Payroll Benefit Services Payroll Benefit Services Procedures Guide UNIVERSITY OF

Payroll & Benefit Services Payroll & Benefit Services Procedures Guide UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Introduction Last Revised 7/ 9/2007 Payroll & Benefit Services is committed to providing Professional Resources and Quality Service, which allows our clients to make Educated Decisions. This document is designed as a professional resource to address questions commonly asked by payroll/personnel liaisons and departmental administrators. It is also intended to assist employees in better understanding payroll and benefit related topics. Please contact Payroll & Benefit Services (PBS) if you have additional questions. This Procedures Guide has been written in accordance with federal and state laws, payroll rules and policies, personnel rules, University administrative policies, and fiscal rules currently in effect. Subsequent revisions to these could cause conflicting statements. If such a situation should arise, the laws and payroll, personnel, administrative and fiscal rules and policies will always be the official documents and guides upon which a ruling will be based or an interpretation will be made. This document is a guide, not a contract. Further questions can be directed to the appropriate department or contact listed in the individual sections of this guide, or you may search for the appropriate contact by accessing the Who to Call for Help webpage at http//www.cu.edu/operations/who/ . Payroll & Benefit Services Contact Information Mailing Address: Payroll & Benefit Services 575 SYS Boulder, CO 80309-0575 General Phone: 303-735-6500 Toll Free 1-877-627-1877 Fax: 303-735-6599 Web Address: www.cu.edu/pbs Email: PayrollBenefit.Services@cu.edu PBS Information Sheet: http://www.cu.edu/pbs/downloads/pbs-info-sheet.pdf Physical Location / Delivery Address: Administrative & Research Center (ARC) 3100 Marine Street 6th Floor Boulder, CO 80303 (East Boulder Campus) Hours of Operation: 8:00 a.m. to 5:00 p.m. Monday - Friday Thank you for using this procedures guide. Your comments and suggestions are always welcome. Please contact Payroll & Benefit Services with suggestions for improving this document. Payroll & Benefit Services Page 2 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Table of Contents Last Revised 7/ 9/2007 Search Tip: If you click on the page number of the section you want to access in the Guide, it will immediately take you to that section. Introduction ......................................................................................................................... 2 Table of Contents................................................................................................................ 3 CHAPTER 1 - PAYROLL .................................................................................................... 9 Section # 1.1 Employee Topics........................................................................................... 9 1.1.1 Advice/Warrant Distribution........................................................................................ 9 1.1.2 Automobile Usage (Employee) .................................................................................. 9 1.1.3 Death of an Employee.............................................................................................. 10 1.1.4 Direct-Deposit – Mandatory for All Employees......................................................... 11 To deposit into a checking account: ..............................................................................11 To deposit into a savings account: ................................................................................12 To deposit into a money market account:......................................................................12 1.1.5 Earnings Advice ....................................................................................................... 13 1.1.6 Moving (Relocation) ................................................................................................. 14 Methods of Payment for Employee Moving Expenses ..................................................14 Reimbursement of Employee Moving Expenses Directly via the Payroll Process.........14 Taxation of Direct Expenses of Moving .........................................................................14 Taxation of Travel Expenses for Moving .......................................................................14 Coding and Processing the One-Time Payment Form ..................................................15 Payment Through the HRMS Payroll Process...............................................................15 1.1.7 Moving (Relocation) - Form 3903............................................................................. 16 1.1.8 Separation of Employment (Termination)................................................................. 16 Timing of Payment for Terminating Employees.............................................................16 Entering Termination Data.............................................................................................18 Vacation/Sick Leave Payout – Classified Staff ..............................................................18 Vacation/Sick Leave Payout – Exempt Professionals/Officers, 12-Month & Research Faculty...........................................................................................................................20 1.1.9 Social Security Number (SSN) Verification .............................................................. 23 1.1.10 Termination for Cause............................................................................................ 23 Supervisor/Department Administrator/Appointing Authority Responsibilities.................24 Department Payroll Liaison Responsibilities..................................................................24 PBS Responsibilities .....................................................................................................25 Time Frame for Final Pay With Termination For Cause ................................................25 Section # 1.2 Time Collection ........................................................................................... 25 1.2.1 Awards (For Special Recognition or Achievement).................................................. 25 1.2.2 Earnings Codes ....................................................................................................... 26 1.2.3 Late Payment of Wages........................................................................................... 27 Processing and/or Notifying PBS of a Late Payment ....................................................27 1.2.4 One Time Payment .................................................................................................. 27 One-Time Payment Earnings Codes.............................................................................28 1.2.5 Time Collection – Table of Codes ............................................................................ 30 Time Entry .....................................................................................................................30 Payroll & Benefit Services Page 3 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 One-Time Payment .......................................................................................................31 Time Entry Earnings Codes...........................................................................................31 One-Time Payment Earnings Codes.............................................................................41 1.2.6 Uniform Allowances ................................................................................................. 42 Section # 1.3 Payroll Adjustments Affecting Pay .............................................................. 42 1.3.1 Business Expenses (Taxable).................................................................................. 42 1.3.2 Complimentary Tickets and Expenses ..................................................................... 43 1.3.3 Contract Pay Adjustments........................................................................................ 44 1.3.4 Deductions ............................................................................................................... 44 1.3.5 Hand Drawn Payroll Warrants.................................................................................. 47 Hand Drawn Warrant Request Process and Form ........................................................48 Notifying Employees......................................................................................................49 Involuntary Termination and Layoffs .............................................................................49 Voluntary Termination ...................................................................................................49 1.3.6 Moving (Relocation) - Temporary Housing............................................................... 50 1.3.7 Mandatory Deductions and Contributions ................................................................ 50 1.3.8 Overpayment of Wages ........................................................................................... 55 Notice of Overpayment Adjustment...............................................................................55 Calculation of Overpayment Amount .............................................................................56 Overpayment Recovery Schedule and Process ............................................................56 Failure to Repay ............................................................................................................56 Reporting of Overpayments on Form W-2.....................................................................56 Questions and Assistance .............................................................................................56 1.3.9 Payment Errors – What to Do .................................................................................. 57 Gross Pay Error.............................................................................................................57 General Deduction Error................................................................................................57 Benefits Deduction Error ...............................................................................................57 Tax Deductions .............................................................................................................57 1.3.10 Payment of Wages Owed ...................................................................................... 57 1.3.11 Pull or Stop Payment to Prevent an Overpay......................................................... 58 Reasons for stopping an employee’s pay......................................................................58 Methods for stopping an employee’s pay ......................................................................58 Bank Advice Pull ...........................................................................................................58 Check Pull .....................................................................................................................59 Check Stop....................................................................................................................59 1.3.12 Retroactive Wage Process & Form (Correcting an Underpayment of Wages)....... 60 Calculating Retroactive Payments.................................................................................60 Suggested Best Practices .............................................................................................62 Procedures by Pay Type (Salaried or Hourly) ...............................................................62 Tax Calculation for Retroactive Payments.....................................................................63 Adjustments to Exception Pay.......................................................................................64 1.3.13 Signing Bonus – Classified Staff ............................................................................ 65 Section # 1.4 Wage Assignments ..................................................................................... 66 1.4.1 Child Support and Maintenance Orders ................................................................... 66 1.4.2 Garnishments (Wage Assignment) .......................................................................... 66 1.4.3 Tax Levies (Wage Assignment)) .............................................................................. 66 Payroll & Benefit Services Page 4 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 1.4.4 Wage Assignments .................................................................................................. 67 Section # 1.5 Finance Related Topics .............................................................................. 67 1.5.1 Encumbrances (Financial Reporting) ....................................................................... 67 Calculate Salary ............................................................................................................68 Calculate Benefits .........................................................................................................68 Calculate Taxes.............................................................................................................68 Management Tool .........................................................................................................68 1.5.2 Expenditure Controls................................................................................................ 68 1.5.3 Payroll Expense Transfers ....................................................................................... 69 PET Process Prior to 7/1/2000 ......................................................................................70 Between 7/1/00 and 03/31/03........................................................................................70 4/1/03 and Later ............................................................................................................70 1.5.4 Stale-Dated or Lost Warrants................................................................................... 71 Stale-Dated Warrants ....................................................................................................71 Lost Warrants ................................................................................................................71 Section # 1.6 Records Retention ...................................................................................... 72 1.6.1 Records Retention ................................................................................................... 72 CHAPTER 2 - HRMS ........................................................................................................ 72 2.1 Address Change (Employee) ...................................................................................... 72 Home Address...............................................................................................................73 Mail Address (for Check, Advice, W-2 Distribution).......................................................73 International (Nonresident) Employees .........................................................................73 Student Address In HRMS Versus SIS .........................................................................73 Retiree Address.............................................................................................................73 Terminated/Resigned Employee ...................................................................................74 2.2 Address Change (W-2 Address Verification)............................................................... 74 2.3 Contract Pay Set-Up ................................................................................................... 74 2.4 Department Create/Delete, Update/Change ............................................................... 76 Department Create or Delete ........................................................................................76 Department Update or Change .....................................................................................76 2.5 Financial Responsibility For Premiums For a Benefit Eligible Employee .................... 76 2.6 Employee Pay: What Stops It? .................................................................................. 76 2.7 Employee Benefit Charges: What Stops Them........................................................... 77 2.8 Human Resource Action Steps and Processes .......................................................... 78 Off-Line Action(s) – Discussions/Reviews/Decisions ....................................................78 On-Line Action(s) - Initiation (End-User)........................................................................78 On-Line Action(s) - Verification (Approval) ....................................................................78 On-Line Action(s) - Notification (Reporting and Inquire) ................................................78 2.9 Job Codes................................................................................................................... 79 Classified Staff Job Codes ............................................................................................79 University Job Codes ....................................................................................................79 2.10 Person Model............................................................................................................ 79 2.11 Payroll Calendars...................................................................................................... 80 2.12 Payroll Register Report (Warrant/Advice) .............................................................. 81 2.13 Personnel Effort Report (PER).................................................................................. 82 2.14 Primary Job............................................................................................................... 82 Payroll & Benefit Services Page 5 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 2.15 Reports and Reviews (Accessing Data) in HRMS .................................................... 83 2.16 Security Access Coordinator - HRMS ....................................................................... 84 2.17 Security Operator Classes ........................................................................................ 84 2.18 Short Work Break (SWB) .......................................................................................... 84 2.19 Stopping Employee Pay............................................................................................ 85 2.20 Suspense: What Is It? What Causes It and How to Prevent It? ................................ 85 2.21 Training for HRMS .................................................................................................... 86 2.22 Multiple Components of Pay ..................................................................................... 87 CHAPTER 3 – TAX & TAX FORMS.................................................................................. 88 3.1 Additional Tax Withholding.......................................................................................... 88 3.2 Colorado Tax Exemption............................................................................................. 88 3.3 Occupational Privilege Tax (OPT)............................................................................... 88 CU as the Secondary Employer ....................................................................................89 CU as the Primary Employer .........................................................................................89 3.4 Tax Calculations ......................................................................................................... 90 Federal and State Tax Calculations By Type of Payment .............................................91 Federal Tax Table .........................................................................................................91 State Tax Table .............................................................................................................91 Federal Supplemental Tax Rate....................................................................................91 State Supplemental Tax Rate........................................................................................92 3.5 1042-S (Nonresident International Employee Tax Statement) .................................... 92 3.6 1099-R and 1099-MISC .............................................................................................. 92 3.7 Form 8233 (Nonresident Alien Tax) ............................................................................ 93 3.8 W-4 Form .................................................................................................................... 93 3.9 W-5 (Earned Income Credit) ....................................................................................... 95 CHAPTER 4 - BENEFITS ................................................................................................. 96 4.1 Benefits (Insurances, etc.) and Benefits Billing ........................................................... 96 Insurance.......................................................................................................................96 Benefits Billing...............................................................................................................96 Employee ......................................................................................................................96 Retiree...........................................................................................................................96 4.2 Flexible Spending ....................................................................................................... 97 4.3 PERA Member Information Form................................................................................ 97 4.4 PERA Final Six Months’ Salary Report ....................................................................... 98 4.5 Retiree Data................................................................................................................ 98 4.6 Retirees Returning to Work......................................................................................... 99 Retirees Returning to Work in a Benefits Eligible Position ..........................................100 Retirees Returning To Work In a Non-Benefits Eligible Position .................................100 4.7 Stopping Employee Benefits ..................................................................................... 100 4.8 Student Retirement Plan ........................................................................................... 101 Plan Information ..........................................................................................................101 Voluntary Elections In Student Retirement, 403(b), or 457..........................................101 Student Employees Who Consistently Work 80 Hours or More ..................................101 Student Retirement Interface Process (HRMS TO SIS) ..............................................102 Importance of Monitoring Student Appointments.........................................................102 Non-Resident Aliens....................................................................................................103 Payroll & Benefit Services Page 6 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Pre-Doctoral and Post-Doctoral Trainees....................................................................103 Withdrawal of Student Retirement Contributions.........................................................103 CHAPTER 5 – HUMAN RESOURCES ........................................................................... 104 5.1 Holidays ................................................................................................................... 104 Alternate Holiday Schedules .......................................................................................104 Holiday Leave for Flex Schedules ...............................................................................104 Part-Time Holiday Leave .............................................................................................105 5.2 Employment Groups – Campus Offices to Contact................................................... 105 5.3 Inclement Weather.................................................................................................... 105 5.4 Job Searches and Recruitment................................................................................. 105 5.5 Training for Jobs at CU ............................................................................................. 106 5.6 Fair Labor Standards Act (FLSA).............................................................................. 107 Record Keeping Requirements ...................................................................................108 Basic Wage Standards-Minimum Wage ......................................................................109 The FLSA Exemption Process ....................................................................................109 Overtime Pay and Compensatory Time Definition.......................................................109 Overtime Pay...............................................................................................................109 Exception for Essential Services Positions..................................................................110 Compensatory Time ....................................................................................................110 5.7 Overtime Eligible Employment .................................................................................. 111 5.8 New Employees ........................................................................................................ 112 Employee Checklists ...................................................................................................112 5.9 Nonresident Employees (International Employees) .................................................. 113 5.10 Phone Directory Information ................................................................................... 114 5.11 Reporting Period – Employees Paid Monthly.......................................................... 115 Regular Hours Worked ................................................................................................115 Exception Hours ..........................................................................................................115 Leave Usage ...............................................................................................................115 5.12 Reporting Period - Employees Paid Biweekly ......................................................... 115 CHAPTER 6 - LEAVE ..................................................................................................... 116 6.1 Family Medical Leave Act (FMLA) ............................................................................ 116 6.2 Jury Leave ................................................................................................................ 116 State Classified Employees with Permanent Job Appointments .................................117 State Classified Employees with Temporary Job Appointments..................................117 12-Month Faculty and Professional Exempt Employees .............................................117 Student Employees .....................................................................................................118 Faculty Employees with Academic Year Appointments...............................................119 6.3 Leave of Absence with Pay....................................................................................... 120 6.4 Leave of Absence without Pay.................................................................................. 120 LOA Requirements......................................................................................................120 6.5 Leave Sharing........................................................................................................... 121 6.6 Parental Leave Due to Childbirth/Adoption ............................................................... 122 State Classified ...........................................................................................................122 Officers and Professional Exempt ...............................................................................122 Faculty.........................................................................................................................122 6.7 Vacation and Sick Leave........................................................................................... 122 Payroll & Benefit Services Page 7 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 6.8 Vacation and Sick Leave – Classified Staff............................................................... 123 Accruals for Classified Staff.........................................................................................123 Leave Accrual in the Human Resources Management System...................................124 Calculation for Classified Staff Vacation and Sick Leave ............................................124 Recording Classified Staff Vacation and Sick Leave...................................................125 Vacation/Sick Conversion for Classified Staff..............................................................126 Vacation hours that exceed the maximum accrual allowed .........................................126 Sick leave balances that exceed the maximum accrual allowed .................................126 6.9 Vacation and Sick Leave – Exempt Professionals / Others ...................................... 