Dear colleagues,
The University of Arizona has received approval of the Employee Related Expense (ERE) rates for fiscal year 2025-26. The rates proposed by the university in December 2024 were approved, unchanged, by the U.S. Department of Health and Human Services Cost Allocation Services.
Below is a summary of the rates that will go into effect on July 1, 2025. The full rates chart can be viewed on this page.
ERE Group | Proposed Rates | Approved Rates |
Full Benefit Employees | 32.0% | 32.0% |
Ancillary Employees | 15.6% | 15.6% |
Student Employees | 2.0% | 2.0% |
Graduate Assistants | 13.0% | 13.0% |
About ERE Rates
As part of your budgeting and planning for FY 2025-26, ERE rates support important employee benefits such as health insurance, retirement plans, worker’s compensation, liability insurance and more.
Please remember that rates will fluctuate from year to year and any potential savings in one year should not be expected in future years. The university will continue to evaluate the ERE rates pool structure and other variables for future rate development to ensure the effectiveness of this model.
To learn more, please consult the ERE Rates and FAQs on the Finance and Budget website. For questions, contact the Cost Analysis team in the Office of Budget and Planning via email at FNSV-RateStudies@arizona.edu or call 520-621-1634.
Sincerely,
Garth Perry
Vice President of Finance & Chief Budget Officer