Your child will be considered a qualified dependent for tax favored treatment on the UPlan Medical and/or Dental Program if he/she meets any of the following criteria:

• If your child will not have income in 2008, will not file his/her own tax return, and will be considered a dependent on your tax return.
• If your child will have income in 2008 and will file his/her own tax return, but you still take your child as a dependent on your tax return for 2008.
• If your child would qualify as your dependent for income tax purposes, except that he/she has more income than the gross income limit in 2008. (Note: Limit is $3,300 for 2007.)

Note: The income limit does not apply for determining whether a child can qualify for tax favored treatment under the UPlan Medical and/or Dental Program.

• If your child meets the IRS definition of a Qualifying Child or a Qualifying Relative as described in IRS Publication 501, Exemptions for Dependents.

Note: Your child does not need to meet the income limit under the Qualifying Relative definition to be considered a qualified dependent for tax favored treatment under the UPlan Medical and/or Dental Program.

If you will clearly not be able to take your child as a dependent on your tax returns, he/she will often not be eligible for tax favored status on the UPlan Medical and/or Dental Program. He/she will still be eligible for medical and/or dental coverage, but you will have imputed income added to your paycheck. Depending on your income and tax withholding status, this additional imputed income will result in a reduction in your biweekly net pay of $40 to $60 for both medical and dental coverage.

It is your responsibility as the employee to determine whether a dependent is considered to be a qualified or non-qualified dependent for purposes of determining whether coverage is tax favored under the Plan, and to enroll your dependent in the correct manner. Notice of any change in dependent tax status must be communicated to the University within 30 days of the change.

UPlan participants who have additional questions on the status of their dependent?s coverage should contact their own tax attorney.

Any newly eligible dependent (ages 19 through 24) on the UPlan Medical and/or Dental Program is also eligible for Child Life coverage during the 2007 Open Enrollment, without providing proof of good health. This would include:

• Any child who is a new tax favored dependent on the UPlan Medical and/or Dental Program because he/she qualifies as either being either 50% dependent on you as the employee or a student dependent. Note that your child no longer has to meet both the 50% dependency and the student test to be eligible for tax favored coverage.

  Note: In this situation, if you enroll your newly eligible child in medical and/or dental coverage and already have child life for your other children, your newly eligible child will automatically be added to child life. If you enroll your child in medical and/or dental coverage and didn?t previously have child life coverage in place, you will need to call Employee Benefits at 612-625-9090 or 1-800-756-2363, option 2, to request a paper application.

• Any child who doesn't meet the 50% dependency or the student eligibility definition can now also be covered on medical and/or dental coverage on a non-tax favored basis. This newly eligible child can also enroll in child life.

  Note: In this situation, you will need to complete a paper application for medical, dental, or child life coverage.

If your child has been covered for medical and dental coverage all along, but you had not previously elected child life coverage, he/she would not be able to add child life coverage at this time unless he/she provided proof of good health.