127 Accruals for Exempt Professional Staff .......................................................................127 Calculation for Exempt Professional Staff Vacation and Sick Leave ...........................128 Recording Exempt Professional Staff Vacation and Sick Leave..................................128 Vacation/Sick Conversion for Exempt Professional Staff ............................................129 6.10 Employee Work/Leave Record ............................................................................... 130 Monthly certification statement ....................................................................................130 Biweekly certification statement ..................................................................................131 Rounding of Overtime Hours .......................................................................................131 CHAPTER 7 – CAMPUS SPECIFIC RESOURCES ....................................................... 132 7.1 Business Process Maps............................................................................................ 132 7.2 Campus Personnel Directories ................................................................................. 132 7.3 Forms........................................................................................................................ 132 7.4 Mailing Labels ........................................................................................................... 133 7.5 Staff Directories ........................................................................................................ 133 7.6 University Risk Management .................................................................................... 133 7.7 Verification of Employment and Compensation ........................................................ 134 7.8 Who to Call for Help .................................................................................................. 134 7.9 Workers’ Compensation (Risk Management)............................................................ 134 Index ............................................................................................................................... 136 Payroll & Benefit Services Page 8 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide CHAPTER 1 - PAYROLL Section # 1.1 Employee Topics 1.1.1 Advice/Warrant Distribution Last Revised 7/ 9/2007 One business day before payday the payroll advice (notice of deposit) and/or warrant (check) are mailed to the employee’s mailing address (this is also where the W-2 and 1042-S are mailed). In addition, employees with direct deposit may view their pay advice information online on payday through their campus portals. UCB: Link to CUConnect at https://cuconnect.colorado.edu/uPortal/. For assistance in accessing this portal, employees may call CUConnect at 303-735-HELP (4357) or send an e-mail to help@colorado.edu). UCDHSC, UCCS, System: Link to myCU at https://my.cu.edu/. For assistance with myCU, please call 303-492-9999 or send an e-mail to mycu@cusys.edu. For more information, see Section # 1.1.5 Earnings Advice and # 2.12 Payroll Register Report (Warrant/Advice) in this guide. Rev. 10-31-06 1.1.2 Automobile Usage (Employee) The University provides employees with the use of an automobile for business related purposes. Examples include individual and group travel to attend a meeting, workshop, or conference. For more information see the University administrative policy statement, Use of University-owned Automobiles at http://www.cu.edu/~policies/Fiscal/univautos.html. The University president, vice presidents and campus chancellors may be eligible for a monthly automobile allowance as authorized by the Board of Regents. See Regents Policy 11-G https://www.cu.edu/regents/Policies/Policy11G.htm for more information. These payments are initiated and/or updated via memorandum from the Office of the Associate Vice President for Human Resources. Please contact Payroll & Benefit Services to set up this type of automobile allowance for the employee. University policy discourages use of University-owned vehicles for personal use. If personal use occurs, the employee must fully reimburse their department for the cost of such use. If not fully reimbursed, the full valuation of the vehicle for the month in which the utilization occurs will be added to the employee’s gross taxable earnings. The University administrative policy on personal usage is available at http://www.cu.edu/~policies/Fiscal/univautos.html. Payroll & Benefit Services Page 9 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Contact the Office of University Risk Management for automobile usage guidelines and procedures at http://urm.colorado.edu/ or call 303-492-1901. Rev. 6-18-07 1.1.3 Death of an Employee Campus departments, family member(s) or legal representative(s) of the deceased employee should contact PBS immediately upon the death of an employee1.1. (or a retiree of the department, if known). Immediate notification is essential to avoid incorrect payments and tax reporting problems. Compensation still owed a deceased employee, including a payout of eligible leave hours (up to the employee’s maximum payout balances), is paid to the employee’s estate and must not be reported on the employee’s W-2. IRS guidelines prohibit any final payments made through payroll in the name of the deceased employee. Should payment be made to a deceased employee after the date of death (due to lack of timely notification), PBS is required to recover the payment and reissue it per IRS guidelines. Family member(s) or legal representative(s) must provide PBS with the following three items as soon as possible: • • • Copy of notarized death certificate Legal documentation with the name and address of the executor of the estate W-9 In addition, all applicable insurance information must be completed by the appropriate legal representative. PBS benefit counselors will assist the department, family or legal representative(s) with these insurance forms. Campus departments must terminate the employee in HRMS. The effective date of termination shall be the day after the employee’s date of death. Departments must also confirm and forward the final pay information to PBS via hand drawn warrant request, including leave payout hours and any adjustments to final pay. PBS will confirm termination of the employee in HRMS to prevent an overpayment and will process final payment after receiving all completed paperwork from the campus department and family or legal representative(s). Time permitting, PBS will intercept any pay generated but not yet received by the deceased employee so that it can be reissued correctly to the estate. Any payment that cannot be intercepted must be recovered as an overpayment from the estate so it can be credited to the employee’s W-2 and reissued correctly to the estate. PBS will also serve as a liaison with insurance carriers (if applicable), maintain tax compliance, and report final payments to appropriate federal and state regulatory agencies. Rev. 10-31-06 Payroll & Benefit Services Page 10 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 1.1.4 Direct-Deposit – Mandatory for All Employees Direct deposit for net wage payments is mandatory for all employees at the University of Colorado. The Payroll – Mandatory Direct Deposit policy was approved by the Office of the Vice President for Budget & Finance with an effective date of July 1, 2000. Full enforcement of the Payroll – Mandatory Direct Deposit Policy was approved by the University of Colorado HR Operations Advisory Group with an effective date of September 1, 2002. This policy can be reviewed at http://www.cu.edu/policies/Fiscal/payroll.html. Deposits can be routed to most banks, savings and loans, credit unions and other financial institutions throughout the continental United States, if the institutions are members of the National Automated Clearing House Association (NACHA). Deposits cannot be routed to foreign banks or to Hawaii, Alaska, or Puerto Rico. Employees may request their net wage payment be deposited into up to three financial institutions or accounts. For all new hires, direct deposit is required unless the employee is hired for a period of fewer than ninety (90) days, they are unable to open a bank account, or they do not live or work in a location near a bank or ATM. Exemption provisions are included in the policy statement for employees who meet these conditions. For UCB, UCCS, and UCDHSC employees this exemption requires approval signatures by both the employee’s supervisor and the campus controller. For system administration (SYS) employees, the required approval signatures are the employee’s supervisor and the university system controller. The Exemption Form (Application for Exemption From Payroll Direct Deposit)1.1.4 is located on the PBS website at http://www.cusys.edu/pbs/forms/downloads/Direct_Deposit.xls. Forward this completed form, including immediate supervisor signature and campus controller signature (university controller signature for System employees), to PBS. The PBS Payroll Direct Deposit Application Form is available on the PBS website’s forms list http://www.cusys.edu/pbs/forms/ or directly at http://www.cusys.edu/pbs/forms/downloads/Direct_Deposit_auth.xls . Departments should provide all new employees with a copy of the Payroll Direct Deposit Application Form so that their employees may authorize the appropriate financial institution to receive their direct deposit. Employees should send their completed Payroll Direct Deposit Application Form, along with all required documentation, to PBS for processing. Employees must complete and submit to PBS the PBS Payroll Direct Deposit Application Form and attach the appropriate documentation, based upon account type, as follows: To deposit into a checking account: Employees should attach a voided check for their selected checking account(s). A voided check, rather than a deposit slip, is required because the check includes correct banking Payroll & Benefit Services Page 11 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 system routing numbers, while the deposit slip may have internal routing numbers which do not work for direct deposit. A direct deposit information sheet issued directly by the financial institution for the selected checking account, which contains both routing and account numbers in the correct format for ACH (Automated Clearing House) direct deposit, may be used in lieu of a voided check. To deposit into a savings account: Employees should attach a direct deposit information sheet issued directly by the financial institution for their selected savings account(s). The form must contain both routing and account numbers in the correct format for direct deposit. For some savings accounts a copy of the savings account wallet card, provided by the financial institution and containing both routing number and account number in the correct format for direct deposit, will also work. Check with your bank prior to submitting this card as documentation. Do not attach a savings deposit slip, since many of these show internal routing numbers and/or account numbers instead of ACH compatible numbers and will not work for direct deposit purposes. To deposit into a money market account: Employees should attach a direct deposit information sheet issued directly by the financial institution for the selected money market account(s). The form must contain both routing and account numbers in the correct format for direct deposit. Do not attach a money market check or deposit slip, since many of these show internal routing and/or account numbers instead of ACH compatible numbers and will not work for direct deposit purposes. Employees are responsible for keeping their financial information current. If a deposit must be returned due to a closed account, employees can expect a delay in the reissuing of those funds. Employees are also responsible for verifying that their direct deposit requests have been processed correctly by reviewing their pay advice and/or calling their financial institution to confirm receipt of funds. The university is not responsible for any overdraft charges if funds are not deposited as expected. If employees wish to change their account designation, they must submit a new PBS Payroll Direct Deposit Application Form with the updated information. Each new Direct Deposit form submitted overrides the information from the previously submitted form, so it is important to fill out each account request completely and to attach the required documentation for each account (up to three accounts are available). Employees should leave their old account(s) open until after the first wage payment has been deposited to the new account(s) whenever possible. Deposits are made electronically through the Federal Banking System, which minimizes the processing time. Funds will be transmitted to the employee’s designated financial institution(s) by payday and posted to the employee’s account by the individual financial institution(s) according to the financial institution’s established posting schedule. The employee’s bank determines when the funds are actually available in the employee’s account(s). Direct deposit reduces the potential for lost warrants, as well as theft or Payroll & Benefit Services Page 12 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 forgery. A detailed earnings advice will be sent to the employee’s mailing address one day before payday and is expected to arrive in the employee’s mailbox on payday. Employees can also access their pay advice on payday via campus portals as noted below. UCB: https://cuconnect.colorado.edu UCCS, UCDHSC, System Administration: https://my.cu.edu With the implementation of mandatory direct deposit, payroll warrants (checks) that are lost in the mail will require at least ten (10) business days before reissue. The 10-day period provides adequate time for the US Postal Service to deliver the warrant. Employees should contact their department payroll liaison to request reissue of a lost check. Rev. 10-31-06 1.1.5 Earnings Advice Employees with a wage payment will receive an earnings advice via U.S. Mail at the MAILING address recorded in the HRMS system for each payday. The earnings advice (or warrant with earnings information included) is mailed the day prior to payday. Employees are encouraged to retain and secure their earnings advice for future reference. Employees may also view and print their earnings advice through the campus portals listed below. UCB: https://cuconnect.colorado.edu/uPortal/ UCCS, UCDHSC, and System: https://my.cu.edu// Advices will be available for printing on each payday. Previous advices are also available for reprinting, starting from January 2004 to the current pay date. Employees should regularly review the information printed on the earnings advice, particularly when expecting a change in wages, additional pay such as overtime, changes to deductions and any direct deposit changes. If errors are noted, please review Section # 1.3.9 Payment Errors - What to Do in this guide. Rev. 10-31-06 Payroll & Benefit Services Page 13 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 1.1.6 Moving (Relocation) Last Revised 7/ 9/2007 The University may provide reimbursement for moving expenses to eligible employees. Departments are responsible for informing eligible employees of the amount to be reimbursed and of University and campus procedures to ensure compliance with IRS guidelines. Information is available in the University of Colorado Procurement Service Center – Purchasing Services guidelines for purchasing third party moving, How To Buy Moving Services, located at http://www.cu.edu/psc/departments/commodities/ and in IRS Publication 521, Moving Expenses at http://www.irs.gov/pub/irs-pdf/p521.pdf. Methods of Payment for Employee Moving Expenses Employees are reimbursed for some personal moving expenses, either directly through the payroll process (Time Collection) or indirectly by payment to a third party (moving company) through accounts payable. Only those expenses that qualify as eligible can be reimbursed. Amounts paid to third parties through accounts payable for direct expenses of moving employees are not reported on the employee’s W-2 (e.g. direct payments to a moving company paid by Procurement Service Center - Accounts Payable). Reimbursement of Employee Moving Expenses Directly via the Payroll Process For amounts reimbursed to employees directly through the payroll process, itemized original receipts (no credit card slips) must be submitted and retained at the departmental level to establish proper substantiation of moving expenses. For tax purposes, failure by employees to properly substantiate moving expenses results in the entire reimbursement being taxable to employees as wages, subject to applicable payroll taxes and withholding. Taxation of Direct Expenses of Moving With proper substantiation, amounts paid for the direct expenses of moving, including expenses to pack, crate, and move household goods and personal effects, are excludable from taxable income (i.e., non-taxable). This could include amounts paid to store and insure household goods and personal effects within any period of 30 consecutive days after the items were moved from the old home and before they were delivered to the new home. Employees may be reimbursed for direct moving expenses that are taxable as wages to employees and subject to applicable payroll taxes and withholding. For example, if storage costs for more than 30 consecutive days after moving are paid in conjunction with a move, only storage costs for 30 days are excludable for tax purposes. Reimbursements for any additional days in storage are taxable to employees as wages and subject to applicable payroll taxes and withholding. Taxation of Travel Expenses for Moving With proper substantiation, some amounts paid to travel from the old home to the new home - including travel costs for the day of arrival - are excludable from taxable income. Although not all the members of the household have to travel together or at the same time, only one trip per person can be excluded. Excludable expenses include lodging on Payroll & Benefit Services Page 14 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 the way from the old to the new home, and transportation expenses measured by either (1) actual out-of-pocket expenses for gas and oil, or (2) mileage at the rate of 20 cents per mile, effective 1/1/2007. Parking fees and tolls can be added to the amount claimed for transportation under either method. Campus policies and procedures may allow reimbursement for travel expenses in conjunction with moving that are taxable to employees as wages, subject to applicable payroll taxes and withholding. Some examples of these expenses include reimbursements for employees’ closing costs in conjunction with the sale of the old home (not a permitted reimbursement at UCDHSC), temporary living expenses in conjunction with the move, house-hunting trips, and meals in transit. Additionally, mileage may be reimbursed to employees in the amount allowed at the time of the move by the State Fiscal Rules. For 2007 the state’s allowable mileage amount is 33 cents per mile (rate is subject to change annually). However, effective 1/1/2007 for moving expense mileage, only 20 cents per mile is excludable for tax purposes. The remaining 13 cents per mile is taxable to (Moving employees as wages, subject to applicable payroll taxes and withholding. The Moving Reimbursement Expense worksheets were developed to help differentiate between taxable and nontaxable moving expenses. These will assist you in appropriate reporting and documentation of your moving expense receipts. Moving Reimbursement Expense worksheets are available on the PBS website: Non-taxable: http://www.cusys.edu/pbs/forms/downloads/MovingExpenseNonTaxable-MVN.xls Taxable: http://www.cusys.edu/pbs/forms/downloads/MovingExpenseTaxable-MVT.xls Coding and Processing the One-Time Payment Form Once a determination has been made at the departmental level regarding the tax character of the expenses, payment of moving expenses to employees through HRMS is accomplished via the One-Time Payment form (OTP). Moving expenses are coded on the One-Time Payment form using either the 'MVT' - Taxable) earnings code or 'MVN' (Moving - Non-Taxable) earnings code. The blank OTP form is available on the PBS website at http://www.cusys.edu/pbs/forms/. For UCDHSC employees, use the HSC campus specific form at http://www.cusys.edu/pbs/forms/downloads/hsc/HSC_OneTimePayment.xls. OneTime Payment forms must be routed for off-line campus approval prior to entering them in HRMS. Payment Through the HRMS Payroll Process Once approved at the campus level, the actual payment is entered in HRMS Time Collection, EE Data - One-Time Payment page. See the appropriate Step-by-Step Guide https://www.cusys.edu/pbs/hrms/resources/sbs.html (Time Collection > Entering a One Time Payment) for assistance. They are entered in HRMS Time Collection using a One Time Payment Batch and are paid on the employees’ next regularly scheduled payday. Federal supplemental withholding of 25 percent and state supplemental withholding of 4.63 percent will be Payroll & Benefit Services Page 15 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 automatically taken from MVT payments. Also, employees subject to Medicare tax and/or OASDI (FICA - Social Security) will have these amounts deducted from MVT moving expense payments. MVT is not subject to employee deductions or employer contributions for any retirement plans. Note: To successfully process moving expense reimbursements in Time Collection, the employee’s appointment must first be entered and approved in HRMS and it must be current and active. For more information about University relocation procedures see Section #1.1.7 Moving (Relocation) – Form 3903 and Section # 1.3.6 Moving (Relocation) – Temporary Housing in this guide Rev. 6-18-07 1.1.7 Moving (Relocation) - Form 3903 Employees may use this form to determine whether or not they can claim additional moving expense deductions when filing their income tax return. Form 3903 summarizes the total cost for transportation, storage, and lodging minus the amount reimbursed from the employer. This amount may be used as an additional income tax deduction. To determine whether or not they can claim an additional moving expense deduction, the employee should contact the Internal Revenue Service or their tax advisor. For more information about University relocation procedures see Section #1.1.6 Moving (Relocation) and Section # 1.3.6 Moving (Relocation) – Temporary Housing in this guide. The IRS Form 3903 - Moving Expenses is available at http://www.irs.gov/pub/irs-pdf/f3903.pdf . Rev. 10-31-06 1.1.8 Separation of Employment (Termination) Timing of Payment for Terminating Employees Separation (termination) actions must be completed in a timely fashion and must comply with State Fiscal Rule 9-3, .01, available at http://www.colorado.gov/dpa/dfp/sco/FiscalRules/7-106/ch9.pdf. To comply with this rule, campus departments should process all final pay in the employee’s final month of employment. For most terminating employees, all final pay, including salary, overtime, one-time payments, and payment for all appropriate leave balances, will be included on the employee’s final regular pay date. If this is not possible, departments should submit a hand drawn request rather than attempting to process final pay items in Time Collection after the employee’s job(s) has been terminated. Employees who are terminated involuntarily are entitled to receive their final payment within six business hours of delivery of the notice of termination. To meet this Payroll & Benefit Services Page 16 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 requirement, departments must notify PBS in advance of the involuntary termination so that sufficient time is available for preparation of a hand drawn check for final pay. Processing may be delayed if HRMS is not available. See Section # 1.1.10 Termination for Cause in this guide for additional information. Upon completion of employment, the department is responsible for terminating the employees’ jobs in the HRMS system if the employee terminates prior to the appointment end date in HRMS. Prior to the campus appointment approval deadline the department should enter a separation (termination) action in HRMS for the job record the employee is leaving. If the department does not enter the termination for the employee during the monthly or bi-weekly pay period in which the appointment end date falls, HRMS will do it during payroll processing, using the automatic termination process. For detailed information regarding this process, see http://www.cu.edu/pbs/hrms/resources/downloads/AutoTermination-Process.pdf. Some employees have more than one job within the University. Only those jobs in which the employee is actively working should show an active status in the job records. All jobs from which the employee has separated (terminated) should show a terminated status in the job records; if they do not, then benefits (if benefits eligible) and charges will be assessed the employee and the department, i.e. the employee and the department are responsible for payment of premiums. For an individual to be separated (terminated) from ALL University employment, ALL employee (job) records must be in a terminated status. If they are not, the employee and the department are responsible for payment of any premiums. Failure to terminate benefits-eligible employees from their job record(s) allows for continued benefits as well as access to University offices, computing systems, resources and programs, even though the individual is no longer eligible. Departments can avoid having their employee job records automatically terminated by entering information on that job record to reappoint the employee (extend the appointment end date), or by placing the job record on either a Short Work Break (SWB) or Leave of Absence (LOA or LWOP) status. It is important to note, however, that it is the sole responsibility of the department to take one of these actions to avoid having that employee’s job record(s) terminated by the system. Please be aware that placing an employee on leave of absence may require management approval. Check with your dean/director for specific policies. Note: Putting an employee on SWB is a valid choice IF the department knows that the employee is going to return to active employment in that job, and IF the employee is eligible to receive benefits (paid by the employee and the department) while on SWB. Employment Data Page Information: If the employee has been terminated and is rehired later, HRMS resets the Termination Date and Last Date Worked fields on the Employment Data page to blank and enters a rehire date. Employment data pages are not effective dated, i.e. they only have one row of data and cannot store history. If you have terminated this employee more than once, you will see only the last occurrence of the Payroll & Benefit Services Page 17 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 termination. It also means that if you rehire an employee and enter a future effective date, the system clears out the termination date and last date worked on the Employment Data page and you will not see the latest termination information. Note: Job history is not lost, just unavailable on the Employment Data page. To see job history, go to all other pages within the job data component. Entering Termination Data Terminations in HRMS are processed using one screen (Work Location), which is used to record the effective date, action, and reason for the termination. The effective date of termination will be the first day the employee is no longer working for the University, i.e. the day after the last day worked. If termination is due to the death of an employee, the effective date of the termination is the day after the employee’s date of death. Employment data pages are updated as a result of entering a termination. If the termination reason of death is recorded, the Eligibility/Identity page will also be updated with the actual date of death. Note: For employees participating in CU benefit plans, deductions and benefit charges are taken from an employee’s pay one month in advance. If an employee notifies PBS by the 10th of the month of his/her separation, deductions and/or benefits may be cancelled/waived for the following month’s coverage. Once an employee receives his/her final warrant or advice, the deductions and/or benefits taken from final pay will not be refunded to the employee. In addition, if the employee chooses to cancel/waive his/her benefits, all benefits must be cancelled/waived – no partial cancellation will be granted. For employees participating in State of Colorado benefit plans, deductions are taken at the end of the month in which coverage is received (they are not taken in advance). Final deductions/contributions must be taken on the employee’s final pay to cover the final month worked, and cannot be waived or refunded later. Vacation/Sick Leave Payout – Classified Staff Vacation Leave Payout for Classified Staff: Employees with a vacation leave balance as of their date of termination are to be paid for the total accrued hours, but only up to the eligible maximum balance. Hours exceeding the maximum allowed balance cannot be paid at termination. Maximum allowed vacation balance for state classified employees is usually two years worth of accruals. For example, if your accrual rate is 10 hours per month, your maximum eligible balance for payout is 240 hours. (See the chart located in the Vacation and Sick Leave section of this guide.) For the employee’s final regularly scheduled system-generated check the employing department enters the number of hours in Time Collection using the earnings code of VCT (vacation leave hours at termination). Federal and state taxes are withheld at the supplemental tax rate. Medicare tax if applicable and PERA retirement will be deducted. Payroll & Benefit Services Page 18 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide • Last Revised 7/ 9/2007 Time Collection will calculate the value of the vacation leave payout using the annualized hourly rate (for 100 