year must be a
full-time student for at least five months of the calendar year in
order to remain eligible for unlimited free space available travel.
EMPLOYEE ACTION: No action required for right now as
we re-design and synchronize our student status verification process.
Taking no action in this situation is a change for most West employees
who are used to verifying twice a year for all student travel, as well
as for East and West employees who are used to verifying their
students once or twice a year for other benefit eligibility purposes.
At the same time, it’s important to note that you are responsible for
advising Employee Travel Services/The Pass Bureau promptly if your
student is no longer full-time, gets married or is no longer your
dependent. Don’t be caught in a random audit procedure with an
ineligible “dependent.” Do your part to keep the records straight so
we can all abide by the tax laws.
- An unmarried dependent that will turn 24 years old at any
time during the 2007 calendar year is not eligible for
unlimited free space available travel during any portion of that year
regardless of student status. This is a change to our previous policy,
which allowed full-time dependent students up to 25 years of age to be
eligible for travel privileges. The tax law changes now override that.
EMPLOYEE ACTION: No action require. Unmarried dependents that
fit this category automatically will become ineligible for free
unlimited travel privileges on February 1, 2007. It is important for
you to ensure that any planned free travel by these dependents is
complete by January 31, 2007 if travel privileges will be discontinued
as a result of reaching age 24 in 2007. There are other ways for these
ineligible dependents to travel after Feb 1 – read on to get those
details.
- For physically or mentally disabled dependents that are
not self-supporting, he or she remains eligible for travel
regardless of age or student status so long as the individual remains
your dependent for federal income tax purposes and you complete
required verification whenever needed.
EMPLOYEE ACTION: No new action required. Continue to
file the appropriate affidavit for enrolling physically or mentally
disabled dependents who are not self supporting with Employee Travel
Services/The Pass Bureau. For more information, send an email
requesting information to pass.bureau@usairways.com.
Dependent Child Status
In this communication, the word dependent child refers to an individual
– usually your child, step-child or legally adopted child – that you may
claim as a dependent on your Federal tax return. Children of a domestic
partner, although not your dependents for Federal tax purposes, are
eligible for travel under the same policies and procedures as your own
children, including eligibility for full-time student dependent status.
In this case, you also will have an imputed income liability for travel
of a domestic partner and the domestic partner’s children.
Full-Time Student Status
A full-time student is defined as a registered student at an accredited
educational institution (high school or college) attending school for a
minimum of 12 credit hours during a quarter, trimester or semester; or
be recognized by the educational institution as “full-time.” You must be
able to provide written documentation verifying full-time student status
when required to do so.
Need to Advise Employee Travel Services of a Status Change?
To advise Employee Travel Services of a change to full-time student
status for a dependent, contact the Pass Bureau at pass.bureau@usairways.com
by email or call 480-693-8717.
How Can Ineligible “Dependents” Travel Space Available After
Feb 1?
Although the tax law changes affect how certain “dependents” can receive
space available travel, there are ways for you to provide some travel
privileges to non-dependent or over-age children and students.
Employees are free to utilize their guest pass travel passes for anyone,
including children or students who become ineligible for unlimited free
space available travel privileges. Single employees also have the option
of designating as their registered guest a child over 18 who may
otherwise have become ineligible. If you are in this situation and want
to swap out an existing registered guest or authorize your over 18 child
as your registered guest even before your hire month comes up, contact
Employee Travel Services to submit the paperwork to have that happen as
we will make an exception in this case and waive the standard change
procedures for registered guests.
Future Plans for Student Status Verification Process?
Although we’ve just said you only need to take action to verify student
status for travel purposes for any child who will turn age 19 in 2007,
we are working hard to streamline the process of on-going full-time
student status verification for unmarried dependents ages 19 to 23. This
continues to be a very important function for other benefit purposes, so
don’t overlook any existing, ongoing requirements. Stay tuned for more
information. Our plan is to introduce a new synchronized student status
verification process that will incorporate verification for both travel
privileges and other benefit programs. Until that time, the changes
above will minimize the impact of travel eligibility verification
procedures on employees.
Last updated: December 28, 2006
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