percent employees, annual salary divided by 2,080 hours) for the employee’s appointment multiplied by the hours entered. In HRMS, this pay rate is shown on the compensation page in job data. If the vacation payout (up to the maximum balance allowed) is not included on the employee’s final regularly scheduled check, it must be requested by submitting a Hand Drawn Warrant Request. DO NOT ATTEMPT TO PAY IT VIA TIME COLLECTION THE NEXT MONTH – IT MAY CREATE DEDUCTION PROBLEMS. Important Exception For Termination Due to Death: For termination due to death, do not pay any vacation payout via Time Collection. The payment must be requested by submitting a Hand Drawn Warrant Request to PBS. These payments must be paid to the estate and are not included on the deceased employee’s W-2. • • Sick Leave Payout for Classified Staff: Employees who terminate from the University and meet PERA age and service requirements for a full or reduced retirement (regular service retirement or permanent disability retirement) are eligible for a partial payout of unused sick leave when they resign, retire, or terminate from the University. PERA is responsible for determining retirement eligibility. The maximum allowed payout for sick is twenty-five percent of the unused current balance up to the maximum eligible sick balance. For state classified employees hired July 1, 1988 or later the maximum eligible sick leave balance allowed is 360 hours (45 days). For employees who had a frozen sick balance on June 30, 1988 the maximum accrual may be higher than 360 hours (it will equal 360 plus the frozen sick balance). Twenty-five percent of the employee’s remaining balance (up to their maximum allowed) at termination will be paid out. It is the responsibility of the department to insure eligibility before processing the payout. No payment of sick leave may occur unless age and service requirements for retirement eligibility are met. (Exception: In the event of an employee’s death, the retirement eligibility requirement is waived.) Reminder: When submitting Sick Leave at Separation (SKS), remember that you must do the calculation to determine the twenty-five percent of total balance. If you submit the employee’s total sick balance, s/he will be grossly overpaid and will be required to repay the amount overpaid Payout calculation (excluding termination due to death – see below): For the employee’s final regularly scheduled system-generated check, the employing department enters the calculated twenty-five percent of eligible hours in Time Collection using earnings code SKS (sick leave hours at separation). Federal and state taxes are withheld at the supplemental tax rate. Medicare tax will be deducted, if applicable. No retirement is deducted. Payroll & Benefit Services Page 19 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide • Last Revised 7/ 9/2007 Time Collection will calculate the value of the sick leave payout using the annualized hourly rate for the employee's appointment (the annual salary divided by 2,080 hours) multiplied by the hours entered. Note that for employees with less than 100 percent of time this same annualized hourly rate will be used, since the hours were already prorated based on the lower percent of time as they accrued. If the one-fourth sick leave payout (subject to the maximum eligible sick balance for the employee) is not included on the employee’s final check, it must be requested by submitting a Hand Drawn Warrant Request. DO NOT ATTEMPT TO PAY IT VIA TIME COLLECTION THE NEXT MONTH – IT MAY CREATE DEDUCTION PROBLEMS. Important Exception For Termination Due to Death: For termination due to death, do not pay any sick payout via Time Collection. The payment must be requested by submitting a Hand Drawn Warrant Request to PBS. These payments must be paid to the estate and are not included on the deceased employee’s W-2. • • Vacation/Sick Leave Payout – Exempt Professionals/Officers, 12-Month & Research Faculty (For this section only, these employment categories will be referred to as Exempt Professionals.) Vacation Leave Payout for Exempt Professionals: Employees with a vacation leave balance as of their date of retirement or termination are to be paid for the total accrued hours, but only up to the eligible maximum balance. Hours exceeding the maximum allowed balance cannot be paid at termination. The maximum allowed payout for vacation at termination/retirement is the employee’s current unused balance, up to a maximum of 352 hours (14.67 hours per month times 24 months). Employees are encouraged to check with their campus Leave Bank manager to determine whether excess hours may be donated to the Leave Bank prior to payout. (Note: Some campus departments may have a reduced maximum accrual provision. Please check with your department chair, dean or director.) For the employee’s final regularly scheduled system-generated check, the employing department enters the number of hours to be paid into Time Collection (see exception listed below) using the earnings code of VCT (vacation leave hours at termination). Federal and state taxes are withheld at the supplemental tax rate. This payment is also subject to retirement, OASDI, and Medicare tax as applicable. • An exempt professional employee who transfers to an academic year appointment is eligible for payment of unused vacation leave at the time of termination from the exempt appointment, subject to the maximum limits above. Payroll & Benefit Services Page 20 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide • Last Revised 7/ 9/2007 Time Collection will calculate the value of the vacation leave payout using the annualized hourly rate for the employee's appointment multiplied by the hours entered. For 100 percent employees, the annualized hourly rate will be the annual salary divided by 2,080 hours. This pay rate is shown in HRMS on the job data compensation panel. If the vacation payout (up to the maximum balance allowed) is not included on the employee’s final check, it must be requested by submitting a Hand Drawn Warrant Request. DO NOT ATTEMPT TO PAY IT VIA TIME COLLECTION THE NEXT MONTH – IT MAY CREATE DEDUCTION PROBLEMS. Important Exception for Termination Due to Death: For termination due to death, do not pay any vacation payout via Time Collection. The payment must be requested by submitting a Hand Drawn Warrant Request to PBS. These payments must be paid to the estate and are not included on the deceased employee’s W-2. • • Sick Leave Payout for Exempt Professionals: Based on the criteria for their respective retirement plans (CU Faculty/Exempt Professional Optional Retirement Plan or PERA), employees who meet age and service requirements for a full or reduced retirement are eligible for a payout of unused sick leave when they resign, retire, or terminate from the University. (For exempt professionals retiring under PERA, PERA age and service requirements will apply.) The maximum allowed payout for sick is one-fourth of the unused current balance, up to a maximum of 240 hours payable (one-quarter of the 960 hours/120 days maximum hours allowed). See Regent Policy 11-H. II.C http://www.cusys.edu/regents/Policies/Policy11H.htm for applicable exceptions. No payment of sick leave may occur unless age and service requirements for retirement eligibility are met. (Exception: In the event of an employee’s death, the retirement eligibility requirement is waived, and the employee’s estate may be paid for one-fourth of the unused sick balance, up to a maximum of 960 hours [120 days].) FROZEN SICK LEAVE BALANCES: Regents Policy 11-H. II. C., effective 05/01/01, Compensation for Unused Sick Leave / 3) Grandfather Clause has put a cap on the amount of sick leave that may be paid. The cap is 25 percent at the time of retirement or an employee’s death, with a maximum is 960 hours (120 days). The grandfather clause states: Employees whose unused sick leave was in excess of 120 days on May 2, 2001, are eligible to receive payment for 25% of that sick leave balance or any unused portion of the balance when they terminate, if they meet the age and service requirements for retirement (or upon death). In order to track employees that had a sick leave balance greater than 960 hours (120 days) as of May 1, 2001, PBS has created a Frozen Sick Leave balance. This balance is informational only and will assist in determining the sick leave payoff at retirement or death of an employee. Payroll & Benefit Services Page 21 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 The frozen sick leave balances will appear on the July payroll register accounting report with an earnings code of FZS (frozen sick leave). Although the FZS earnings code does have a dollar amount associated with it, that amount will not be paid to the employee. The dollar amount reflects the estimated potential value of the frozen sick leave hours based on the employee’s current salary. Examples: • Dr. Smith had 1500 hours of sick accrued as of May 1, 2001. In August 2006 he retires with a sick balance of 1600 hours. The sick leave at retirement payout would be twenty-five percent of 1500, not 1600. He receives twenty-five percent of the balance available to him on May 1, 2001. • Dr. Jones had 900 hours of sick accrued as of May 1, 2001. By the time he retires in August 2006, his balance is 1000 hours. His sick leave at retirement payout would be twenty-five percent of 960 hours, since that is the maximum that may be paid when the employee had less than 960 hours of accrual as of May 1, 2001. Dr. Davis has 1000 hours of sick accrued as of May 1, 2001. Over the next few years he uses a large number of sick leave hours and his balance is 700 hours at retirement. His sick leave payout at retirement would be twenty-five percent of 700 hours. • Reminder: When submitting Sick Leave at Separation (SKS), remember that you must do the calculation to determine the twenty-five percent of total balance. If you submit the employee’s total sick balance, s/he will be grossly overpaid and will be required to repay the amount overpaid. For the final pay period, the employing department enters the calculated twenty-five percent of eligible hours in Time Collection (see exception below) using earnings code SKS (sick leave hours at separation). Federal and state taxes are withheld at the supplemental tax rate. OASDI and Medicare tax will be deducted, if applicable. No retirement is deducted. • A twelve-month employee who transfers to an academic year appointment is eligible for payment of unused sick leave (payment limits as indicated above) at the time he/she terminates his/her 12-month appointment, but only if age and service requirements for retirement eligibility are met at the time of the transfer. Time Collection will calculate the value of the sick leave payout using the annualized hourly rate (annual salary based on a 100 percent time appointment, divided by 2,080 hours) for the employee's appointment multiplied by the hours entered. If the sick leave payout (up to the maximum balance allowed) is not included on the employee’s final check, it must be requested by submitting a Hand Drawn Warrant Request. DO NOT ATTEMPT TO PAY IT VIA TIME COLLECTION THE NEXT MONTH – IT MAY CREATE DEDUCTION PROBLEMS. • • Payroll & Benefit Services Page 22 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide • Important Exception for Termination Due to Death: Last Revised 7/ 9/2007 For termination due to death, do not pay any sick payout via Time Collection. The payment must be requested by submitting a Hand Drawn Warrant Request form to PBS. These payments must be paid to the estate and are not included on the deceased employee’s W-2. Please refer to the University policy at http://www.cusys.edu/regents/Policies/Policy11H.htm for additional information. Rev. 10-31-06 1.1.9 Social Security Number (SSN) Verification The verification of a new employee’s social security number is a requirement for taxation purposes. Employing departments shall require new employees to present their original social security card (or a replacement issued by the Social Security Administration) for review. Copies in lieu of an original (or a replacement issued by the Social Security Administration) are not allowed. Once verified, the correct SSN and name, as recorded on the social security card, is entered in HRMS along with the new employee’s appointment information. This insures accurate tax reporting to the I.R.S. For more information, refer to the Administrative Policy Statement, Social Security Card Verification, located at http://www.cu.edu/~policies/Fiscal/socialsec.html. There is a temporary exemption for up to a maximum of eight weeks allowed for newly arrived nonresident international employees (nonresident aliens for tax purposes). This provides sufficient time for them to obtain a Social Security Card. See the Administrative Policy Statement, Social Security Card Verification, at http://www.cusys.edu/policies/Fiscal/socialsec.html, the memorandum titled “Social Security Administration Delays in Social Security Number Issuance to International Employees” http://www.cusys.edu/pbs/payroll/groups/downloads/SSN-card-delay.pdf and the PBS website pages Employee Payroll - Employment Groups - International Employees http://www.cusys.edu/pbs/payroll/groups/international.html (for employees) and Payroll Administrators – Employment Groups – International Employees http://www.cusys.edu/pbs/payadmin/groups/international.html (for Payroll Administrators at CU). Rev. 10-31-06 1.1.10 Termination for Cause Effective processing of Termination for Cause pay requires the coordination of the department supervisor/department administrator/appointing authority, campus human Payroll & Benefit Services Page 23 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 resources office, department payroll liaison, and Payroll & Benefit Services. Following are general guidelines to assist payroll liaisons or administrators. Supervisor/Department Administrator/Appointing Authority Responsibilities 1. Involvement of Human Resources Department: Departments are requested to work with their campus Human Resources departments and/or Legal Counsel whenever it becomes necessary to terminate an employee for cause. It is important to consider all legal and personnel issues that may be involved prior to taking any action, and it is the responsibility of the department/supervising authority to insure that all human resource requirements are met. 2. Notify Department Payroll Liaison: The appropriate department supervising authority must notify the department’s payroll liaison whenever a termination for cause action is being taken. Notification should occur in advance whenever possible in order to give the payroll liaison and Payroll & Benefit Services sufficient time to process the final payment. 3. Provide Final Pay Information to Payroll Liaison: The department supervising authority must provide the payroll liaison with current and accurate information on final pay due the employee. Use department or campus checkout forms to insure all issues related to termination are accounted for. The final check may include: regular salary through the last day worked; payment for any remaining vacation balance; sick payout only if eligible (see note); overtime pay; shift differential; one time payments; any additional outstanding pay items. Reductions in pay that are still outstanding should also be mentioned, such as VDK, SDK, DK1, and DK2. Note: Sick payout of 25 percent of remaining balance (up to maximum limit) will only apply if eligibility for retirement is confirmed and documented 4. Provide Last Date of Employment to Payroll Liaison: The department supervising authority must provide the payroll liaison with a confirmed final date of employment. This is needed to begin the termination payment process and correctly enter the action into HRMS. 5. Notify employee of termination decision: Notify employee of termination decision and method of receiving final pay. Department Payroll Liaison Responsibilities 1. Confirm the correct last date of employment has been provided. 2. Confirm all outstanding pay items have been identified. 3. Enter the termination action into HRMS as soon as possible, provided it does not create confidentiality issues. The effective date will be the next day after the final day worked or on paid leave. For example, an employee who worked through 10/12/06 will have an effective date of 10/13/06 for the Termination for Cause action in HRMS. If the termination action cannot be entered or final pay processed (e.g. HRMS is unavailable) contact a PBS payroll counselor. 4. Provide PBS with advance notice of the pending termination whenever possible. This will help PBS meet the time requirements for providing the final check. If you cannot provide advance notice, notify PBS as soon as possible. 5. Be aware of the payroll deadline and process any pull/cancellation requests needed using the normal pull/cancel process. Termination actions processed after Payroll & Benefit Services Page 24 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 the payroll deadline has passed will require a pull/cancel of the employee’s regular pay so that a replacement hand drawn check with the correct information can be provided in its place to prevent overpayment. 6. Prepare and submit to PBS a Hand Drawn Warrant Request form, available on the PBS website at http://www.cusys.edu/pbs/forms/. Indicate Reason #4 Term for Cause (Involuntary Termination). To avoid delaying payment, the form must be correct and complete, referencing all final pay items due. Please check Term for Cause box at top of Hand Drawn Warrant Request form. 7. Contact a PBS payroll counselor to discuss timing issues and arrange for pickup/distribution of the termination check. PBS Responsibilities 1. Assist department with any issues and questions. 2. Process any requested pull/cancellation related to the termination. 3. Process all termination hand drawn requests in a timely manner, provided all information is complete and HRMS is available for use. Time Frame for Final Pay With Termination For Cause Employees who are terminated for cause are entitled to receive their final payment within six business hours of delivery of the notice of termination. Meeting this requirement involves effective and timely coordination and sufficient advance notice to PBS. Processing may be delayed if HRMS is not available. For additional related information, see Section # 1.1.8 Separation of Employment (Termination) in this guide. Rev. 10-31-06 Section # 1.2 Time Collection 1.2.1 Awards (For Special Recognition or Achievement) In general, cash and non-cash prizes or awards given to employees are taxable income and are subject to OASDI (Social Security), Medicare tax, and federal and state income tax withholding at the supplemental rate. Payment can be in the form of a monetary amount, a service, or an item of merchandise. Regardless of the method of payment, the award amount must be included on the employee's Form W-2. Monetary award payments are processed via Time Collection. A One-Time Payment form (OTP) is completed and routed for off-line approval based upon individual campus requirements. A blank form is available on the PBS website at http://www.cusys.edu/pbs/forms/. Payroll & Benefit Services Page 25 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Note: the Health Sciences Center has a unique form for one-time payments which is available under the campus-specific forms on the above website. The awarding department completes the One-Time Payment form (routing instructions are included on the form). Use the AWR earnings code and enter the dollar amount to be paid and the appropriate SpeedType to be charged. When off-line approval has been received, the employing department enters the award amount, reason and SpeedType via Time Collection by creating a One-Time Payment batch and entering the employee’s award. The award payment will be included on the payroll for which the batch is being entered (usually the next available payday). Departments are encouraged to provide a letter of congratulations to the employee. Payment made through payroll will insure all appropriate taxes and deductions are taken. Award payments are taxed a flat amount of federal and state supplemental withholding. If the employee is subject to Medicare Tax and/or OASDI (FICA), these amounts are also withheld. Awards are not subject to PERA retirement, CU Faculty/ Exempt Professional Optional Retirement Plan (ORP), or student retirement. Note: Departments have the ability in Time Collection and on the One-Time Payment form to override the SpeedType that is recorded on the position – funding distribution page. Be careful to use the appropriate SpeedType when processing award payments. Items of merchandise or services received also must be reported. The department granting the award is responsible for assessing and retaining the documentation of fair market value and notifying Payroll & Benefit Services about the non-monetary award via memorandum. Include the employee's name, employee HRMS ID (Empl ID), value of award, date received and signature of an individual authorized to sign for the department's payroll documents. This information must be provided within two weeks of the nonmonetary award being presented to the employee. The fair market value will be included in the employee’s taxable gross. For awards made to non-employees, please contact the Procurement Service Center (PSC) at 303-315-2846. Rev. 10-31-06 1.2.2 Earnings Codes Earnings codes tell HRMS the types of earnings for which the employee in a job code is eligible, e.g. OTM (overtime), VAC (vacation), SHF (shift differential-salaried), STH (student hourly), XRG (additional regular hours), etc. Based on each employee's job code and pay group, end users are able to enter hours, amounts, and/or leave for which the employee is eligible. A drop-down list box in HRMS Time Collection shows only eligible earnings codes for each employee. For a comprehensive list and descriptions of all earnings codes please review Section #1.2.5 Time Collection Table of Codes in this Payroll & Benefit Services Page 26 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide guide. You may also wish to review the Earnings Code Table at http://www.cu.edu/pbs/hrms/ps/downloads/tables/earnings_type_codes.xls. Last Revised 7/ 9/2007 Rev. 10-31-06 1.2.3 Late Payment of Wages For various reasons, an employee's wage payment may be delayed. Taxation of late payments is based on the employee’s W-4 tax withholding status. The reasons for late payments may include: • Late entry or approval of job data (past the payroll schedule deadlines) • Incorrect entry of job data • Hours or amounts not entered or approved in Time Collection • Late hire of employee Processing and/or Notifying PBS of a Late Payment When an employee has not been paid on the regular scheduled pay date, the department may exercise one of the following options for securing payment: 1. For hourly employees the department can wait until the next pay period and enter the late hours with an earnings code of LTP (Late Payment) in Time Collection. This is the preferred method for making late payment to an hourly employee unless it creates a serious financial hardship for the employee. 2. For salaried employees, department submits a request for a Retroactive Pay Adjustment to have the late pay included on the next regularly scheduled payroll. See Section # 1.3.12 Retroactive Wage Process & Form in this document for further information. This is the preferred method for making late payments to a salaried employee unless it creates a serious financial hardship for the employee. 3. Contract pay must not be paid in Time Collection. Contact PBS for assistance. 4. For any employee who requires late payment, and for whom waiting for the next regular pay period would cause financial hardship, the department may complete a Hand Drawn Warrant Request form to request payment by hand drawn warrant. The Hand Drawn Warrant Request form is available on the PBS forms website at: http://www.cusys.edu/pbs/forms/ . The Hand Drawn Payroll Warrants Policy is available at http://www.cusys.edu/pbs/payadmin/policies/downloads/hand-drawn.pdf . Rev. 10-31-06 1.2.4 One Time Payment This process is used to approve and pay wages which are not a part of the employee’s regular appointment, such as awards, bonuses, moving expenses, incentive pay, etc. To Payroll & Benefit Services Page 27 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 receive a one-time payment, the employee must have an active appointment for the time period in which the services were performed. The One Time Payment (OTP) form must first be completed and routed for campus offline approval. Please note that additional signatures may be necessary. Once the form is approved with the appropriate signatures, the one-time payment transaction can be entered into HRMS Time Collection. The OTP form is available on the PBS website at http://www.cusys.edu/pbs/forms/ Note: For UCHSC, use the campus specific UCHSC One Time Payment Form, also accessible at the site above. The one time payment process is not used for the following types of payments: 1. Do not use the OTP form for a retroactive payment. (See Section # 1.3.12 Retroactive Wage Process and Form in this Guide for additional information on retro pay.) 2. Do not use the OTP form to pay an employee’s regular, continuing appointment salary. All payments for an employee’s ongoing appointments must be entered in HRMS on the job data pages with the actual wage amount located on the compensation page. One-Time Payment Earnings Codes: The following chart lists the acceptable earnings codes for one-time payments. No other earnings codes are valid for this type of payment. The chart also indicates whether the payment will be subject to the W-4 withholding rate or the supplemental tax rate according to IRS regulations. Note: The supplemental tax rate for federal and state taxes is a flat percentage rate established for each tax year. OASDI/Medicare tax and retirement will also be deducted if applicable. One-Time Payment Earnings Codes Earnings Code ALW W-4 Income Tax Withholding N/A Supplemental Tax Rate N/A Subject to Retirement Description ALLOWANCE APF AWR APF AWARDS Definition Allowances –Uniforms. Allowances (uniforms, tools, etc.). Used by Procurement Service Center only. Enter amount of payment. Additional Pay Flat Amount. Enter amount to be paid. Awards – Taxable. Enter amount of award. X X X Payroll & Benefit Services Page 28 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Earnings Code BON HN1 HSG INC MVN MVT PPN W-4 Income Tax Withholding X X Last Revised 7/ 9/2007 Description BONUS HONORARIUM HSG ALLOW INCENTIVE MOVING NT MOVING TX PPP REF RIN REFERRAL RETIRE INC SEV SEVERANCE SP1 TPD UOC STIPEND TEMP DIFF UPI Definition Bonus. Enter amount of bonus payment. Honorarium – One Time Payment. Enter amount of payment. Housing Allowance – Taxable. Enter amount of payment. Incentive Pay. Enter amount of payment. Moving Expense – NonTaxable. Enter amount of payment. Moving Expense – Taxable. Enter amount of payment. Pay Performance Non Base Building. Must request Hand drawn Warrant – Not available in Time Collection. Enter amount of payment. Referral Award. Enter amount of payment. Retirement Incentive. Must request Hand drawn Warrant; Not available in Time Collection. Enter amount of payment. Severance. Must request Hand drawn Warrant; Not available in Time Collection. Enter amount of payment. Stipend – One Time Payment. Enter amount of payment. Temporary Pay Differential. Enter amount of payment. UPI On Call Incentive Pay. Enter amount of payment. Job code series 1100 and 1200 only. Supplemental Tax Rate X Subject to Retirement X X N/A N/A X X X X X X X X X X X Rev. 10-31-06 Payroll & Benefit Services Page 29 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 1.2.5 Time Collection – Table of Codes Last Revised 7/ 9/2007 Time Collection has two processes: Time Entry and One-Time Payment. Time Entry is used to enter the following ongoing types of payments and leave usage: • Salaried Employees: Payment for Exception Hours and entering Leave Usage: Exception Hours: The standard University reporting period for exception hours such as overtime, shift, on-call, etc., is from the first of the prior month through the end of the prior month. For additional information, see the Reporting Period Sections # 5.11 and # 5.12 in this guide. This time period is also used for hourly employees paid monthly via the XRG earnings code. Leave Usage: Leave usage should be reported the month after the leave was used. For example, the pay period end date of June (06/30/yy) is used for reporting leave usage for the period ending as of the last day of May (05/31/yy). You cannot enter May usage in May because the May leave reporting period ends 5/31/yy (unless your campus has made an alternate leave reporting schedule) and the May payroll will already have been closed prior to 5/31/yy in order for employees to be paid on the last working day of May. For more information on entering exception hours, payments, and leave usage in Time Collection, refer to the appropriate Time Collection Step-by-Step Guide, located at https://www.cusys.edu/pbs/hrms/resources/sbs.html, or the System Links webpage at https://www.cu.edu/operations/links/ (PeopleSoft HR Production Log-In > HR Step-by-Steps). ● Hourly Employees: Hours Worked and Leave Usage (where applicable): Positive Time Entry: Entry of all hours worked must be recorded in Time Collection or no biweekly paycheck will be generated. University student workers are paid via the positive time entry process, using the STH (Student Hourly) earnings code. Hourly Employees Paid Monthly: When employees are paid hourly on the monthly pay cycle, the XRG earnings code is used to enter the number of hours worked. This applies to all job classifications. If no hours are entered, the employee is not paid. If the employee has leave usage in addition to the hours worked, include the number of leave hours in the total number of hours to be paid. Report the total hours paid using the XRG earnings code and then insert a row to enter the amount of leave hours taken, using the appropriate leave earnings code. In this case there will be two or more entries (XRG and leave earnings codes). For more information on entering hourly pay in Time Collection, refer to the appropriate Time Collection Step-by-Step Guide, located at https://www.cusys.edu/pbs/hrms/resources/sbs.html, or the System Links webpage at https://www.cu.edu/operations/links/ (PeopleSoft HR Production Log-In > HR Step-by-Steps). Payroll & Benefit Services Page 30 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 One-Time Payment is used to enter infrequent payments, such as signing bonuses, awards, incentive pay, moving reimbursements, etc. Off-line Process: Prior to entering the one-time payment (OTP) in Time Collection, a onetime payment form must be completed and routed (off-line) for approval. This off-line process is used to approve wages paid to an employee for additional work, awards, etc., which are not a part of the employee’s regular appointment. See the One-Time Payment Section # 1.2.4 in this guide for additional information. For more information on entering one-time payments in Time Collection, refer to the One-Time Payment Step-by-Step Guide, located at https://www.cusys.edu/pbs/hrms/resources/sbs.html (Time Collection > Entering a One Time Payment), or the System Links webpage at https://www.cu.edu/operations/links/ (PeopleSoft HR Production Log-In > HR Step-by-Steps). Time Entry Earnings Codes: The earnings code assigned in Time Collection determines how payments are calculated. Based on an employee’s job code, only relevant earnings codes will be available for input of hours or amounts. The following charts define the earnings codes used by type of payment (docks, leave, etc.). Time Entry Earnings Codes – Descriptions and Definitions Earnings Code Description Definition Type (Hourly, Salaried) Docks (Reductions from Pay) Enter hours to two decimal places in quarter hours (example: 2 hours and 17 minutes is rounded to the closest quarter hour, and entered as -2.25). Docks must be entered as negative numbers. DK1 DOCK CURR Dock Unpaid Other Current Month. Dock current month for hours of leave-without-pay taken during current month. This entry will reduce current month pay by the number of docked hours times the current monthly hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Dock Unpaid Other Previous Month. Dock prior month for hours of leave-without-pay taken the preceding month, but not reported until the current month. This entry will reduce current month pay by the number of docked hours times the preceding month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Hourly or Salaried DK2 DOCK PRIOR Hourly or Salaried Payroll & Benefit Services Page 31 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code DK3 Description FURLOUGH Definition Dock Furlough Leave. Hours of furlough leave taken due to a temporary reduction in work hours at the employer's request. This entry will reduce current month pay by the number of docked hours times the annualized hourly rate (annual salary divided by 2,080 hours). The employee accrues vacation/sick leave based on regular appointment percentage. Limit: 72 Fiscal Year days. Vacation/sick leave and length of service is earned. Docks must be entered as negatives. Dock Overuse of Family Leave. Hours which exceed allowable limit for family leave, which are docked from current pay. This entry will reduce the current month pay by the number of docked hours times the current month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Dock Overuse of Family Sick. Hours which exceed allowable limit for family sick leave and which are docked from current pay. This entry will reduce current month pay by the number of docked hours times the current month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Dock Overuse Sick Leave. Hours of sick leave which exceed available sick leave accrual balance and result in a dock from current pay. This entry will reduce current month pay by the number of docked hours times the current month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Dock Short-Term Disability – Current. Dock of approved short-term disability leave during the current month. This entry will reduce current month pay by the number of docked hours times the current month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Dock Short-Term Disability – Previous. Dock of approved short-term disability leave during the previous month. This entry will reduce current month pay by the number of docked hours times the current month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Dock for Overuse Vacation Leave. Hours of vacation leave, which exceed available vacation leave accrual balance and result in a dock from current pay. This entry will reduce current month pay by the number of docked hours times the current month hourly rate, and reduce current month vacation/sick leave accruals. Docks must be entered as negatives. Type (Hourly, Salaried) Hourly or Salaried FLD FAMLV DOCK Salaried FSD FAMSK DOCK Salaried SDK SICK DOCK Hourly or Salaried ST1 STDDCKCURR Hourly or Salaried ST2 STDDCKPREV Hourly or Salaried VDK VAC DOCK Hourly or Salaried Payroll & Benefit Services Page 32 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code Description Definition Type (Hourly, Salaried) Leave Usage Hours (Monthly) The standard University reporting period is the first through last day of the prior month for leave usage including vacation, sick, staff development, etc. Enter hours to two decimal places in quarter hours (example: 2 hours and 17 minutes is rounded to the closest quarter hour, and entered as 2.25). ADM ADM LEAVE Administrative Leave. Paid leave hours approved by the appointing authority. Vacation/sick will accrue. Note: Do not enter vacation, sick, staff development or other leave hours by using this earnings code. Compensatory Time Leave. Usage of overtime hours worked, taken as compensatory time at a rate of overtime hours times 1.5. Compensatory time off is taken in lieu of receiving overtime pay. Only employees eligible for overtime payments are eligible for compensatory time. Vacation/sick will accrue. NOTE: TIME COLLECTION IS USED ONLY TO RECORD THE NUMBER OF COMPENSATORY (CMP) HOURS AN EMPLOYEE HAS TAKEN. COMPENSATORY TIME EARNED IS NOT RECORDED IN TIME COLLECTION. IT MUST BE TRACKED MANUALLY BY THE DEPARTMENT. Note: Per State Personnel Rules and Procedures P-3-28, compensatory time shall not exceed 240 hours (480 hours for law enforcement). Any comp time in excess of 240 (480 for law enforcement) hours must be paid on the next regular pay period. Alternate Holiday Leave. Paid leave taken in lieu of regularly scheduled holiday. Vacation/sick leave will accrue. Family Leave. Hours of family leave taken. Vacation leave accruals will be reduced until exhausted, and then the employee will be docked from current month pay. This entry will reduce current month vacation/sick leave accruals if hours are docked. Funeral Leave. Hours of funeral leave taken. Vacation/sick leave will accrue. Family Sick Leave. Hours of family sick leave taken. The employee's sick leave accrual will automatically be reduced. If the employee has exhausted sick leave, then the employee will be docked from current month pay. This entry will reduce current month vacation/sick leave accruals if hours are docked. Jury Leave. Hours of paid leave provided to permanent classified employee for jury duty. Hours reported include any or all of a portion of a day the employee serves on jury duty. Vacation/sick Leave will accrue. Note: For jury pay distribution, see Jury Leave section. Hourly or Salaried CMP COMP TIME Salaried FLH FLV FLOAT HOL FAMILY LV Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried FNL FSK FUNERAL LV FAM SK LV JRY JURY LEAVE Hourly or Salaried Payroll & Benefit Services Page 33 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code LBA Description LV BANK AWARD Definition Leave Bank Award. Leave share hours awarded (added) to the employee’s sick leave balance. Awarded leave hours are to be entered as a positive ( + ) number to increase the sick leave hours available for the employee to use. Note: LBA can be entered in the same pay period as the usage. Leave Bank Usage. Leave share hours used by an employee. Input is to be entered as hours only (not amounts). Note: LBU can only be used if the employee is in an ACTIVE pay status. Leave Sharing. Vacation hours donated by an employee. Leave hours are to be entered as a negative ( - ) number to reduce the employee’s vacation balance. Paid Military Leave. Military leave hours (not to exceed 15 work days annually) paid to employees on temporary military leave (national guard, reserve). Vacation/sick leave will accrue. On-the-Job-Injury-Leave. Used to record hours of on-the-job injury leave. Contact Risk Management for assistance. http://urm.colorado.edu, Sick Hours Balance Adjustment. Used to adjust sick leave accrual hours balance. Enter positive or negative number as appropriate. Sick Leave Taken. Hours of sick leave accrual used by employee for personal sick leave. Vacation/sick leave will accrue. New employees are eligible to use sick leave accrual after the completion of one month's service from the date of employment. Note: If usage exceeds sick leave accrual, the payroll system automatically docks the employee for the excess hours and automatically changes the earnings code to SDK. School Leave. Hours of administrative leave used for educational purposes. Staff Development. Hours of staff development activities for the employee. This entry does not reduce current pay. Vacation/sick leave will accrue. Vacation Hours Balance Adjustment. Used to adjust vacation leave accrual hours balance. Enter positive or negative number as appropriate. Vacation Leave Taken. Hours of vacation accrual taken by the employee. The employing department enters the number of leave hours taken through the end of the prior month. This entry does not reduce current pay. Vacation/sick leave will accrue. Note: If usage exceeds vacation accrual, the payroll system automatically docks the employee for the excess hours and automatically changes the earnings code to VDK. Type (Hourly, Salaried) Hourly or Salaried LBU LV BANK USAGE Hourly or Salaried LVS MLP OJI SCA SCK LV SHARING MILITARY ON JOB INJ SCKHRSADJ SICK LEAVE Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried SCL SDV VAA VAC SCHOOL LV STAFF DEV VACHRSADJ VACATION Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Payroll & Benefit Services Page 34 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code VOL Description VOLUNTEER Definition Volunteer-Administrative Leave. Hours of approved volunteer leave. Type (Hourly, Salaried) Hourly or Salaried Shift Differential Employees who are eligible for shift differential payments have those hours entered by use of the following earnings codes. Enter hours to two decimal places in quarter hours (example: 2 hours and 17 minutes is rounded to the closest quarter hour, and entered as 2.25). * See end of Shift Differential Health Care Services section for definitions of shift. SHH SHIFT HRLY Shift Differential – Hourly. Pays regular hourly rate + .075 times hourly rate, per shift differential hour to eligible employees when half or more of the scheduled work hours are from 4:00 p.m. to 11.00 p.m. (multiplication factor is 1.075). Note: Regular hours plus shift differential hours = total hours worked. If total hours worked equal shift differential hours, enter 0.00 (zero) for regular hours. Shift Differential – Salaried. Additional differential of .075 times annualized hourly rate, paid to eligible employees when half or more of the scheduled work hours are from 4:00 p.m. until 11:00 p.m. (multiplication factor is 0.075). Shift Differential Overtime. Additional differential paid to eligible employees for overtime hours worked from 4:00 p.m. to 11.00 p.m. Overtime hours in addition to regular hours paid at (hourly rate + .075 times hourly rate) x 1.50, which equals annualized rate x 1.613 per hour (multiplication factor is 1.613) Third Shift Differential – Hourly. Additional differential paid to eligible employees when half or more of the scheduled work hours are from 11.00 p.m. to 6.00 a.m. the next day. Pays regular hourly rate + .10 times hourly rate, per shift differential hour. (multiplication factor is 1.10) Note: Regular hours plus shift differential third shift hours = total hours worked. If total hours equal shift differential third shift hours, enter 0.00 (zero) regular hours. Third Shift Differential – Salaried. Additional differential of .10 times annualized hourly rate, paid to eligible employees when half or more of the scheduled work hours are from 11:00 p.m. to 6.00 a.m. (multiplication factor is 0.1000). Third Shift Differential Overtime Hours. Additional differential paid to eligible employees for overtime hours worked from 11:00 p.m. to 6.00 a.m. the next day. Overtime hours in addition to regular hours paid at hourly rate x 1.65. (multiplication factor is 1.65). Hourly SHF SHIFT SAL Salaried SHT SHIFT @ OT Hourly or Salaried 3SH 3RD HOURLY Hourly 3SS 3RD SALARY Salaried 3ST 3RD OT Hourly or Salaried Payroll & Benefit Services Page 35 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code Description Definition Type (Hourly, Salaried) Shift Differential Health Care Services Employees who are eligible for health care shift differential payments have those hours entered by use of the following earnings codes. Enter hours to two decimal places in quarter hours (example: 2 hours and 17 minutes is rounded to the closest quarter hour, and entered as 2.25). * See end of Shift Differential Healthcare Services section for definition of shift 1HW 1 HOL/ WKND First Shift Differential – Salaried - Healthcare Services. First Shift Holiday/Weekend 7.5% differential rate. Pays an additional differential of 0.075 x annualized hourly rate for working first shift on a holiday or weekend (multiplication factor 0.0750). First Shift Differential – Salaried/Hourly - Healthcare Services. First Shift Overtime Holiday/Weekend 11.3% differential rate. Pays an additional differential for working overtime on the first shift on a holiday or weekend. Pays hourly rate plus overtime differential of 0.5 plus shift differential of 0.113 for a total of 1.613 x annualized hourly rate for each overtime hour worked (multiplication factor 1.6130). First Shift Differential – Hourly – Healthcare Services First Shift Hourly Holiday/Weekend 7.5% differential rate. Pays 1.075 x annualized hourly rate for each hour worked during first shift on a holiday or weekend. (multiplication factor 1.075). Second Shift Differential – Salaried - Healthcare Services. Second Shift Holiday/Weekend 14.0% differential rate. Pays an additional differential of 0.14 x annualized hourly rate for each hour of working second shift on a holiday or weekend (multiplication Factor 0.14). Second Shift Differential – Salaried/Hourly - Healthcare Services. Second Shift Overtime Weekday 11.3% differential rate. Pays an additional differential for working overtime on the second shift. Pays hourly rate plus overtime differential of 0.5 plus shift differential of 0.113 for a total of 1.613 x annualized hourly rate for each overtime hour worked (multiplication factor 1.6130). Salaried 1OW 1OTHOL/WKND Salaried or Hourly 1SW 1SFHOLWKND Hourly 2HW 2HOL/ WKND Salaried 2OT 2NDSHF/OT Salaried or Hourly Payroll & Benefit Services Page 36 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code 2OW Description 2OTHOLWKND Definition Second Shift Differential – Salaried - Healthcare Services. Second Shift Overtime Holiday/Weekend 21.0% differential rate. Pays an additional differential for working overtime on the second shift on a holiday or weekend. Pays hourly rate plus overtime differential of 0.5 plus shift differential of 0.21 for a total of 1.71 x annualized hourly rate for each overtime hour worked (multiplication factor 1.7100). Second Shift Differential – Hourly – Healthcare Services. Second Shift Hourly/Weekday 7.5% differential rate. Pays an additional differential of 0.075 for each hour worked during the second shift on a weekday. Pays 1.075 x annualized hourly rate for each hour worked during the second shift on a weekday (multiplication factor 1.0750). Second Shift Differential – Salaried –Healthcare Services. Second Shift Weekday 7.5% differential rate. Pays an additional differential of .075 x annualized hourly rate for each hour worked during second shift on a weekday (multiplication factor .0750). Second Shift Differential – Hourly – Healthcare Services. Second Shift Hourly/Holiday/Weekend 14.0% differential rate. Pays an additional differential of 0.14 for each hour worked during the second shift on a holiday or weekend. Pays 1.14 x annualized hourly rate for each hour worked during the second shift on a holiday or weekend (multiplication factor 1.1400) Third Shift Differential – Hourly – Healthcare Services. Third Shift Hourly Weekday 14.0% differential rate. Pays an additional differential of 14% for each hour worked during the third shift on a weekday. Pays 1.14 x annualized hourly rate for each hour worked during the third shift on a weekday (multiplication factor 1.14). Third Shift Differential – Salaried – Healthcare Services. Third Shift Holiday/Weekend 20.0% differential rate. Pays an additional differential of 0.20 x annualized hourly rate for each hour worked during third shift on a holiday or weekend (multiplication factor 0.2000) Type (Hourly, Salaried) Salaried or Hourly 2SH 2NDSHFHRLY Hourly 2SP 2NDSHF Salaried 2SW 2SFHOLWKND Hourly 3HH 3HRLYWKDAY Hourly 3HW 3HOL/ WKND Salaried Payroll & Benefit Services Page 37 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code 3OT Description 3RDSHF/OT Definition Third Shift Differential – Salaried/Hourly – Healthcare Services. Third Shift Overtime Weekday 21.0 % differential rate. Pays an additional differential for working overtime on the third shift on a weekday. Pays hourly rate plus overtime differential of 0.5 plus shift differential of 0.21 for a total of 1.71 x annualized hourly rate for each overtime hour worked (multiplication factor 1.7100) Third Shift Differential – Salaried – Healthcare Services. Third Shift Overtime Holiday/Weekend 30.0% differential rate. Pays an additional 30% differential for working overtime on the third shift on a holiday or weekend. Pays hourly rate plus overtime differential of 0.5 plus shift differential of 0.30 for a total of 1.8 x annualized hourly rate for each overtime hour worked (multiplication factor 1.800). Third Shift Differential – Salaried - Healthcare Services. Third Shift Weekday 14.0% differential rate. Pays an additional differential of .014 x annualized hourly rate for each hour worked on the third shift on a weekday (multiplication factor 0.1400). Third Shift Differential – Hourly – Healthcare Services. Third Shift Hourly/Holiday/Weekend 20.0% differential rate. Pays an additional differential of 20% for each hour worked during the third shift. Pays 1.2 x annualized hourly rate for each hour worked during the third shift (multiplication factor 1.2000). Third Shift Differential – Hourly – Healthcare Services Pays hourly rate + .14 times hourly rate, per shift differential hour (annualized hourly rate x 1.14) (multiplication factor 1.14). Note: Regular hours plus shift differential third shift = total hours worked. If total hours equal shift differential third shift hours, enter 0.00 (zero) regular hours. Nurses, Third Shift Differential w/Overtime – Salaried. Additional differential paid to eligible employees. Overtime hours in addition to regular hours, paid at annualized hourly rate x 2.10 (multiplication factor is 2.1000). Type (Hourly, Salaried) Salaried or Hourly 3OW 3OTHOLWKND Salaried or Hourly 3SP 3RDSHF Salaried 3SW 3RDSHFHRL Hourly 3SO 3RDSHFHRLY Hourly 3SN 3RDSHF@OT Salaried or Hourly Payroll & Benefit Services Page 38 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code Description Definition Type (Hourly, Salaried) * First Shift applies to hours worked when at least half of the scheduled work hours fall between 6:00 a.m. and 4:00 p.m. Regular hours worked are considered to be in the first shift unless they qualify for second or third shift. *Second shift applies to all hours worked when at least half of the scheduled work hours fall between 4:00 p.m. and 11:00 p.m. *Third shift applies to all hours worked when at least half of the scheduled work hours fall between 11:00 p.m. and 6:00 a.m. If the scheduled work hours are evenly split between shifts, the higher shift differential rate applies to all hours worked. (Per State of Colorado publication Technical Assistance-Shift Differential, On-Call, and Call-Back Premium Pay) Wage Payments (Hours or Amounts) Enter hours to two decimal places in quarter hours (example: 2 hours and 17 minutes is rounded to the closest quarter hour, and entered as 2.25). Enter amounts including dollars and cents. ATS CBS CBT LTP MLS MUC MLT ONC OTM ADDSTIME CALLBCK ST CALLBCK OT LATE PAY CURR MEALS MEALS UMC TUIT MEALS ON CALL OVERTIME Additional Time @ Straight. Additional hours paid beyond 40 hours for classified staff employees whose hours worked equal 40 hours or less. Call-Back @ Straight. Call-back hours paid at hourly rate. Call-Back @ Overtime. Call-back overtime hours paid at hourly rate x 1.50. Late Payment. Entry of hours that were not paid for a prior pay period. Current Pay Meals. Meals paid from current pay – Boulder Housing only. Current Pay Meals Reductions. Boulder UMC use only. Tuition Paid Meals. Tuition Paid Meals - used by Housing and Food Service. On-Call Hours. On-call hours paid at hourly rate. Overtime. Overtime hours worked paid at hourly rate x 1.50. Note: Student employees – use SOT for entry of overtime hours (see below). Regular Earnings. Regular hours worked times hourly rate. Note: Student employees – use STH for entry of hours (see below). Regular Earnings Salary. Salary paid. Reduction Flat Amount. A flat amount reduction from current pay. Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly Hourly or Salaried Hourly or Salaried Hourly REG REGULAR RGS RPF REG SALARY RED FLAT Salaried Hourly or Salaried Payroll & Benefit Services Page 39 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code SKS Description SICK @ SEP Definition Sick Leave @ Retirement Payoff (Separation). Subject to limit of 25% of employee’s maximum sick balance. Paid at retirement, death, or separation. Employee must be eligible for an immediate, full, or reduced annuity under a university retirement plan (PERA or Faculty/Exempt Professional Optional Retirement Plan) to qualify for this buyout. Taxed at federal and state supplemental rate. Student Hourly. Student hours worked times hourly rate (includes Work-Study) Student Overtime. Overtime hours worked paid at hourly rate times 1.50. Note: Overtime payments cannot be paid with work-study funds. Student employees who work overtime must be paid with departmental funds. Stipend. Amount for stipend payment. Student Faculty Salary. Salary amounts paid to student faculty. Vacation @ Separation. Maximum vacation leave paid at retirement or death or at separation. Taxed at federal and state supplemental rate. Additional Regular Hours. Used to report the following: • • Regular hours worked by hourly employees paid monthly in any job classification; Additional regular hours worked by salaried classified staff who are less than full-time employees and whose hours exceed their normal work schedule (but not to exceed 100% time for the month). Type (Hourly, Salaried) Hourly or Salaried STH SOT STDTHRLY OVERTIME Hourly Hourly STP STS VCT XRG STIPEND STUDT FAC VAC @ SEP ADD REG HR Salaried Salaried Hourly or Salaried Hourly or Salaried Note: Enter the ‘XRG’ earnings type and number of extra hours worked. This amount, when added to the regular hours worked, cannot exceed the total work hours in the month. XRG increases vacation/sick accruals. Example: A 50% classified staff employee works 100% (fulltime) during a month with 160 work hours. Since this employee’s salaried appointment automatically pays him/her for 80 hours, the department would report 80 additional regular hours (XRG). The additional regular hours are paid at the annualized hourly rate (annual full-time salary divided by 2,080 hours). If this same employee worked overtime hours (greater than 40 during any work week), the hours exceeding 40 would be paid as overtime (OTM – see above). Payroll & Benefit Services Page 40 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Time Entry Earnings Codes – Descriptions and Definitions Earnings Code Description Definition Type (Hourly, Salaried) PBS Use Only PBS uses the following earnings codes for entry of adjustments to employee income, which may be included on Form W-2. ATH BEX CAR TKT DPS ICA RIN SEV ATH TICKET BUS EXP CAR USE TICKETS DEP SVCS NON-CASH AWARD RETIRE INC SEVERANCE Athletic Tickets. PBS Use Only Business Expense. PBS Use Only. Auto Allowance. PBS Use Only Complimentary Tickets. PBS Use Only Dependent Personal Services – NRA. PBS Use Only Imputed Cash Award. PBS Use Only Retirement Incentive. PBS Use Only Severance Payment. PBS Use Only Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Hourly or Salaried Salaried Salaried One-Time Payment Earnings Codes can be used for paying individual, one-time only pay items, as follows: One-Time Payment Earnings Codes – Descriptions and Definitions Earnings Code ALW APF AWR BON HN1 INC MVN MVT PPN Description ALLOWANCE APF AWARDS BONUS HONORARIUM INCENTIVE MOVING NT MOVING TX PPP Definition Allowances –Uniforms. Allowances (uniforms, tools, etc.). Used by Procurement Service Center only. Additional Pay Flat Amount. Enter amount to be paid. Awards – Taxable. Enter amount of award. Bonus. Enter amount of bonus payment. Honorarium – One-Time Payment. Enter amount of payment. Incentive Pay. Enter amount of payment. Moving Expense – Non-Taxable. Enter amount of payment. Moving Expense – Taxable. Enter amount of payment. Pay Performance Non Base Building. Processed via HRMS system upload for adjustments. If not automatically uploaded, must be requested via Hand Drawn Warrant – Not available in Time Collection. Enter amount of payment. Payroll & Benefit Services Page 41 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 One-Time Payment Earnings Codes – Descriptions and Definitions Earnings Code REF RIN SEV SP1 Description REFERRAL RETIRE INC SEVERANCE STIPEND Definition Referral Award. Enter amount of payment. Retirement Incentive. Must request Hand Drawn Warrant – Not available in Time Collection. Enter amount of payment. Severance. Must request Hand Drawn Warrant – Not available in Time Collection. Enter amount of payment. Stipend – One-Time Payment. Enter amount of payment. Use is restricted. Do not use to pay for services performed (to use this earn type no services can be required of the employee). Check with faculty affairs, academic affairs, or dean’s office for appropriate use. Temporary Pay Differential. Enter amount of payment. UPI On Call Incentive Pay. Enter amount of payment. Job code series 1100 and 1200 only. TPD UOC TEMP DIFF UPI Rev. 6-18-07 1.2.6 Uniform Allowances Due to workplace necessity, a department may require an employee to purchase a specific type of clothing and/or equipment for ongoing use on the job. When funds are needed for the initial purchase or later replacement of these required items, the employing department issues an advance payment via Accounts Payable to the employee (similar to a travel advance) for the approximate amount of the purchase. The employee must complete the purchase and turn in receipts for account validation to the department no later than 60 days from the date of issue. If the employee fails to turn in receipts or fails to return remaining monies within that time period, the total amount of the advance payment given the employee will be included as taxable income on the employee’s Form W-2 (or 1042-S for non-resident international employees), even if the employee eventually accounts for the purchase. Rev. 10-31-06 Section # 1.3 Payroll Adjustments Affecting Pay 1.3.1 Business Expenses (Taxable) University policy provides that employees generally have 45 days from the completion of business travel or incurred related business expenses to make a full documented accounting of expenses to the University. If the employee misses this deadline, the total Payroll & Benefit Services Page 42 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 travel or business expense will be recorded as taxable income to the employee. The University administrative policy is available at http://www.cu.edu/policies/Fiscal/expenseallow.html. The Procurement Service Center (PSC) notifies PBS of payments that are being substantiated after the 60-day federal limit. PBS then adds the value of those payments onto the employee's payroll record. Taxable items will appear on the employee’s earnings advice as business expense income (BEX). At the time the amount is recorded, federal and state income tax withholding will be deducted, as well as OASDI and/or Medicare Tax (if applicable). All BEX items will be recorded on the employee’s W-2 in Box 14. Rev. 10-31-06 1.3.2 Complimentary Tickets and Expenses The University administrative policy statement, Complimentary Tickets and Related Expenses for Employees and Non-Employees, available at http://www.cu.edu/policies/Fiscal/ComplimentaryTicket.pdf, defines University policy and procedures for reporting the value of complimentary tickets and/or expenses given to employees and other individuals. The policy references the Procurement Service Center (PSC) Procedural Statement: Complimentary Tickets and Related Expenses for Employees and Non-Employees, located at http://www.cusys.edu/psc/policies/downloads/CompTickets.pdf, for specific procedural guidelines. In general, complimentary tickets used for promoting the University (such as recruiting and fundraising) may not be reportable or taxable, provided the business role is appropriately substantiated. If not substantiated, they become reportable and taxable. Complimentary tickets used for personal entertaining are generally reportable by the hosting organizational unit and taxable to the employee. However, there is an Excess Ticket Distribution process that allows certain tickets to be non-reportable and nontaxable. Since situations vary, see the PSC Procedural Statement for specific guidelines regarding reporting and taxing requirements. Complimentary tickets and related expenses given to employees which are determined to be taxable income are subject to federal and state tax withholding, as well as OASDI and Medicare tax. OASDI and Medicare deductions are determined by the specific employee’s eligibility for these payroll taxes. The amount will be included as taxable income on the employee’s paycheck and the appropriate payroll taxes will be withheld. The taxable amount and taxes withheld will also be included on the employee’s Form W2. Examples of complimentary tickets include tickets for Bowl Games, Shakespeare Festival, etc. The accounting period for complimentary tickets and expenses is November through October of the following year. When a department provides complimentary tickets and/or expenses that come under this policy and the items are deemed taxable, this information must be provided to Payroll & Payroll & Benefit Services Page 43 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Benefit Services no later than the employee’s next pay cycle due date so that it can be appropriately reported and taxes can be withheld. Rev. 10-31-06 1.3.3 Contract Pay Adjustments On the PBS website at http://www.cu.edu/pbs/hrms/training/resources.html#c there is a contract pay reference guide and worksheets for making compensation and/or contract pay type changes to existing contracts. These documents are designed to assist you with understanding the contract pay function, how adjustments to existing contracts will effect the employee’s compensation, and what changes are necessary so that the contract is paid correctly. Rev. 6-29-07 1.3.4 Deductions Payment for certain approved university and state services and activities is available through payroll deduction. Most of these deduction items have specific forms designed for that particular deduction and controlled and maintained by the department that provides the service or activity. Many of these campus-specific deduction forms are available through the PBS website at http://www.cusys.edu/pbs/payroll/forms-payroll/campus.html. Any additional forms can be obtained through the campuses. The State of Colorado Payroll Deduction Policy is located at http://www.colorado.gov/dpa/dfp/sco/payroll/deductions/payroll%20deduction%20policy.pdf. For sign-up information and/or questions about a deduction amount, contact the following departments/organizations: Deductions (General) – Campus Contacts and Payroll Schedule Deduction Campus Contacts and Phone Numbers Boulder & System UCDHSC Downtown Denver Colorado Springs UCDHSC Anschutz Medical Campus Payroll Schedule* End of Month 1st, 2nd or 3rd Biweekly Artist Series - UCB 303-492-8008 4 Payroll & Benefit Services Page 44 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Deductions (General) – Campus Contacts and Payroll Schedule Deduction Campus Contacts and Phone Numbers Boulder & System UCDHSC Downtown Denver 303-556-3678 1041 9TH STREET 303-492-0622 Payroll Schedule* End of Month Colorado Springs UCDHSC Anschutz Medical Campus 1st, 2nd or 3rd Biweekly Auraria Faculty Club - UCD Basketball Tickets UCB 4 4 Bursars Office Child Support 303-492-5381 303-556-2710 719-262-3396 303-3157640 4 1, 2 PBS 303-735-5772 PBS 303-7356500 4 1, 2 Colorado Combined Campaign Family Housing – Rent Football Tickets PBS 303-735-6500 PBS 303-735-6500 4 303-492-6384 303-492-0622 4 4 Foundation, CU Wage Assignments (Garnishments/ Levies/Child Support/ Student Loans) 303-735-9699 303-556-4309 719-262-3467 303-3155271 4 4 1, 2 PBS 303-735-5772 Payroll & Benefit Services Page 45 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Deductions (General) – Campus Contacts and Payroll Schedule Deduction Campus Contacts and Phone Numbers Boulder & System UCDHSC Downtown Denver Colorado Springs UCDHSC Anschutz Medical Campus Graduate School – Student Health Services Payroll Schedule* End of Month 1st, 2nd or 3rd Biweekly GME Vision Plan HSC 4 303-3728979 Housestaff Association – HSC Housing - Childcare 303-492-6185 719-262-3452 303-3158037 4 4 1, 2 Housing – Meals Housing – Parking National Direct Student Loan Parking (pre-tax or post-tax) 303-492-6593 4 303-492-6493 303-3158364 303-3155704 (9th & Colo) 303-7241584 (Ansch) 303-3155704 (9th & Colo) 303-7241584 (Ansch) 4 303-556-2886 719-262-3460 303-492-5091 4 4 1, 2 303-735-8581 303-556-2006 719-262-3528 Parking Fines 303-735-8581 303-556-2006 719-262-3528 4 1, 2, 3 Recreation Center UCB TAKACS (Concerts) Membership Services 303-492-6561 303-492-8008 4 4 Payroll & Benefit Services Page 46 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Deductions (General) – Campus Contacts and Payroll Schedule Deduction Campus Contacts and Phone Numbers Boulder & System UCDHSC Downtown Denver Colorado Springs UCDHSC Anschutz Medical Campus Payroll Schedule* End of Month 1st, 2nd or 3rd Biweekly University Memorial Center – Meals-UCB University Club Dues/Meals – UCB UCCS Fitness Center Member 303-492-6284 303-492-6509 4 4 Operations, University Center 719-262-3448 4 *Payroll Schedule Codes: 1: First bi-weekly payroll of the month 2: Second bi-weekly payroll of the month 3: Third bi-weekly payroll of the month (if applicable) 4: End-of-month payroll Rev. 6-15-07 1.3.5 Hand Drawn Payroll Warrants Rules and procedures for issuing hand drawn checks are based on compliance with the current Hand Drawn Payroll Warrants Policy available on the PBS website at http://www.cusys.edu/pbs/payadmin/policies/downloads/hand-drawn.pdf . Departments should request hand drawn warrants only when the circumstances align with those stated in the policy. All other underpayments should be recorded in Time Collection for payment on the next available pay date. If a payment error will be corrected in HRMS Time Collection, do not submit a hand drawn request. This will result in an overpayment. Conversely, if a hand drawn is requested do not enter the data in Time Collection. For additional information, see Section # 1.2.3 Late Payment of Wages in this guide. Payroll & Benefit Services Page 47 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 If a department requests a hand drawn warrant, the date the employee can receive his/her warrant depends on whether the pay due is 1) for a past pay date or 2) for the current or next regularly scheduled pay date. 1. Regularly Scheduled Pay Date Has Already Passed (Previous Pay Date): Request a hand drawn warrant when the employee has already received a paycheck on a previous payday that was not for the full amount owed or when the employee did not receive any pay for a pay date that has already passed. The check may be released to the employee as soon as it is ready. These requests will generally be processed within three to five business days. (See Notifying Employees included in this section.) 2. Current Or Next Regularly Scheduled Pay Date Has Not Arrived: Payroll has been processed and the department runs the Payroll Register report to confirm that their employees will be paid correctly. From reviewing this report, it is determined that an employee’s paycheck is not going to include the full amount owed, or that the employee will not receive any pay when they should be paid. For the employee to receive the correct amount of pay, the department needs to request a hand drawn warrant for the difference between what they are about to be paid and what they should be paid. The department may submit the hand drawn request immediately. However, the department may not, under any circumstances request release of the hand drawn check to the employee prior to the current/next regularly scheduled payday. The employee may only be paid on or after the current or next regularly schedule pay date. If the request is submitted early enough, the employee may still be able to receive his/her pay on the current (or next regularly scheduled) pay date. If not, they will be paid as soon as possible after the current/next regularly scheduled pay date. Hand drawn requests will generally be processed within three to five business days. Exception: The only exception to this is when the employee has been terminated for cause (see Section #1.1.10 Termination for Cause). Hand Drawn Warrant Request Process and Form The requesting department completes the Hand Drawn Warrant Request form available on the PBS website at http://www.cusys.edu/pbs/forms/ (Payroll will not accept outdated forms). Hand drawn warrants will be processed based upon the priorities discussed in the Hand Drawn Policy at http://www.cusys.edu/pbs/payadmin/policies/downloads/hand-drawn.pdf. Generally, hand drawn checks are processed in the following order of priority: 1) involuntary termination, 2) no pay was received on the regularly scheduled pay date, 3) only partial pay was received on the regularly scheduled pay date, 4) direct deposits returned by the bank, 5) vacation or sick payouts, 6) refunds for a deduction taken in error. 1. The requestor must be an authorized HRMS user with security access for the department requesting the hand drawn warrant. 2. The employee’s job data must have been entered and approved in HRMS with an appropriate effective date before a hand drawn warrant can be issued. Payroll & Benefit Services Page 48 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 3. For hourly wages, enter the number of hours for each pay period requested. 4. Hand drawn warrants for a one-time payment must also have the One-Time Payment form with authorized signatures attached to the request form. 5. Before processing the request, PBS will verify that the employee has not already been paid the requested amount. 6. The warrant will either be printed at the designated location on each campus or mailed to the employee’s mailing address via U.S. mail, based on the option selected on the Hand Drawn request form. 7. All hand drawn requests must include the signatures of both the requestor and the approver. No hand drawn warrants will be processed without the appropriate signatures. Reminder: Wage payments requested and processed via the Hand Drawn Warrant Request form must not be entered in Time Collection; this will result in a double payment (overpayment). In addition, do not submit a Retroactive Pay Due form, since this will also result in an overpayment. Notifying Employees The department should notify employees receiving a hand drawn warrant that three to five business days are generally required for processing. Processing is contingent upon PBS receiving all the required paperwork, the department accurately updating the data in the HRMS system, and the HRMS system’s availability. Departments must not promise a payment date to an employee prior to receiving notification from PBS. If notification indicating completion of the hand drawn warrant is not received after three business days, departments may contact PBS for a status update. Involuntary Termination and Layoffs In accordance with Colorado Revised Statutes section 8-4-109, departments must submit all final paperwork, including leave payout hours (if applicable) and all other outstanding pay due the employee, to PBS prior to, or no later than, the time the employee is notified of the termination. PBS will then process the hand drawn within six business hours, provided all required information is approved, complete, and submitted to and received by PBS. See Section # 1.1.10 Termination for Cause in this guide for detailed information about this process. Voluntary Termination Employees who voluntarily resign their employment will be paid final salary and leave payout on their last regularly scheduled pay date. Their department is responsible for calculating leave payout hours, obtaining any required payout authorization, and entering the leave payout hours into Time Collection by the published payroll time entry deadline. No hand drawn is necessary in this case. However, when employees are terminated in a prior pay period and do not receive their leave payout on their final check, payment must be processed as a hand drawn warrant. Rev. 10-31-06 Payroll & Benefit Services Page 49 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 1.3.6 Moving (Relocation) - Temporary Housing Reimbursements to employees for temporary housing/living expenses related to a move are considered taxable income. Taxes are withheld at the supplemental tax rate of 25% for federal and 4.63% for state. Housing/living expense reimbursements are subject to Medicare Tax and OASDI (if applicable), but are not subject to mandatory or supplemental retirement deductions. Payment of housing expenses to employees is accomplished via the One Time Payment Form (OTP), which is routed for approval on the campus. The blank One Time Payment form is available on the PBS website All Forms List at http://www.cusys.edu/pbs/forms/. You may also access it by campus: UCB/UCCS/University Administration - http://www.cusys.edu/pbs/forms/downloads/One_Time_Payment.xls and UCD/HSC - https://www.cusys.edu/pbs/forms/downloads/hsc/HSC_OneTimePayment.xls. Once approved at the campus level, the actual One-Time Payment is entered in Time Collection with Earnings Code MVT (moving expenses – taxable). Use the appropriate Step-by-Step Guide to assist you, available at https://www.cusys.edu/pbs/hrms/resources/sbs.html (select Time Collection > Entering a One-Time Payment). For additional information, you may also wish to reference Section # 1.1.6 Moving (Relocation) and Section # 1.1.7 Moving (Relocation) – Form 3903 in this guide. Note: Reimbursement for housing expenses related to relocation should not be confused with Housing Allowance, which uses the HSG earnings code and is an ongoing payment that is not related to a move. The HSG earn type is taxed based on the employee’s W-4 election, not at the supplemental rate. Rev. 6-7-07 1.3.7 Mandatory Deductions and Contributions Federal and state laws and regulations require various mandatory deductions. The dollar amounts and/or percentages are revised and updated as changes occur. The following table describes the current mandatory deductions and requirements. Payroll & Benefit Services Page 50 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Mandatory Deductions and Contributions Deduction CU Faculty/Exempt Professional Optional Retirement Plan Description Faculty and exempt professionals (except those enrolled in PERA) are covered by the CU Faculty/Exempt Professional Optional Retirement Plan (ORP), if eligible. This plan offers three fund sponsors: TIAA-CREF, Vanguard Group, and Fidelity Investments. For eligibility and other information, contact Payroll & Benefit Services. The University match is pro-rated between each SpeedType to which the employee's wage payment is charged. Federal Withholding (Income) Tax All employees (except nonresident international employees excluded under a tax treaty) are subject to federal withholding tax. The amount withheld is determined by the wage amount for the pay period and the employee's Form W-4 status. Generally, employees who claim married status have less withheld than employees making the same wage who claim single status. Employees who claim more allowances have less withheld than employees claiming fewer allowances. Additional federal withholding can be requested by using the additional tax withholding form on the PBS website (preferred method) or by entering a dollar amount on Form W-4. Employees who determine they are not subject to federal income tax may claim exempt by completing line #7 on Form W-4 and submitting it to PBS. Exempt status must be th renewed annually by February 15 of each year. Exempt th status expires on February 16 if not renewed. Note: Nonresident employees must not complete a W-4. Please contact a PBS International Tax Specialist for instructions. Employee deduction calculated based on Form W-4 entries None Employee Portion Employee contributes 5% of includable salary University Portion University contributes 10% of includable salary Payroll & Benefit Services Page 51 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Mandatory Deductions and Contributions Deduction Medicare Tax Description Medicare tax deduction is a percent of salary (currently 1.45% with no annual limit. Employees covered by Medicare tax include: Employees covered by Social Security (OASDI*) automatically have a deduction for Medicare tax; All PERA eligible employees hired on or after April 1, 1986; Student employees enrolled in the student retirement plan. The University’s matching contribution is pro-rated among all SpeedTypes to which the employee's wage payment is charged. Nonresident international employees with F, J, M, or Q visa statuses are potentially exempt. Please check with the PBS international tax specialist for more information. *The Federal Insurance Contributions Act (FICA) provides the authority to collect Social Security Payroll Taxes, which include an OASDI (Old Age, Survivors, and Disability Insurance) and a Medicare component. Occupational PrivilegeTax (a.k.a. Head Tax) – City of Aurora, Glendale, and City and County of Denver All employees performing services within the City of Aurora, Glendale, or within the City and County of Denver for any period of time in a calendar month, and receiving compensation above the specified limits (City of Aurora $250/month or more, Glendale - $750.00/month or more, and City and County of Denver - $500/month or more) are subject to a mandatory Employee Occupational Privilege Tax, also known as a head tax. Employee contributes either: $2.00/month for Aurora Head Tax $5.00/month for Glendale Head Tax $5.75/month for Denver Head Tax Public Employees' Retirement Association (PERA) All classified staff, eligible exempt professionals and some faculty are enrolled in PERA, which includes both an employee deduction and an employer contribution. PERA retirees returning to work are also enrolled in PERA (10.15% employer contribution only). The University match is pro-rated among all SpeedTypes to which the employee's wage payment is charged. Employee contributes 8% of includable salary. University contributes 10.15% of includable salary None Employee Portion Employee contributes 1.45% of includable salary University Portion University contributes 1.45% of includable salary Payroll & Benefit Services Page 52 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Mandatory Deductions and Contributions Deduction Public Employees' Retirement Association (PERA) - AED Description In addition to the PERA employee deduction and employer contribution, PERA requires an additional employer contribution called the Amortization Equalization Disbursement (AED). Employee Portion None University Portion University contributes a percent that is revised each year based on includable salary. University contributes a percent that is revised each year based on includable salary. University contributes 6.2% of includable salary up to annual maximum. Short Term Disability (STD) – Classified Staff Short-term disability coverage is provided for all eligible classified staff. A financial system allocation charges a percent of subject salary to the SpeedType charged the employee's wage payment. The University cost is pro-rated among all SpeedTypes to which the employee's wage payment is charged. Employees (other than PERA participants and student employees) are subject to OASDI* deductions. The deduction is a percent of eligible salary up to a ceiling amount, indexed annually. The University match is pro-rated among all SpeedTypes to which the employee's wage payment is charged. Non-resident aliens with an F, J, M, or Q visa status are potentially exempt. Please check with the PBS international tax specialist for more information. *The Federal Insurance Contributions Act (FICA) provides the authority to collect Social Security Payroll Taxes, which include an OASDI (Old Age, Survivors, and Disability Insurance) and a Medicare component. None Social Security (OASDI*) Employee contributes 6.2% of includable salary up to the annual maximum. Payroll & Benefit Services Page 53 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Mandatory Deductions and Contributions Deduction State of Colorado Withholding (Income) Tax Description All employees (except nonresident international employees excluded by tax treaty) are subject to state withholding tax. The deduction is based on the wages for the pay period and the employee's federal Form W-4 status. Employee's requiring additional state withholding may do so by completing a PBS Additional Federal/State Tax Withholding Request form (available from the Payroll & Benefit Services website at: http://www.cusys.edu/pbs/forms/ ). Employees who determine they are not subject to either federal or state income tax may claim exempt by completing Form W-4 and submitting it to PBS. Colorado does not have a state equivalent of the federal Form W-4, so employees can file the Form W-4 for both federal and Colorado income tax withholding purposes. If an employee is subject to federal withholding, but determines that s/he is not subject to Colorado State withholding, s/he may request exemption from Colorado withholding tax by completing the Exemption from State of Colorado Withholding form, available at http://www.cusys.edu/pbs/forms/. To be exempt from State of Colorado withholding, no service may be performed within the State of Colorado, nor may you reside in the State of Colorado. (Federal tax will continue to be withheld.) Student Retirement Plan Student workers and student faculty not enrolled in the minimum number of required academic credits, and students who work 40 hours or more per week, are subject to the student retirement plan (and to Medicare tax at 1.45%, per IRS rules; see above section on Medicare Tax). The required retirement plan deduction is 7.5% of subject wages. The University does not match student retirement plan deductions. For more information, please refer to the Student Retirement Fact Sheet at http://www.cusys.edu/pbs/benefits/emplgroups/downloads/student-ret-facts.pdf or contact your student employment office. Long-term disability coverage is provided for all eligible faculty and exempt professionals. The cost is pro-rated among all SpeedTypes to which the employee's wage payment is charged. Employee Portion Employee deduction is calculated based on Form W-4 entries and PBS Additional Federal/ State Tax Withholding Request form (use Additional Federal/ State Tax Withholding Cancellation form to cancel a request for additional tax withholding) University Portion None Employee contributes 7.5% of includable salary. None TIAA-LTD Faculty and Exempt Professionals None University contributes a flat dollar amount, revised each year. Payroll & Benefit Services Page 54 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Mandatory Deductions and Contributions Deduction Unemployment Description Employees (other than student workers and student faculty) are covered by unemployment through the State of Colorado. Each month, a financial system allocation charges a percentage of covered wages to the SpeedType(s) charged for employee wages. Workers' Compensation The University is required to provide Workers' Compensation coverage to all individuals employed by the University. Each month, a financial system allocation charges a percentage of covered wages to the SpeedType(s) charged for employee wages. None Employee Portion None University Portion University contributes a percent of includable salary, revised each year University contributes a percent of includable salary, revised each year Rev. 10-31-06 1.3.8 Overpayment of Wages Collection of wages paid in error to an employee is required by the State Fiscal Rules, Chapter 9, Rule 9-4, at http://www.colorado.gov/DPA/DFP/SCO/FiscalRules/8-1-05/rules%208-105.htm. The relevant University overpayment policy is located at http://www.cusys.edu/pbs/payadmin/policies/downloads/overpayment.pdf. When an overpayment has occurred, the following process applies: Notice of Overpayment Adjustment Whenever an overpayment of wages has occurred, the employing department completes the Notice of Overpayment Adjustment form which is available on the PBS website at http://www.cusys.edu/pbs/forms/downloads/Overpayment_Notice-PBS.xls. Please check the website for the current version; do not use an obsolete form. Fill out the form completely for timely processing. Be sure to correct any HRMS entry errors that may have contributed to the cause of the overpayment. It is the department’s responsibility to notify the employee that an overpayment has occurred and to make any necessary corrections to the employee’s HRMS records. Once the form is completed and the HRMS system has been corrected (if necessary), the department distributes as follows: 1. Payroll & Benefit Services (original) 2. Employee (copy) 3. Department (copy) Payroll & Benefit Services Page 55 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Calculation of Overpayment Amount Payroll & Benefit Services will calculate the repayment amount due (net overpayment amount), and follow up in writing with the employee and the department. Overpayment Recovery Schedule and Process PBS establishes a recovery schedule based upon guidelines described in the Overpayment Policy and notifies the employee by mail. The criteria used in making this determination include consideration of employment status, the time frame of the overpayment, and the percentage of regular gross pay that it represents. Acceptable methods of payment are by personal check or by payroll deduction (active CU employees only). Questions about the repayment schedule and methods should be directed to the PBS Overpayment Counselor. All checks or cash for overpayment recoveries must be sent or delivered (for cash) directly to Payroll & Benefit Services. Departments should not deposit checks and/or cash received from their employees as repayment for an overpayment. All overpaid employees must send all repayment monies directly to Payroll & Benefit Services, not to their department. Failure to Repay If the employee fails to complete payment within the established recovery schedule the remaining amount due will be turned over to the State of Colorado Central Collection Services. Once an overpayment goes to Collections, the employee is responsible for payment of the debt, plus any associated court costs and penalties. Reporting of Overpayments on Form W-2 Per IRS regulation, any overpaid amount not repaid by the end of the calendar year must be reported as taxable income. In addition, once the tax year has completed, federal and state withholding can no longer be adjusted and must be included in the overpay due amount. This will increase the amount owed by the employee. Payroll Liaisons should pay special attention to identifying and processing overpayments that occur near the end of the tax year. Overpayments that cross tax years can have a significant negative impact on an employee’s taxes and repayment amounts. It is always preferable if the overpayment can be discovered and repaid during the same tax year as it occurred. It is also important to keep employee appointment dates, employment status, and mailing address current in HRMS, since this data can have an impact on the recovery process. Questions and Assistance For assistance with an overpayment calculation, contact a PBS payroll counselor at 303735-6500 Option 2. For assistance with the repayment process, employees should refer to the instructions included in the Notice of Overpayment letter. Rev. 10-31-06 Payroll & Benefit Services Page 56 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 1.3.9 Payment Errors – What to Do To avoid payment errors before they happen, payroll liaisons should review appropriate HRMS reports after every payroll and initiate any check or advice pulls when necessary. If errors do occur, the appropriate process for correcting them depends upon the type of the error. Employing departments should assist their employees with proper routing and follow up when potential errors are identified. The following procedures provide general guidelines for department and employee use, depending on the type of payment error. Gross Pay Error The employing department verifies that all paperwork was processed accurately and in a timely manner and that appropriate procedures were followed. If a payment error is identified, the appropriate correction is initiated by the department, based upon whether an underpayment or overpayment has occurred. (See Section # 1.3.12 Retroactive Wage Process in this guide for underpayments, or Section # 1.3.8 Overpayment of Wages in this guide for overpayments. Section # 1.3.11 Pull or Stop Payment also may be helpful. General Deduction Error For general deductions, contact the department or unit providing the service. That unit will review the information and correct the deduction as necessary (see Section # 1.3.4 Deductions (General) – Campus Contacts and Payroll Schedule). Benefits Deduction Error Benefits questions should be directed to a PBS benefits counselor who will review the information and correct the deduction if necessary. Call PBS at (303) 735-6500 Option 3 for benefits information. Tax Deductions Contact a PBS payroll counselor for questions concerning federal and state withholding, OASDI, Medicare tax and occupational tax. Call PBS at (303) 735-6500 Option 2 for payroll information. Rev. 10-31-06 1.3.10 Payment of Wages Owed All employees are entitled to a timely and accurate wage payment. This requires that offline and online approvals at the campus level, if needed, are completed by payroll deadline dates and that campus department HRMS (Human Resources Management System) entry is timely, complete, and accurate. Campus payroll calendars list Payroll & Benefit Services Page 57 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 departmental approval and data entry deadlines that must be met to assure timely and accurate wage payments. The payroll calendars are located on the PBS website at http://www.cusys.edu/pbs/hrms/ps/calendar.html. Rev. 10-31-06 1.3.11 Pull or Stop Payment to Prevent an Overpay It may be necessary to stop an employee’s pay after it has already been generated but prior to receipt by the employee. This is accomplished by processing a bank advice pull, a check pull, or a check stop payment, depending on the method of payment and timing of the correction. Reasons for stopping an employee’s pay may include: 1. The payroll liaison reviews the payroll register report prior to payday and discovers that a terminated employee is about to be paid. 2. The payroll liaison reviews the payroll register prior to payday and discovers that an employee was incorrectly returned from short work break and is about to be paid for time that was not worked. 3. The payroll liaison receives notification that an employee died. Payment of the final paycheck must be stopped so that it can be reissued properly to the employee’s estate/heirs with the correct taxes withheld (taxation rules change in this situation). 4. The payroll liaison notices an entry error that will cause an employee to be overpaid. Payroll and Benefit Services requests that departments notify PBS so that we can intercept and correctly replace (if appropriate) the payment, rather than the department attempting to collect the overpayment from the employee. All overpayments must be processed by PBS to insure appropriate notification, accuracy of calculation, and appropriate adjustments to employees’ W-2 forms. If the pay is being stopped (for checks) or pulled (for automatic bank deposits), the department must notify the employee. This is necessary to avoid possible financial hardship or inconvenience created by delayed replacement of the funds or changing the format of payment (receiving a replacement check instead of an automatic bank deposit). Note: If it is determined after pay has been initiated but before receipt by the employee that the employee will be underpaid, pay should not be stopped. Additional payment should be processed as discussed in Section # 1.2.3 Late Payment of Wages in this guide. Methods for stopping an employee’s pay: Bank Advice Pull The term “bank pull” is used by PBS when regular biweekly or monthly pay that is being distributed by bank direct deposit is stopped before payday. This action must be Payroll & Benefit Services Page 58 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 taken by the due date shown as “Check Stops - Advice Pulls” on the PBS Payroll Production Calendar, which is set as 10:00 a.m. two business days before each payday http://www.cusys.edu/pbs/hrms/ps/calendar.html. Check Pull The term “check pull” is used by PBS when regular biweekly or monthly pay that is being distributed by check is pulled before the check is mailed to an employee. This action can occur between the time the employee’s regular pay cycle is closed and 10:00 a.m. two business days before pay day. During this time frame the check has not yet been released by mailing services and can still be returned to PBS. Check Stop The action to stop payment on a check begins from the time CU Mailing Services mails the check to the employee, which happens one day before payday. At this point it is too late to intercept the check and have it returned to PBS. Check stops have no time limit but can only be done when the check has not already been deposited or cashed. Reissue of pay (if appropriate) will not be completed until the bank has confirmed the stop pay process is complete. The department payroll liaison should follow these procedures to intercept an incorrect payment: 1. The payroll liaison should call PBS at (303)735-6500 Option #2, and request the pull by speaking directly to a payroll counselor (leaving a phone message is not sufficient). 2. This must be followed up either with a faxed request, signed by the payroll liaison, or with an e-mail request sent from the liaison’s campus email address (email is preferred). Send the request directly to the payroll counselor with whom you spoke in #1 (to their direct email address, or to their attention if faxed). The request must contain the payroll liaison’s name and phone number, employee name and EMPL ID, pay cycle, pay date, amount to pull/stop, reason for the pull, and payment method (advice or check). The request must be received by PBS no later than 10:00 a.m. two business days prior to payday. 3. No action will be taken until a written request is received as described above. 4. If a replacement check is required, the department payroll liaison should follow the procedures to request a hand drawn check. (See Section # 1.3.5 Hand Drawn Warrants in this guide.) Provided sufficient time is allowed as indicated above, PBS will place a request to either pull the check prior to mailing or pull the advice from the bank tape prior to sending it to the bank, whichever is necessary. Note: Canceling pay when no replacement pay is requested will also cancel all health/life/dental/general deductions included in the original payment. If this is not correct for any reason, the department payroll liaison should contact PBS so that benefits will not be adversely affected. It is also the responsibility of the department liaison to notify the employee that no replacement pay is being requested so the employee can take care of Payroll & Benefit Services Page 59 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 any personal financial obligations. PBS is not responsible for any bank overdraft fees or penalties. Rev. 10-31-06 1.3.12 Retroactive Wage Process & Form (Correcting an Underpayment of Wages) Retroactive pay refers to monies not paid when due or to a pay rate change that should have taken effect in a previous pay period. It can never include advance payment of current wages. Retroactive pay may be due to an employee for a variety of reasons: • Late entry or approval of job data (past the payroll schedule/approval deadlines) • Incorrect entry of job data (including late entry of pay rate change) • Unapproved job data entries • Hours not entered into Time Collection (hourly employees only) • Too few hours entered in Time Collection (hourly employees only) Calculating Retroactive Payments 1. Contract Pay – Must Use Retroactive Pay Adjustment Form: If the retroactive pay amount is for an employee paid in HRMS by CONTRACT the request for a payment adjustment must be submitted in writing to PBS using the Retroactive Pay Adjustment form available on the PBS website at http://www.cusys.edu/pbs/forms/ . Since special system processing is required whenever contract pay is adjusted, these requests must be submitted to PBS for processing. The department should never process retroactive pay for contract paid employees in Time Collection. 2. No Pay Received: Employee did not receive any pay for the first monthly or biweekly pay cycle after his/her hire date, and therefore must be paid for the full month or partial month that was missed. Example: Use this when the employee starts working sometime after the first working day of the month and cannot be paid for the first month by the payroll system, due to the timing of the payroll deadlines. For example, use this to calculate pay for an employee with a hire date of October 25, 2006 who did not receive any October end-of-month pay because the input deadline had passed. Employee’s monthly salary is $2,870.00 and employee started on 10/25/06. Employee works 5 out of the 22 working days in October. Calculate pay as follows: Total Monthly Salary ÷ # of working days in the month = $ paid per day $ paid per day X # of actual days worked = gross $ owed to pay employee Payroll & Benefit Services Page 60 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 $2,870.00 ÷ 22 days in the month = $130.45 per day $130.45 per day X 5 days worked = $652.25 pro-rated gross salary 3. Partial Month Pay Rate Change Not Received: Partial month pay rate change was not entered or approved for the month it was effective. Pay Rate Change row must be entered and approved in Administer Workforce>Job Data using the effective date that the pay rate change actually occurred. (If inserting this row with the appropriate effective date requires correction ability, contact the department Dean’s or Director’s office or a PBS payroll counselor for referral to the appropriate campus operator.) Example: Use this calculation when an employee receives a salary increase any time after the first of the month, and it is too late to change the rate in HRM (i.e. payment of a salary increase in addition to the salary amount already paid). For example, use this to calculate the additional pay due to an employee who receives a salary increase effective October 25, 2006. The employee already received his/her regular salary of $2,870.00 for October but did not receive the additional dollars for the increase to $3,000.00 per month that was effective 10/25/06. New monthly salary - Previous monthly salary = Pay difference per month. (This difference can be found in HRMS in Job Data - Compensation next to “change amount.”) Pay difference per month ÷ # of working days in the month = increase per day Increase per day X # of days worked at higher rate = pay increase due $3,000.00 - $2,870.00 = $130.00 $130.00 ÷ 22 = $5.91 pay increase per day $5.91 x 5 days worked (10/25 through 10/31) = $29.55 pay increase due 4. Full Month Pay Rate Change Not Received: Full month pay rate change (payment of a salary increase for a full month) was not entered or approved for the month it was effective. Pay Rate Change row must be entered and approved in Administer Workforce>Job Data using the effective date that the pay rate change actually occurred. (If inserting this row with the appropriate effective date requires correction ability, contact the department Dean’s or Director’s office or a PBS payroll counselor for referral to the appropriate campus operator.) Example: Use this calculation when an employee receives a salary increase effective at the beginning of the month, and the department was unable to input the data into HRMS by the payroll deadline. For example, use this to calculate the additional pay due to an employee who receives a salary increase effective October 1, 2006, which increased his/her salary from $2,870.00 to $3,000.00 per month. New monthly salary - Previous monthly salary = Pay difference per month Payroll & Benefit Services Page 61 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Pay difference per month = additional retroactive pay amount to pay employee for the month $3,000.00 - $2,870.00 = $130.00 Pay the employee an additional retroactive pay amount of $130.00 Suggested Best Practices: • As a best practice for both biweekly and monthly pay adjustments, if the retroactive pay amount due is relatively small (determined at the department’s discretion; the recommendation is 15% of normal base salary, or less), the department is encouraged to enter the retroactive pay (LTP) due into Time Collection for hourly paid employees only (do not use Time Collection to enter contract pay, per the above note, or pay for any monthly employee). The hourly employee will then be paid on the next available pay cycle (hourly pay rate x # of hours worked). The department may also enter larger amounts of retroactive pay into Time Collection for their hourly paid employees, whenever the employee is able to wait until the next regularly scheduled pay date for payment. PBS recommends that departments enter their retroactive pay for hourly paid employees as LTP (late pay) in Time Collection. For all salaried employees and contract paid employees, the department should complete a Retroactive Pay Adjustment form and submit it to PBS for processing (do not enter it in Time Collection). PBS will process the form for payment on the next regularly scheduled pay date. For larger amounts of pay due, when the employee cannot wait until the next pay date for payment, the department may submit a hand drawn request to PBS (no Retroactive Pay Adjustment form should be submitted in this case). Important: When the department codes the information onto the Retroactive Pay Adjustment Form, it is very important that the correct earn type be used. RGS cannot be used for all salaried monthly appointments. Many appointments are Stipends and need to be paid using the STP earn type. Others are student faculty and need to use the STS earn type. Using an incorrect earn type may cause inappropriate deductions to be taken. For example, using RGS for a stipend payment will incorrectly deduct OASDI and Medicare from the employee’s pay, and the incorrect taxes will have to be refunded. As a general rule, always use the same earn type as the employee’s regular payment. If you are in doubt as to the correct earnings code to use, please contact a PBS payroll counselor for assistance. Procedures by Pay Type (Salaried or Hourly) Follow procedures below, depending on the pay cycle (monthly or biweekly) of the wage payment: • Salaried Retroactive Wage Payment (New Hire, Transfer, Rehire and/or Add Concurrent Job – Salaried Employee): • • • Payroll & Benefit Services Page 62 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 When a new hire, transfer, rehire and/or add concurrent job action is entered with an effective date for a prior pay period, the Retroactive Pay Adjustment Form (located on the PBS website at http://www.cusys.edu/pbs/forms/ should be completed and the form should be faxed to PBS at 303/735-6599 for processing. The employee will be paid on the next available regularly scheduled pay date. Note: If an emergency wage payment is requested for retroactive wages due, the department must submit a Hand Drawn Warrant Request form in order for payment to be issued. DO NOT SUBMIT a Retroactive Pay Adjustment Form if a hand drawn is being requested. The Hand Drawn Warrant Request form is available on the PBS website at http://www.cusys.edu/pbs/forms/ for this purpose. • Hourly Retroactive Wage Payment 1 - New Hire, Transfer, Rehire and/or Add Concurrent Job – Hourly Employee: Retroactive hourly wage payments should be entered in Time Collection by the department as LTP (Late Payment) using the Hours field. The employee will be paid on the next regular pay cycle. Note: If an emergency hourly payment (hand drawn request) is needed for retroactive wages due DO NOT ENTER the hours in Time Collection. The department should submit a Hand Drawn Warrant Request form in order for payment to be issued quickly. On the Hand Drawn Warrant Request form, please provide the pay period(s) affected, missing hours and appropriate pay rate. (The Retroactive Pay Adjustment form should not be submitted if a hand drawn is being requested. Submitting both forms will result in an overpayment to the employee.) 2 - Pay Rate Change – Hourly Employee: If a retroactive adjustment is needed due to an increase in compensation amount (hourly rate) for a prior pay period, the dept calculates the difference between the old pay rate that was used and the new pay rate that should have been used. Multiply the number of hours worked times the difference in the pay rate and enter this amount in time collection using the LTP (Late Payment) earn code with a flat dollar amount. (Enter this flat dollar amount in the Addl Amt field, not in the Hours field.) Note: If a hand drawn warrant is requested, do not enter in Time Collection. This will result in an overpayment to the employee. On the Hand Drawn Request form please provide the pay period(s) that is affected, the incorrect rate that was paid, and the correct rate and hours. Tax Calculation for Retroactive Payments Retroactive pay will be taxed in the current pay period using the employee’s W-4 status unless a One-Time Payment earnings code is used. One-time payment earnings codes are taxed at the supplemental tax rate. (See Section # 1.2.4 One-Time Payment in this guide for additional information). Supplemental Tax Rate is 25% for federal and 4.63% for state. Payroll & Benefit Services Page 63 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Adjustments to Exception Pay When calculating retroactive pay owed to an employee, exception pay must also be accounted for. Examples include docks, overtime pay, or shift pay that was paid on the pay cycle(s) affected. Please refer to the following examples for guidelines. Example #1 - Docks: An employee who makes $2,000.00 per month was docked (DK2) on their May 2006 paycheck for two hours of leave without pay taken in April 2006. The amount docked using DK2 (Dock Prior Month) was $25.00 (20 working days in April x 8 hours/day = 160 hours; $2000.00 ÷ 160 = $12.50/hour x 2 hours = $25.00). It is later discovered that the employee was supposed to receive a pay increase to $2,100.00 per month effective April 1. If the pay increase had taken place on 4/1 as intended, the amount docked would have been $26.25 ($2,100.00 ÷ 160 hours = $13.125/hour x 2 hours = $26.25). Since a retroactive pay rate change is being processed effective 4/1, subtract an additional dock amount of $1.25 ($26.25-$25.00) from the retroactive rate increase of $100.00 that is being paid. The employee is due $98.75 in retroactive pay. Example #2 - Overtime Pay: An employee who makes $2,000.00 per month ($11.538 per hour annualized rate) was paid on their April paycheck for two hours of overtime worked in March. The overtime pay, paid at time-and-one-half, was $34.61. In May, it is discovered that the employee was supposed to receive a pay increase to $2,100.00 per month ($12.115 per hour annualized rate) effective April 1. If the pay increase had taken place on 4/1 as intended, the employee would have been paid overtime in the amount of $36.35 (12.115 x 1.5 x 2 hours). The employee is due an additional $1.74 for overtime in addition to the $100.00 due for the rate increase. (Note: overtime is paid at the rate in effect for the month in which it is paid, not the month in which it is earned.) Example #3 – Shift Pay: An employee who makes a base salary of $2,000.00 per month ($11.538 per hour annualized rate) was paid on their April paycheck for an additional 184 hours of shift pay, for hours worked on the second shift during March. Since the shift differential was 7.5%, the employee’s April pay included the $2,000.00/month base plus $159.22 for the shift differential, for a total pay of $2,159.22. In May, it is discovered that the employee was supposed to receive a pay increase to $2,100.00 per month ($12.115 per hour annualized rate), effective April 1. If the pay increase had taken effect as intended, the employee would have been paid $2,100.00 plus $167.19 ($12.115 x 184 x .075)) for the shift differential, for a total pay of $2,267.19. Retro pay due would be $100.00 for the additional base pay plus $7.97 ($167.19 - $159.22) for the additional shift pay, for a total of $107.97 retro pay due. Please contact a PBS payroll counselor for assistance with these calculations. Departments may also complete a Retroactive Pay Adjustment form and submit it to PBS for processing. PBS will confirm the calculation of the retroactive adjustments needed for base pay and exception pay and process the payment on the next regularly scheduled pay date. Rev. 10-31-06 Payroll & Benefit Services Page 64 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 1.3.13 Signing Bonus – Classified Staff Signing Bonuses are a part of the state’s Discretionary Pay Differential guideline for state classified employees only. Departments should check with their campus human resources department prior to using any pay differentials, since each campus may have specific policies on their use. For general reference regarding pay differentials for state classified employees, see the State of Colorado’s Technical Assistance – Non-Base Building Discretionary Pay Differentials guide located at http://colorado.gov/dpa/dhr/rules/docs/payhelp.pdf. Once campus department requests are approved by the appropriate human resources department, these types of payments may be made to classified employees. Bonus payments are processed through HRMS (Human Resources Management System) Time Collection in a One-Time Payment batch. Prior to entering the payment a One-Time Payment form (OTP) must be completed and routed for off-line approval, based upon individual campus requirements. The blank form is available on the PBS website at http://www.cusys.edu/pbs/forms/. Health Sciences has a unique form for one-time payments, available in the campus-specific forms section of the PBS website http://www.cusys.edu/pbs/payadmin/forms-payroll/campus.html. Once approval has been received, the employing department enters the bonus amount, earn code and SpeedType via Time Collection by creating a one-time payment batch and entering the employee’s bonus. The department initiating the bonus completes the OTP form (routing instructions are included on the form), using the earnings code of BON, and enters the dollar amount to be paid into a one-time payment Time Collection batch. The bonus payment will be automatically included on the next available regular payday for the employee. Bonus one-time payments are taxed at the supplemental rate of 25% for federal withholding and 4.63% for state withholding. Medicare tax amounts are also withheld, if applicable. Bonuses are not subject to PERA or included in overtime calculations. Note: Departments have the ability in Time Collection to override the SpeedTypes that are recorded on the position’s funding distribution page. Be careful to use appropriate SpeedType when processing a signing bonus payment. Rev. 10-31-06 Payroll & Benefit Services Page 65 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Section # 1.4 Wage Assignments 1.4.1 Child Support and Maintenance Orders Last Revised 7/ 9/2007 Child Support and Maintenance Orders are generated by courts or designated family support agencies to provide financial support for an employee’s dependent children and/or former spouse. The court/agency provides a copy of the order to the employee and sends a copy to the employer for processing. Employers are required by law to deduct these payments from an employee’s wages in accordance with the order. In addition, Employers must continue deducting payments until a release is received from the court/agency that initiated the order. When an order is received, Payroll & Benefit Services will attempt to contact the impacted employee by phone, email or letter. This notification to the employee is sent in addition to the order previously sent by the courts or family support agencies. In some cases the employee may not receive this information until payday or later, depending on the date of receipt of the order. Questions regarding deduction amounts for child support orders should be directed to PBS. See also Section # 1.4.4 Wage Assignments in this guide. Rev. 10-31-06 1.4.2 Garnishments (Wage Assignment) Garnishments are legal orders instructing an employer to withhold pay from an employee’s wages in order to satisfy a creditor debt incurred by the employee. The University is required by law to process and deduct the amounts indicated on garnishment orders (Writs of Garnishment), based on specific calculation guidelines. When a garnishment order is received, Payroll & Benefit Services will attempt to contact the impacted employee by phone, email or letter. However, depending on date of receipt of the order, in some cases the employee may not receive this information until payday or later. Questions regarding deduction amounts for garnishments should be directed to PBS. See also Section # 1.4.4 Wage Assignments in this guide. Rev. 10-31-06 1.4.3 Tax Levies (Wage Assignment)) Tax levies are orders issued by the Internal Revenue Service or state government instructing an employer to withhold from an employee’s wages an amount owed for outstanding unpaid taxes. The university is required by law to process and deduct amounts required by tax levies. When an order is received, Payroll & Benefit Services will attempt to contact the affected employee by phone, email or letter. However, depending on the date of receipt of the order, in some cases the employee may not receive this information until pay day or later. Tax levies, as well as garnishments, are sometimes Payroll & Benefit Services Page 66 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 generically referred to as wage levies or wage assignments. Questions regarding tax levies should be referred to PBS. See also Section # 1.4.4 Wage Assignments in this guide. Rev. 10-31-06 1.4.4 Wage Assignments Wage assignments are orders or agreements instructing an employer to withhold pay from an employee’s wages. They can be voluntary or involuntary. Voluntary wage assignments include voluntary repayment agreements negotiated with the Internal Revenue Service to pay taxes owed. Involuntary wage assignments include tax levies (federal or state), creditor garnishments, delinquent student loans, child support and maintenance orders, payments required by bankruptcy proceedings, etc. All wage assignments, voluntary and involuntary, must be processed through Payroll & Benefit Services. Any paperwork for these orders that is delivered to the campuses must be forwarded to PBS for processing. Campus departments should not sign for or accept any paperwork served for wage assignments. If delivery attempts are made at a campus location, notify the carrier that they will need to re-route the item for receipt by the PBS office, located at 3100 Marine Street, 6th Floor in Boulder. This will help insure that the University complies with all requirements related to the deduction, reporting, and distribution of monies taken from employees’ pay. Amounts voluntarily negotiated by employees to repay federal or state taxes are the only types of voluntary wage assignment that are accepted by the University of Colorado. We are unable to honor any employee requests for voluntary wage assignments for other purposes. The University complies with all legal orders for these types of deductions. Any questions regarding wage assignments should be referred to PBS. Rev. 10-31-06 Section # 1.5 Finance Related Topics 1.5.1 Encumbrances (Financial Reporting) The purpose of the encumbrance program is to create transactions in the financial system to show the total cost for an employee’s salary plus employer-paid benefits and taxes over a period of time. The amount of time that is used for each position and funding source is calculated using the funding end date, the appointment end date, the project end date, Payroll & Benefit Services Page 67 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 and/or the fiscal year end date. The encumbrance process runs after each payroll cycle and the resulting data is loaded from HRMS into the financial system. Calculate Salary Salary is calculated based on the active funding distributions. Depending on the appointment type and the type of FOPPS (SpeedType), the encumbrance will be calculated from the current month through the funding distribution end date, fiscal year end date, or the account project end date as found in the Chart of Accounts. Calculate Benefits The University contribution for PERA, the CU Faculty/Exempt Professional Optional Retirement Plan (ORP), health and life insurance, and disability insurance are all encumbered. The amounts are calculated based on either a percentage of the gross pay or a fixed dollar amount per month. The encumbrance for benefits contributions will appear in the salary FOPPS (SpeedType), i.e. it will be charged to the department’s salary account, unless a pooled FOPPS (SpeedType) is assigned in the Funding Rules Table. For information, contact your campus budget office. Calculate Taxes The University contributions for OASDI and Medicare tax are encumbered. The amounts are calculated based on a percentage of the gross pay. The encumbrance for tax contributions will appear in the salary FOPPS (SpeedType), unless a pooled FOPPS (SpeedType) is assigned in the Funding Rules Table. For more information, contact your campus budget office. Management Tool The new amounts that have been calculated for employee salary and employer-paid benefits and taxes are then updated to encumbrance tables in the financial database. These amounts are stored based on the FOPPS (SpeedType) and account ChartField combinations. This information can then be viewed on various financial reports. For additional information, see Payroll Encumbrances at http://www.cusys.edu/pbs/hrms/resources/downloads/Encumbrance-Process.pdf. Rev. 10-31-06 1.5.2 Expenditure Controls Each campus department, as well as PBS and the PSC, is responsible for maintaining proper controls for payroll/benefits expenditures. The following lists payroll controls required by the Department of Internal Audit: 1. The Procurement Center (PSC) and campus departments must ensure that employees of the University are not receiving honoraria via the accounts payable system. Payroll & Benefit Services Page 68 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Note: University employees must be paid by position and job creation or by Time Collection for all payments. 2. Keep payroll physical files locked at all times. Access to the physical files must be limited to individuals with personnel recording, reporting, and verification responsibilities. 3. Separation (termination) actions must be completed in a timely fashion and must comply with State Fiscal Rule 9-3, .01 and .02. Fiscal rules are available at http://www.colorado.gov/dpa/dfp/sco/FiscalRules/7-1-06/rules.htm 4. The responsible supervisor and payroll person (liaison) or departmental administrator must maintain an employee work record (EWR) for each employee. The EWR is used to document all types of leave usage and approved leaves of absence. (EWR examples are on the PBS website at http://www.cusys.edu/pbs/forms/.) 5. Any corrections made on the employee work record should have supervisory signature approval. 6. Campus departments and PBS should ensure that an employee (when overpaid) repays the University. See Section # 1.3.8 Overpayment of Wages in this guide for more information. (Use the Overpayment Notice form, available on the PBS website at http://www.cusys.edu/pbs/forms/.) 7. The department must ensure that all compensatory time granted for overtime work is pre-authorized and properly recorded on the employee work record. The department must comply with federal FLSA laws, University rules and regulations, and with State Department of Personnel rules for hours of work and overtime/compensatory time for department classified staff. 8. The department chair/director, or other individual not directly part of the payroll process must regularly review reports and financial system statements to verify that appropriate wage payments were issued. Rev. 10-31-06 1.5.3 Payroll Expense Transfers Once a pay cycle has closed, transactions for salaries and benefits to charge the departmental SpeedType/FOPPS (ST/FOPPS) are posted to the financial statements. Those charges will be directed to the ST/FOPPS indicated on the position’s funding distribution pages in the Manage Positions module when the pay cycle closed (unless an override ST/FOPPS was used in Time Collection). If the funding distributions were incorrect for a particular pay cycle, and salary and benefit charges did not post to the correct ST/FOPPS, the department must process a payroll expense transfer (PET) to move those charges to the correct ST/FOPPS. The PET process automatically moves the benefits associated with the earnings that are being corrected. PET’s are processed by submitting a PET journal entry. The two types of PET’s in the HRMS system are: 1) PET Retroactive Funding Change (PETR), and 2) Correction PET (PETC). The PETR (retroactive funding transfer) is designed to transfer incorrect funding Payroll & Benefit Services Page 69 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 for multiple pay periods with a single PET. The PETC (correction transfer) is designed to correct funding for a single pay period only. Use the appropriate PET Step-by-Step Guide to assist you, located on the PBS website at https://www.cu.edu/pbs/sbs/#od. Departments should contact their campus controller’s office for specific information. PBS does not manage or assist with PET decisions or input into HRMS. If you need assistance with a PET, contact your area accountant or your campus controller’s office. Note: Additional assistance will be available with the new on-line PET training course, scheduled for completion in 2007. Based on the Pay End Date of an incorrect, closed payroll transaction, there are three separate PET processes departments must choose from to correct the error: PET Process Prior to 7/1/2000 If the Pay End Date of the transaction you wish to modify precedes 7/1/2000, (HRMS 7.5 go-live date), the only process that can be used is a Batch Upload process to correct the funding distribution. Contact the System Controller’s office Help Desk at 303/492-9701. Between 7/1/00 and 03/31/03 If the Pay End Date of the transaction is between 7/1/00 and 3/31/03, you may use either a Batch Upload as outlined above or a FIN PET process in the PeopleSoft 8.4 Financial system. This is necessary because the University did not convert all prior Financial Expense Transfer data to the 8.3 upgraded Human Resources Management System (HRMS). 4/1/03 and Later If the Pay End Date of the transaction you wish to modify is 4/1/03 and later, you must use one of the HRMS PET processes (now in version 8.9): the PET/Retroactive Change (PETR) or the Correction PET (PETC). This is because effective 4/1/03 (HRMS upgrade to version 8.3) HRMS became the source of all payroll accounting transactions/journals and is the system of record for all HRMS data. Any PET for Work Study earnings must be entered by the campus Financial Aid offices. Departments may not process this type of payroll expense transfer themselves, since these transactions require a special FAM/PET process. Contact your campus Financial Aid Office for assistance. Payroll & Benefit Services Page 70 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide PET Timeline Reference Chart Last Revised 7/ 9/2007 DATES 4/1/03 – FUTURE 7/1/00 – 3/3l/03 Prior to 7/1/00 Rev. 6-25-07 WHICH PET PROCESS TO USE Use HRMS PET/Retro (PETR) or PET/Correction (PETC) Use Finance 8.4 GL FIN PET or Batch Upload Use Batch Upload 1.5.4 Stale-Dated or Lost Warrants Stale-Dated Warrants: If an employee has not cashed his/her payroll warrant within the allowable period of time noted on the warrant, the warrant is considered stale-dated. When presented for deposit, the financial institution will reject a stale-dated warrant. In order to receive payment for these non-negotiable checks, employees must request in writing that the check be reissued. The process for reissuing these checks is as follows: 1. Employee requesting a reissue of a stale-dated warrant must contact Payroll & Benefit Services and submit their request in writing. Employee should provide the specific pay day of the stale-dated warrant, net dollar amount, their name and Employee ID or social security number. If this warrant is in their possession, the employee must surrender the stale-dated warrant to PBS. 2. After confirming the warrant has not been previously cashed (for cases when the stale-dated warrant is not surrendered) or reissued, PBS will process a replacement. 3. PBS periodically notifies employees of stale-dated checks that are still outstanding via letters sent to the employee’s last known address. The employee may sign and return this notification, which then becomes an authorized request for PBS to reissue the check. Lost Warrants: Lost warrants may occur if an employee loses his/her payroll warrant or if a payroll warrant is lost during mail delivery. Employees must allow 10 business days after payday for the check to be delivered via US mail. If after 10 business days the employee determines that the check needs to be reissued, please follow the procedures below: Payroll & Benefit Services Page 71 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 1. Employee should contact his/her department payroll liaison to request a stop pay and hand drawn replacement. 2. Departments should submit a Hand Drawn Warrant Request form to PBS, indicating lost warrant as the reason for the request. See Section # 1.3.5 Hand Drawn Warrants in this guide for more information. 3. PBS will determine if original warrant was returned due to an incorrect address. If it was, a payroll counselor will contact the department payroll liaison to request an update to the employee mailing address in the HRMS system. After address is corrected, original warrant will be mailed to the new address or arrangements can be made for the employee to pick up the check at PBS. 4. If original warrant was not returned, PBS will place a stop payment on the original warrant after verifying the check had not been cashed. 5. Should the missing warrant arrive in the mail after the stop pay/replacement has already been requested, the employee must surrender the warrant to PBS. Attempting to cash it at this point will result in a rejected bank deposit item and bank service charges to the employee (these charges are the employee’s responsibility). Note: All employees are required to participate in the Direct Deposit program. For more information, refer to Section # 1.1.4 Direct Deposit in this guide. Rev. 10-31-06 Section # 1.6 Records Retention 1.6.1 Records Retention See Section # 5.6 Fair Labor Standards Act in this guide and the Record Retention Checklist on the PBS website at http://www.cu.edu/pbs/payadmin/policies/pay-records.html. State Archives Home Page: http://www.colorado.gov/dpa/doit/archives/rmfaq.htm Schedule 8 for Higher Education: http://www.colorado.gov/dpa/doit/archives/rm/rmman/sch8.htm Rev. 10-31-06 CHAPTER 2 - HRMS 2.1 Address Change (Employee) When an employee has an address (or phone or email) change, it is his/her responsibility to provide this information to the departmental payroll/personnel liaison. To assist with this, there is a form on the PBS website at http://www.cusys.edu/pbs/forms/ titled Payroll & Benefit Services Page 72 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Address/Phone/Email Change for Active Employees. The employee completes this form and submits it to his/her department. The employee’s department is responsible for entering any address/phone/email changes into the system. Once the department has entered the data in HRMS, the department may retain the form for their personnel records. Note: Address changes entered in HRMS will update the employee’s address with health, dental and life insurance providers. It is the employee’s responsibility to contact PERA and the university’s flexible spending account administrators with address changes. For instructions on entering address updates in HRMS, see the Step-by-Step Guide titled Update Address in Modify a Person, located at https://www.cu.edu/pbs/sbs/#wa. Please follow the address criteria below when filling out the form: Note: It is not appropriate to use a campus box number for any of these address fields, except for exceptional circumstances approved by PBS. Home Address This is the employee’s primary or permanent address. It needs to contain a street address; a P.O. Box number cannot be used. For non-resident international employees, this address must be located in their originating country, not a local U.S. address (see International Student Employees section below). Mail Address (for Check, Advice, W-2 Distribution) This address is used if the employee wishes to use an alternate address other than their primary home address to receive payroll warrants, advices, and Form W-2. A campus address cannot be used. International (Nonresident) Employees are to record their address as follows: Home Address: Record foreign address, including country code. Mail Address: Record their local U.S. street address (no P.O. Box # is permitted). Student Address In HRMS Versus SIS Student employee address changes entered in HRMS will not automatically update addresses in the Student Information System (SIS). Likewise, address changes entered in SIS will not automatically update addresses in HRMS. Students need to update their address in both systems. Retiree Address PBS will update address changes for retirees in HRMS upon departmental receipt of the Address/Phone/E-mail Change for Retirees & Former Employees form from the retiree. Departments must forward the form to PBS for entry. This form is available on the PBS website at http://www.cusys.edu/pbs/forms/. PBS will also update a retiree’s address when the Payroll & Benefit Services Page 73 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 retiree includes a note or written request with their monthly insurance premium billing statement/payment. Terminated/Resigned Employee Since the department can no longer access these employees in HRMS, PBS will update the addresses for former employees when an Address/Phone/E-mail Change for Retirees & Former Employees form is submitted to PBS from the former employee(s). This form is available on the PBS website at http://www.cusys.edu/pbs/forms/. Rev. 6-25-07 2.2 Address Change (W-2 Address Verification) Employee permanent and mailing addresses can be verified by the Personal Data Worksheet report. The address located in the EDIT MAILING ADDRESS – LOCAL section of the report is the address used to mail employees’ W-2’s, warrants, and advices. Annually, W-2’s are mailed no later then January 31. To ensure that W-2’s arrive on time and are sent to the correct mailing address, changes to an employee’s mailing address must be completed in HRMS by the first week in January. The Personal Data Worksheet report can be run for an individual employee or by department. We recommend that departments distribute individual reports to their employees in November of each year, asking them to verify or correct their address information. To run this report, please use the following navigation: Home>Reports and Reviews>Personal Information>Personal Data Worksheet (This report prints for a specific employee in a department or all employees in a department.) Rev. 6-25-07 2.3 Contract Pay Set-Up Contract pay set-up refers to how employees on contract are set up to be paid in HRMS. The following contract pay options are available: 9 Pay 9 Academic Year Contract, 9 Pay 12 Academic Year Contract, Fall Contract, Spring Contract, Summer Contract or Other Contract. Contract pay should be used primarily to pay faculty. The Contract Pay page in HRMS is used to designate the payment terms. It is the payment (pay period) begin and end dates, not the employment contract dates, that determine the time frame for which the employee will be paid. For example, the academic year employment contract begin date Payroll & Benefit Services Page 74 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 may coincide with the beginning of the fall semester, such as August 18, but the payment begin date will be effective September 1. There are two inquire fields that identify the Actual Contract Start Date and Actual Contract End Date. These two fields will default to the Contract Begin and End Dates when entering a new contract, and they cannot be changed. These fields will change automatically if there is a change to the contract begin or end date such as a mid-year contract termination. Contract payment end dates will override the appointment end date. Employment status for contract paid employees automatically changes from active to terminated status the day following the contract payment end date (with the exception of regular faculty [11xx job code series] on 9/9, 9/12, Fall and/or Spring contract pay types). HRMS generates the termination action after the completion of the end of month payroll process. For 11xx job code series regular faculty on Summer or Other contract pay types this process will be run. Note: For contract pay employees, the contract payment end date will always stop salary payments, regardless of whether or not an appointment end date is entered in HRMS. Contract Pay Types are used to define the types of contract pay that are available. To ensure correct set up and payment on a contract please refer to the Step-by-Step Guides, Contract Pay section, located on the PBS website at https://www.cu.edu/pbs/sbs/#cp. Below is a table of the contract pay types available for use. Contract Pay Type Faculty AY Pay Over 9 Months Faculty AY Paid Over 12 Months Fall Contract Description Fac Paid Over 9 Months Fac Paid Over 12 Months Fac Paid for Fall Contract Pay Type Fac 9pay9 Fac 9pay12 Fall Cntrt Payment Terms Pay Over Contract (9 Month AY) September - May Pay Over 12 Months September - August Pay Over Contract (Fall) September - December Pay Over Contract (Spring) January - May Pay Over Contract (Summer) Pay Over Contract Spring Contract Fac Paid for Spring Contract Sprg Cntrt Summer Contract Other - Paid Over Contract Fac Paid for Summer Contract Fac Paid Over Contract Sumr Cntrt Oth Cntrct Rev. 6-25-07 Payroll & Benefit Services Page 75 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 2.4 Department Create/Delete, Update/Change Last Revised 7/ 9/2007 Department Create or Delete To create or delete a department in the Human Resources Management System (HRMS), the requesting department’s dean/director/chair/designee needs to contact the University Controller’s Office http://www.cu.edu/controller/contact.html. They will provide instructions, including the appropriate form to complete. Requesting a department create or delete through the Controller’s Office will allow Finance and HRMS to remain synchronized. The Controller’s Office will contact the appropriate people at UMS and PBS to complete the steps in the process. Department Update or Change For department description changes, such as campus box numbers or default location code changes on the department table, contact PBS via phone at 303-735-6500 Option 2 or email at payrollbenefit.services@cu.edu. You will need to provide the department number, new location code, and/or new campus box number. Payroll & Benefit Services will notify the contact person when the requested change has been made. It is the responsibility of the campus department to transfer affected employees in or out of their appropriate departments whenever a change is made. Rev. 10-31-06 2.5 Financial Responsibility For Premiums For a Benefit Eligible Employee When an employee at the University of Colorado is eligible for benefits, the University is responsible for paying a portion of those benefits and the employee is responsible for paying a portion. If an employee changes status and benefit charges are not stopped appropriately, the employee and the employing department remain responsible for payment of premiums. Please refer to the document “Department’s Financial Responsibility for Premiums for Benefit Eligible Employees” located on the PBS website at https://www.cu.edu/pbs/hrms/training/resources.html#d. You may also navigate to the document via the PBS website at http://www.cu.edu/pbs > HRMS/System (PeopleSoft) > System Resources > Department’s Financial Responsibility for Premiums for Benefit Eligible Employees. Rev. 6-25-07 2.6 Employee Pay: What Stops It? A number of actions will stop an employee’s pay, such as: ● termination Payroll & Benefit Services Page 76 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide ● short work break ● leave without pay ● suspension. Actions that do not stop pay include changes to: ● existing position data ● position data that is in Proposed status ● funding expiration. Last Revised 7/ 9/2007 Additionally, most job data updates will not stop pay, with the following exceptions: ● appointment end date, unless accompanied by an action that terminates the employee or puts the employee on a short work break* ● unapproved transactions to an employee’s job data.* *For detailed information on job data updates that will or will not stop pay, refer to the document titled “Automatic Termination Process,” located on the PBS website at https://www.cu.edu/pbs/hrms/training/resources.html#a. Several reports are available to assist in monitoring these actions and how they affect employee pay. Running and reviewing these reports on a regular basis provides an opportunity to prevent problems with payroll before there is a significant impact to the employee. Detailed information regarding these reports as well as what stops pay, what does not stop pay, and how to monitor payroll activity is available in the document titled “Employee Pay: What Stops It,” located on the PBS website at https://www.cu.edu/pbs/hrms/training/resources.html#e. You may also navigate to this document via the PBS website at https://www.cusys.edu/pbs/ > HRMS/System (PeopleSoft) > System Resources > Employee Pay: What Stops It. Rev. 06/25/07 2.7 Employee Benefit Charges: What Stops Them Specific personnel actions will stop benefit charges, such as terminating employment, changing from a benefit eligible position to a non benefit eligible position, and canceling coverage based on an eligible qualifying life event. Personnel actions that stop pay but maintain an individual’s status as an employee will not stop benefits. Examples include Leave of Absence and Short Work Break. To learn more on what personnel actions will stop benefit charges please contact a PBS Benefit Counselor at (303) 735-6500, extension 3, or refer to the document titled “Employee Benefit Charges: What Stops Them” located on the PBS website at https://www.cu.edu/pbs/hrms/training/resources.html#e. You may also navigate to this document via the PBS website https://www.cusys.edu/pbs/ by selecting HRMS/System(PeopleSoft)>System Resources>Employee Benefit Charges: What Stops Them. Payroll & Benefit Services Page 77 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rev. 7-9-07 Last Revised 7/ 9/2007 2.8 Human Resource Action Steps and Processes Each HR action requires a number of steps (listed below) to set up an appointment/job in HRMS. The first step is an off-line decision action. The next two steps are transactions entered in HRMS. The final step is the action of accessing data via reporting. Campuses have designed business processes that accommodate specific procedures and efficiently use the capabilities of HRMS. These business processes are available for reference at http://www.cu.edu/pbs/hrbp/. Off-Line Action(s) – Discussions/Reviews/Decisions Discussions, reviews, and decisions reached prior to a transaction being entered in HRMS, such as a dean approving a hiring plan, or a chair/director approving a student hire. Also required during the off-line process is the gathering of information that will be entered on the HRMS system such as the position number, SpeedTypes, and employee compensation. On-Line Action(s) - Initiation (End-User) The department initiates a new transaction or updates an existing transaction in HRMS. The end-user enters the transaction information as directed by the appropriate authority. This information is automatically routed via Workflow to the appropriate verification unit (example: deans, vice chancellor, etc.) if applicable. Note: An end-user is assigned to the End-User Operator (security) Class that allows entry of transactions for all employment groups and access to all employees within their row-level security (i.e. designated departments for which they are responsible). On-Line Action(s) - Verification (Approval) The appropriate verifier/approver is notified of the proposed transaction via a work list (online notification). If there is a question, the verifier contacts the initiating department. When approved, the verification is entered on-line via the approval page. Note: A verifier is an individual assigned the Approval Operator (security) Class that allows approval of transactions for a specific employment group. On-Line Action(s) - Notification (Reporting and Inquire) After verification/approval is entered and saved, other units have access to the action via running appropriate reports or checking inquire pages. Rev. 10-31-06 Payroll & Benefit Services Page 78 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 2.9 Job Codes Last Revised 7/ 9/2007 Payroll and Benefit Services maintains the Job Code Table that lists employment classifications currently approved for use at the University. The most current Job Code Table may be accessed on the PBS website at http://www.cusys.edu/pbs/hrms/ps/tables.html. Classified Staff Job Codes The Colorado Department of Personnel establishes the employment classifications for classified staff. Within those employment classifications, every employer (e.g. the University of Colorado) determines whether these job classifications are exempt or nonexempt for overtime purposes. Job codes in this category use an alpha/numeric format. All other job codes use only a numeric format. University Job Codes All employment classifications other than classified staff are defined and maintained by the University. When changes are requested, PBS will coordinate with impacted campus offices and system administration to verify and process the requested update. Rev. 10-31-06 2.10 Person Model A ‘Person’ in HRMS (Human Resources Management System) can be a university employee, a POI (Person of Interest), or both. POIs (Persons of Interest) are people who are not employees of the university, but have some type of affiliate relationship with the university, such as volunteer faculty, off campus work study employers, employees of University Physicians Incorporated (UPI) and visiting scholars. When a new person (employee or non-employee) joins the university in some type of work or affiliate capacity, the first step of HRMS entry is to add the person. When adding new employees, the Add a Person entry of data is the beginning of their online hire process. When adding a POI, the Add a Person entry of data is for the purpose of identifying what type of POI s/he is and collecting contact information (personal and sponsoring department data). Entering POI types in HRMS provides the university with the capability to track and define different types of people who are affiliated with, but not paid by, the university. Current POI types in HRMS are: Affiliate, External Trainee, External Instructor, Library User, Other, Other Payee (PBS Only), Pre-Employment, Security Access, Visiting Scholars, Volunteers, Volunteer Clinical Faculty and Veteran’s Administration. For more information on Persons, Adding a Person, and POI types, refer to the step by step guide titled Add a Person (POI Types Including Pre-Employment), located at https://www.cu.edu/pbs/sbs/#wa. Additionally, the Person Model PowerPoint presentation is available online at https://www.cu.edu/pbs/hrms/training/course-info.html#online. This presentation explains the Add a Person functionality in HRMS, with the most emphasis on POIs: Payroll & Benefit Services Page 79 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 understanding who they are, the advantages of tracking their affiliation, and how to enter and modify their data in HRMS. Rev. 7-6-07 2.11 Payroll Calendars PBS establishes a master system payroll production calendar which includes pay period begin/end dates, pay dates, and the associated system due dates for processing documents. This includes items such as the Time Collection deadline for each pay cycle, due dates for W-4 and direct deposit forms, and information regarding HRMS system availability. Each campus develops campus-specific due dates for HRMS and off-line processes based upon the PBS master calendars. The final calendars for the campuses list both the PBS master system calendar deadlines and the campus-specific due dates that each campus implements. Payroll processing calendars are posted in increments of January-July and August-December. Calendars are posted at least six months in advance, depending upon when the campus-specific calendars are made available to PBS for inclusion on the website. PBS is responsible for the maintenance of each campus payroll calendar and for timely posting. Since calendars (and deadlines/due dates) may be updated during the year, departments should verify each month that they are using the most current version. The campus payroll calendars are available on the PBS website at http://www.cusys.edu/pbs/hrms/ps/calendar.html. In addition to the payroll production calendar, PBS posts the Employee Payroll Due Dates Schedule which provides employees with a list of pay cycle dates, pay dates, and due dates. This list provides employees with the due dates for W-4 and direct deposit changes for each payroll cycle. This same date is also used as the due date for receipt of other forms which effect payroll (e.g. benefits forms, additional tax forms, etc.). The list is available on the PBS website - Employee Payroll-Resources-Payroll Dates option at http://www.cusys.edu/pbs/payroll/resources/dates.html. Any W-4 and direct deposit change requests received after the posted due dates will be processed on the next available payroll cycle. Important: Entries made in the HRMS system which have not been approved prior to the payroll deadline, as noted on the payroll production calendar, will not be processed. Employees (especially new employees) must be notified by their departments if their payments will be delayed due to late or delayed transaction input that has missed a payroll calendar deadline. It is the department’s responsibility to ensure that HRMS entries are approved in the system, and to arrange for any pay adjustments for the employee. Rev. 10-31-06 Payroll & Benefit Services Page 80 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 2.12 Payroll Register Report (Warrant/Advice) Last Revised 7/ 9/2007 In the Human Resources Management System (HRMS) there are two reports available each pay cycle to assist users in verifying correct salary expenses for their employees. They are the Payroll Register and the Payroll Register Accounting reports. The Payroll Register details employee earnings for each department, method of payment (advice/check), earnings type, number of hours worked, and the department’s gross pay obligation. It is used to verify the amount being paid to each employee by pay cycle (pay period end date). It helps identify correct pay, overpay, underpay, and no pay situations. The Payroll Register Accounting report includes all the same pay information as the Payroll Register and, in addition, itemizes where each earnings code was charged (i.e. which FOPPS - fund, org, program, project, SpeedType). Expense Transfer detail is not included on this report. Navigation: Home > Reports and Reviews > Payroll and Time Collection > Payroll Register or Payroll Register Accounting Departments should review these reports prior to the stop/pull date for every pay cycle. These dates are listed on the Payroll Calendar. If there are discrepancies identified, please research the employee’s appointment(s) in HRMS and any Time Collection entries made for the employee to determine where the error occurred. This may include: Job Data > Compensation page; Time Collection batch(es); Time Collection One-Time Payment batch(es); Position Data; Funding Distribution, etc. Any errors must be corrected in HRMS before contacting PBS regarding correcting any overpays or underpays. How to get assistance: ● If you cannot identify the source of the pay discrepancy, contact Payroll & Benefit Services for assistance. ● If your question is concerning how the salary expenses were charged, contact your campus controller for assistance. ●For additional information about correcting discrepancies, please see the following sections in this guide: #1.3.8 Overpayment of Wages #1.3.9 Payment Errors – What to Do #1.3.11 Pull or Stop Payment to Prevent An Overpay #1.3.12 Retroactive Wage Process & Form (Correcting An Underpayment Of Wages) Payroll & Benefit Services Page 81 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rev. 7-9-07 Last Revised 7/ 9/2007 2.13 Personnel Effort Report (PER) Based upon OMB Circular A -21 Cost Principles for Educational Institutions, the federal government requires the documentation of effort expended by employees paid from grants and contracts funding sources. The Personnel Effort Report System (PERS) is an after-the-fact certification system that provides accurate documentation to sponsoring agencies regarding the distribution of effort expended by an employee working on their project. The Personnel Effort Report (PER) is a certification of the level of effort expended on sponsored project(s) during a particular time frame. This provides sponsoring agencies with reasonable assurance that the labor costs charged to a sponsored project reflects the actual effort expended on the project. The PER can be generated on a quarterly, semester, or monthly basis, based upon campus needs. Reports are generated for any employee paid on any sponsored project (HRMS FOPPS is in Fund 30 or 31). The employing campus sponsored programs office distributes the PER form to the employing department for confirmation of accuracy by the employee and/or the designated responsible official. Once the form is certified as correct, and any needed changes have been made, the employing department notifies the campus sponsored program office. The PER system is then used to track the receipt of the forms, so that any missing forms can be identified and located. For additional information, contact the specific campus sponsored program offices and the following websites: UCB: UCCS: http://abs.colorado.edu/ABS_WEB/POLICIES/PER_Policy.pdf http://web.uccs.edu/cmartin3/SPA.htm UCDHSC (Downtown Denver Campus, Anschutz Medical Campus and 9th Avenue): http://www.cudenver.edu/Academics/Sponsored%20Programs/Pages/default.aspx Rev. 7-9-07 2.14 Primary Job HRMS created Primary Job functionality in HRMS in order to facilitate payroll and benefit activities for employees who have multiple jobs. The primary job is the job (employee record number) from which benefits are calculated. Usually, the primary job is maintained on Record 0. An employee must have only one primary job for each benefit record number in order to calculate the employee’s paycheck correctly, and each benefit record Payroll & Benefit Services Page 82 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 number must be in sync with the employee’s benefit enrollment. This insures that benefit contributions are charged correctly. Because this is critical to payroll/benefits functions, as part of nightly HRMS maintenance, a job is run to coordinate the primary job with the benefit record and benefit enrollments for each employee. Departments can assist in this process by always using the lowest available job record number when reappointing their employees. Rev. 10-31-06 2.15 Reports and Reviews (Accessing Data) in HRMS University and departmental HRMS information and data may be accessed many different ways in the system. One way is to navigate directly to a HRMS component, such as the position, funding, or job data (employee) pages, and view the information for that position, funding or employee directly on the pages within the components. Another way to view information is via pre-designed view-only data pages called Reviews. Reviews show data in an organized and condensed manner for specific positions, funding, employees, etc. A third way, and probably the most thorough way for accessing data, is by running reports. Generally, reports are designed to provide more complete data for an entire department, rather than for a specific employee or piece of data, and to allow for a selection of report parameters, such as to and from dates, job codes, active or inactive, etc. Both HRMS databases, Production and Reporting are available for running reports. The reporting database is a copy of the previous day’s production database and is to be used when the production database is unavailable due to payroll processing. Authorized users access reports (and reviews) via the Reports and Reviews menu item. Additionally, all reports and reviews are listed within each individual module, such as Organizational Development, Workforce Administration and Time Collection. HRMS reports may be run on demand by department users and, depending upon the report, users may designate options/parameters such as date or date range, action/reason, department or other options that will limit the information presented. A complete listing of HRMS reports and reviews, titled “Reviews and Reports Resource Guide” is located on the PBS website at https://www.cu.edu/pbs/hrms/training/resources.html#r. Additionally, a PowerPoint presentation titled “HRMS Reviews and Reports” is available and is also located on the PBS website at https://www.cu.edu/pbs/hrms/training/courseinfo.html#online. This presentation covers recommended reviews and reports as well as provides helpful information on setting parameters, run control ids and a timeline relating to the monthly Payroll Calendar. Instructions for running HRMS reports may be found by using the step by step guide titled “Running HRMS Reports”, located at https://www.cu.edu/pbs/sbs/index.html#r. For users needing specialized data not available through the HRMS online screens and reports, access to the Central Information Warehouse (CIW) is necessary. Special Payroll & Benefit Services Page 83 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 access is granted to HRMS users needing this specialized CIW data. IRM (Information Resource Management) provides “FishNet queries” which may meet these user needs. Reports can also be custom-written by users to meet special needs. More information, including obtaining CIW access and logon procedures, is available at https://www.cu.edu/irm/. Rev. 7-9-07 2.16 Security Access Coordinator - HRMS Each campus has designated a Human Resources Management System (HRMS) Access Coordinator who is responsible for reviewing requests for individual operator access to HRMS. The campus security/access coordinator can add security profiles to allow access, remove security profiles to prevent access, and accept or reject a request to change an access profile. Only after the campus HRMS Access Coordinator has approved a request will HRMS security be changed. To add, remove, or change an operator’s security access, fill out and submit a new security access request form located at https://www.cusys.edu/ums/security/CUonly/forms.html. A list of the HRMS Access Coordinators for each campus is available at https://www.cusys.edu/security/ps/CAMPUS_HR_SECURITY_COORDS.HTM. Rev. 7-9-07 2.17 Security Operator Classes Every user of HRMS is assigned a specific security access profile. This profile is defined by the operator class or classes assigned to the individual. For more information on access and security, review the University Management Services (UMS) website at https://www.cu.edu/ums/. Rev. 7-9-07 2.18 Short Work Break (SWB) Short Work Break (SWB) is a personnel action type, similar to Leave of Absence (LOA). It places an employee in a no-pay status, stopping pay. A “Return From Short Work Break” action is then needed to resume the distribution of pay to the employee. SWB will not terminate University employment, and there is no separation of the employee/employer relationship. A termination action is required for separation. Benefit coverage continues for benefit eligible employees on SWB. The employee is responsible for paying his/her share of the benefit premiums and the employee’s department is responsible for paying the University contribution. The employee will automatically be billed for his/her premium due and the department will be automatically charged for the university contribution. For the employee to continue his/her coverage, Payroll & Benefit Services Page 84 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 benefits must be paid in a timely manner to the University via the employee billing process. Please contact the PBS Benefit Administration unit to set up a benefit payment schedule. Departments are responsible for monitoring their employees’ SWB status and terminating or reappointing them in a timely manner. When an employee returns to a positive pay status, the department must enter a “Return From Short Work Break” action in order to resume salary payments to the employee. If the employee is not going to be returning to work, the appointment should be terminated. Departments are encouraged to use their current procedures to track employees’ job records to ensure they are reappointed in a timely fashion. Employee records that are in a SWB status for more than one year with no activity are subject to a system generated termination. Please contact the PBS Payroll Administration Unit for assistance with the SWB action type. For more information on what stops employee pay and benefits, refer to Section # 2.6 Employee Pay: What Stops It? and Section #2.7 Employee Benefit Charges: What Stops Them? Rev. 7-9-07 2.19 Stopping Employee Pay See Section # 2.6 in this guide titled “Employee Pay: What Stops It?” Rev. 10-31-06 2.20 Suspense: What Is It? What Causes It and How to Prevent It? The Human Resources Management System requires current and approved funding for all expenses and charges related to payroll for each employee of the University of Colorado. If the system cannot find a current, approved funding distribution to expense the charges related to payroll, the transactions will all be charged to a suspense FOPPS. These payroll transactions include wage payments, employer-contributions to the medical, dental, life, disability and retirement plans as well as employer-contributions to OASDI and Medicare tax. For the UCDHSC and UCCS campuses, there are two suspense FOPPS for each campus - one for inactive FOPPS combinations and one for expired or missing funding. For UCB, each department has one suspense FOPPS. In addition, the UCB campus maintains two suspense FOPPS for unidentifiable departmental suspense FOPPS – one for inactive FOPPS combinations and one for expired or missing funding. Most of the transactions that are charged into the suspense FOPPS on a monthly basis are due to expired or missing funding. Note: If funding is updated so that it is current and accurate, but it is not approved by the next regularly scheduled payroll processing date, the system will assign a “no action Payroll & Benefit Services Page 85 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 taken” to the unapproved funding, and will charge all salary and expenses to the most recently approved funding row on the Funding Distribution page. There is a detailed explanation of suspense issues, including what causes suspense, how to prevent suspense, and how to fix suspense, located on the PBS website at http://www.cusys.edu/pbs/hrms/training/downloads/What-Causes-Suspense.pdf. You may also navigate to the document via the PBS website by selecting HRMS System>Resources>What Causes Suspense. Rev. 10-31-06 2.21 Training for HRMS Payroll & Benefit Services offers training for new Human Resource Management System (HRMS) users. Staff requesting access to HRMS must attend the appropriate training for their access profile. More information about HRMS training, including access request forms and registration procedures, is available on the PBS website in the HRMS New User Training section at https://www.cu.edu/pbs/training/. Additional specialized training (online tutorials, PowerPoint presentations) is also offered for those users who would like to enhance their HRMS knowledge in specific HRMS subject areas. These trainings are optional. For more information, refer to the HRMS Specialized Training Topics section at https://www.cu.edu/pbs/training/ and the Online Demos section https://www.cu.edu/pbs/hrms/resources/sbs.html on the PBS website. Fiscal Code of Ethics Training (WEB online) This course covers CU’s Fiscal Code of Ethics, a systematic collection of guidelines for correct conduct that can be used to determine whether a fiscal transaction is appropriate and correct. It includes policies, procedures, and other tools to help employees incorporate the values and practices of the Fiscal Code of Ethics into their daily work life. HRMS Fundamentals (WEB online) This course is designed to explain the Human Resources Management System (HRMS): how it operates, why it operates that way, and how you can most effectively use it. In this course you will learn the four processes for which HRMS is used, what online and offline actions you can take, how information is entered and approved, and how work flows through the system. HRMS Inquire and Reporting (WEB online) This course teaches users how to find data, analyze pre-designed view-only data pages called Reviews and run reports in HRMS. HRMS Time Collection (WEB online) In this course users will learn about the University of Colorado’s Time Collection process and how to enter time records into HRMS. Payroll & Benefit Services Page 86 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 HRMS Functional Training (Instructor-led) This course is for users responsible for entering and/or approving payroll data in the Human Resources Management System (HRMS). Users needing full access and/or approver access to HRMS will take this course after taking the four online courses: Fiscal Code of Ethics, HRMS Fundamentals, HRMS Inquire and Reporting, and HRMS Time Collection. The following topics will be covered: Organizational Development (position and funding management), Workforce Administration (employee hires, adding POI’s, personal information and job data), Time Collection, Reviews and Reports, HRMS Resource document(s) management, and creating and updating data in HRMS using actions/reasons, effective dating and effective date sequencing. The course will include hands-on learning, lecture/group discussion and Q & A for online and instructor-led HRMS courses, and individual and group practice time. Additional training resources which may be helpful include the Step-by-Step Guides to assist end-users of the Human Resources Management System (HRMS) https://www.cusys.edu/pbs/hrms/resources/sbs.html and the A-Z Resources page https://www.cusys.edu/pbs/hrms/training/resources.html which lists many additional sources of information. Rev. 7-9-07 2.22 Multiple Components of Pay Human Resources Management System (HRMS) Multiple Componenets of Pay (MCOPs) break down an employee’s pay into different components for reporting and/or budgeting purposes. Additionally, MCOPs provide the ability to track different types of pay for an employee on a single employee record number. MCOPs that begin with BAS add to the employee’s base pay salary. All other MCOPs are non-base building. Contact your campus human resources department for more information and assistance with making appropriate MCOP decisions. Listed below is the current MCOP – Rate Codes in HRMS: Rate Codes BASC BASEH BASEM BASEW BASEADM BASSUP BASETPD ALLOW ADMSTP Description Base Contract Pay Base Hourly Pay Base Monthly Pay Base Biweekly Salaried Base Administrative Stipend Base Supplemental Base Temporary Pay Differential Allowance Administrative Stipend Base-Building Yes Yes Yes Yes Yes Yes Yes No No Payroll & Benefit Services Page 87 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rate Codes SUPPLE TEMPAY Description Supplemental Pay Temporary Pay Differential Last Revised 7/ 9/2007 Base-Building No No For more information on MCOPs, refer to the Multiple Components of Pay PowerPoint presentation, available online at https://www.cu.edu/pbs/hrms/training/course-info.html#online. This presentation provides the knowledge and tools to assist in setting up MCOP data in HRMS. Rev. 7-6-07 CHAPTER 3 – TAX & TAX FORMS 3.1 Additional Tax Withholding University employees may elect to have additional federal and/or state tax withheld from their earnings. This tax withholding is supplemental, that is, in addition to, the federal and state amounts that are claimed on the W-4. Additional tax withholding does not replace and cannot be used in lieu of what the employee has claimed on his/her W4. Additional amounts must be in whole dollars. These additional amounts will continue to be withheld until the employee fills out a new Additional Tax Withholding form to change the amounts or to cancel the amounts previously requested. For more information on withholding, reference IRS Publication 15 located on the IRS website at http://www.irs.gov/formspubs/lists/0,,id=97796,00.html. The Additional Tax Withholding form is available on the PBS website at http://www.cusys.edu/pbs/forms/. Send the Additional Tax Withholding form to Payroll & Benefit Services. Rev. 10-31-06 3.2 Colorado Tax Exemption Employees who work solely outside the State of Colorado qualify for exemption from Colorado State Income Tax Reporting and Withholding. Employees may request exemption from Colorado withholding by submitting to PBS the Exemption from State of Colorado Withholding form located at http://www.cusys.edu/pbs/forms/. Rev. 10-31-06 3.3 Occupational Privilege Tax (OPT) University of Colorado employees performing services within the City of Aurora, the City and County of Denver, or the City of Glendale for any period of time in a calendar month, Payroll & Benefit Services Page 88 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 and receiving compensation above specified limits (City of Aurora - $250 or more per month; City and County of Denver - $500 or more per month; City of Glendale - $750 or more per month) are subject to a mandatory Employee Occupational Privilege Tax (also referred to as head tax). • • • The current tax rate for Aurora OPT (Aurora Head Tax) is $2.00 per month. The current tax rate for Denver OPT (Denver Head Tax) is $5.75 per month. The current tax rate for Glendale OPT (Glendale Head Tax) is $5.00 per month. The Human Resources Management System (HRMS) will automatically withhold this tax from all employees whose position location is within the geographical limits of Aurora, Denver, or Glendale and whose wages total $250 (Aurora), $500 (Denver), or $750 (Glendale) or more during any part of a month. CU as the Secondary Employer An exemption from the City of Aurora or the City and County of Denver Occupational Privilege Tax may be available for a CU employee for whom CU is a secondary employer. To qualify, an employee must have a primary employer located in the City of Aurora or the City and County of Denver who already withholds this tax. Employees who meet this criteria may request a CU exemption from the OPT tax by filing the Occupational Privilege Tax Exemption form (Local Occupational Privilege Tax (OPT) Exemption Form – City of Aurora – City and County of Denver) with PBS, along with the required documentation (see the form). This form is available on the PBS website at http://www.cusys.edu/pbs/forms/. The form must be renewed at the beginning of each calendar year to remain valid. It is the employee’s responsibility to notify PBS of any change in taxation status that would require that CU begin withholding this tax after an exemption request has already been submitted. CU as the Primary Employer A CU employee for whom CU is the primary employer may request his/her secondary employer to exempt him/her from the OPT by following this procedure: 1. Obtain the correct form: Aurora: Employees may obtain the form WC/AOPT (Withholding Certificate - Aurora Occupational Privilege Tax) by calling the City of Aurora Tax and Licensing Division at 303-739-7057 and requesting that the form be mailed to them, or by accessing it on the website listed below. Denver: Employees may obtain the form TD 269 (Withholding Certificate – Denver Occupational Privilege Tax) by calling the City and County of Denver Treasury Division – Sales Tax at 720-865-7075 and requesting that the form be mailed to them. Glendale: No exemption is allowed. 2. Submit the form to PBS: Employees mail the form to PBS, along with a request that PBS complete the form as the primary employer. The request must include employee’s name, employee ID number, address, and phone number. Also indicate whether the employee is an Payroll & Benefit Services Page 89 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 ongoing CU employee being withheld the tax each month (PBS will fill out Sections A and B) or a CU employee terminating in mid-month (PBS will fill out Sections A and C). 3. PBS returns completed form to employee to submit: PBS will complete the form and mail it back to the employee so that he/she can submit it to his/her secondary employer to request an exemption. Employees who change work locations and work in more than one location (Denver, Aurora, Glendale) during the tax year will be switched to the new tax as appropriate. It is therefore possible for an employee to have paid tax to more than one locality during the same year. Special Exemption: A small number of employees whose home departments are located within the geographical limits of the City of Aurora or the City and County of Denver never actually perform any services within those geographical limits. An example of this would be a professor whose home department is at Anschutz Medical Campus, but whose permanent teaching assignment is on the Boulder campus. An exemption is available for these employees and is handled through the home department payroll liaison as part of the appointment process. Employees should not fill out the Occupational Privilege Tax Exemption form under these circumstances. Note: Payroll liaisons should confirm the appropriateness with PBS before initiating this special exemption. For more information, employees or payroll liaisons may access the following websites: City of Aurora: http://www.auroragov.org/AuroraGov/Departments/Finance/Taxes___Licenses/Taxes/Occupational_Privileg e_Tax/index.htm City and County of Denver: http://www.denvergov.org/treasury/template1289.asp Select Occupational Privilege Tax (Opt or Head Tax) from the Table of Contents City of Glendale: http://www.glendale.co.us/ Select: Departments > Taxes & Licenses & scroll to Occupational Privilege Tax Rev. 7-9-07 3.4 Tax Calculations The Internal Revenue Service regulations define the calculation of federal withholding (income tax withholding) depending on the payment schedule and type of payment. The State Department of Revenue does the same for state withholding. The following table defines withholding by type of payment. Payroll & Benefit Services Page 90 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Federal and State Tax Calculations By Type of Payment: Last Revised 7/ 9/2007 Tax Calculations by Type Type of Payment Biweekly hours paid - current pay period Monthly wages paid - current pay period Monthly - additional wages/ retroactive pay paid as part of current pay period One-time Payment (OTP) (See One-Time Payment section for breakdown on OTP tax rates, e.g. W-4 Income Tax Withholding or Supplemental Tax Rate.) All other taxable payments (awards, moving, etc.) Federal Withholding Federal Tax Table Federal Tax Table Federal Tax Table (may result in a higher percentage of withholding than usual) Federal Supplemental Tax Rate of 25% or Federal Tax Table, depending on earn type CO State Withholding State Tax Table State Tax Table State Tax Table (may result in a higher percentage of withholding than usual) State Supplemental Tax Rate of 4.63% or State Tax Table, depending on earn type Federal Supplemental Tax Rate of 25%. State Supplemental Tax Rate of 4.63% Federal Tax Table is the taxation calculation defined by the Internal Revenue Service. The withholding amount is determined by the wage payment amount and the marital status and exemption (allowance) entries entered on Form W-4 by the employee. State Tax Table is the taxation calculation defined by the State of Colorado Department of Revenue. The withholding amount is determined by the wage payment amount and the marital status and exemption (allowance) entries entered on I.R.S. Form W-4 by the employee. Federal Supplemental Tax Rate is the rate required by IRS regulation for some wages paid in addition to regular pay. This amount is currently 25% of taxable gross wages. Federal Supplemental Withholding Rate Effective Date August 7, 2001 January 1, 2002 May 28, 2003 & thereafter (Subject to Change) 27.5% 27% 25% Payroll & Benefit Services Page 91 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 State Supplemental Tax Rate is the rate required by regulation for some wages paid in addition to regular pay. This amount is 4.63% of taxable gross wages. Rev. 10-31-06 3.5 1042-S (Nonresident International Employee Tax Statement) Nonresident international employees whose wages are subject to a tax treaty will receive Form 1042-S Foreign Person’s U.S. Source Income Subject to Withholding in March for their tax treaty eligible wages paid in the prior calendar year. In some cases, nonresident employees may receive Form W-2 (for wages includable as taxable income) in addition to Form 1042-S. For assistance and questions, contact the appropriate International Tax Specialist for your campus. UCB: (303) 735-6500 Option 0 (to schedule an appointment with an International Tax Specialist located in Boulder at Payroll & Benefit Services) UCDHSC-Anschutz Medical Campus & 9th Avenue: (303) 724-0145 (to schedule an appointment with an International Tax Specialist at the HSC outreach office) UCDHSC-Downtown Denver: (303) 556-6295 (to schedule an appointment with an International Tax Specialist at the UCD outreach office) UCCS: (303) 735-5573 (to schedule an appointment with an International Tax Specialist at the UCCS outreach office) Rev. 10-31-06 3.6 1099-R and 1099-MISC Beneficiaries or executors of the estate of deceased employees will receive I.R.S. Form 1099-MISC in January for payments issued to them during the prior tax year. Payments may include unpaid wages owed, vacation payout of unused vacation hours, and benefit deduction refunds. In addition, they may receive I.R.S. Form 1099-R to report the ¼ sick leave hours paid, if eligible, at the time of the employee’s death. Vacation and sick leave payments are subject to the employee’s maximum leave payout guidelines. Retirees who receive a supplemental annuity payment from the University will be issued I.R.S. Form 1099-R in January for payments issued during the prior tax year. For additional information on the above payments, please contact Payroll & Benefit Services. Payroll & Benefit Services Page 92 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Also, independent contractors will receive I.R.S. Form 1099-MISC. For additional information regarding payments to independent contractors, contact your campus Human Resources department or the Procurement Services Center. Rev. 10-31-06 3.7 Form 8233 (Nonresident Alien Tax) Form 8233, Exemption from Withholding on Compensation for Independent and Certain Dependent Personal Services of a Nonresident Alien Individual is required for employees who are eligible to receive the benefit of an existing tax treaty. By completing this form, eligible nonresident international employees may limit their federal and state income tax withholding. To establish eligibility for treaty status as well as eligibility for employment, the employee must meet with the appropriate campus International Tax Specialist and present his/her passport and visa documents for review. For assistance, contact the appropriate International Tax Specialist for your campus. UCB: (303) 735-6500 Option 0 (to schedule an appointment with an International Tax Specialist located in Boulder at Payroll & Benefit Services) UCDHSC-Anschutz Medical Campus & 9th Avenue: (303) 724-0145 (to schedule an appointment with an International Tax Specialist at the HSC outreach office) UCDHSC-Downtown Denver: (303) 556-6295 (to schedule an appointment with an International Tax Specialist at the UCD outreach office) UCCS: (303) 735-5573 (to schedule an appointment with an International Tax Specialist at the UCCS outreach office) Departments are encouraged to advise employees to contact their campus International Tax Specialist to set up an appointment. Rev. 10-31-06 3.8 W-4 Form Note: See the exception for Nonresident International Employees at the end of this section. * I.R.S. Form W-4 (Employee's Withholding Allowance Certificate) determines the amount of federal and state income tax withholding deducted from an employee's wage payment. Federal regulations require a Form W-4 from all employees (exception: some nonresident Payroll & Benefit Services Page 93 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 international employees; see below). PBS submits copies of the W-4 form to the IRS when requested, and the employee may be restricted in changing their tax status until PBS has received written authorization from the IRS. Important: A current tax year W-4 form is required when setting up or making changes to tax withholding deductions. Form W-4 for the current year is available from the employing department or the Payroll & Benefit Services website. When completing the W-4, employees should follow the instructions provided on the form and on the W-4 Instructions sheet located on the PBS website at https://www.cusys.edu/pbs/forms/. Please complete the Form W-4 in blue or black ink (use of pencil invalidates the form). Employees should either submit the original Form W-4 to their department payroll liaison or mail the original Form W-4 directly to Payroll & Benefit Services (address is included on the W-4 Instructions sheet). Only original documents are valid. Copies and facsimiles will not be accepted. Note: Forms not received by the published due date for a specific pay cycle will not take effect until the next payroll cycle. Payroll dates are available on the PBS website at https://www.cusys.edu/pbs/payroll/resources/dates.html. Failure to complete a Form W-4 will result in withholding taxes being calculated at single status and zero allowances. This is the highest tax withholding rate. Taxes withheld due to an employee failing to complete a W-4 by the appropriate payroll deadline cannot be refunded. W-4 forms that are incomplete or improperly completed will be returned to the employee for correction or replacement. Taxes withheld due to an incomplete or improperly completed form cannot be refunded. Claiming Exempt Employees who claim EXEMPT from withholding are required to file a new W-4 with Payroll & Benefit Services by February 1st of each year. Failure to submit a new Form W4 by February 1st will result in withholding of single status and zero allowances, the highest rate. Note: A current year tax form is required. Additional Federal/State Withholding To have an additional flat dollar amount withheld for federal and/or state income tax, or to change (replace) an existing additional amount, obtain the Additional Federal/State Tax Withholding Request form from the PBS website’s forms page at https://www.cusys.edu/pbs/forms/. Complete and submit the original form to PBS. Only original documents are valid. Copies and facsimiles will not be accepted. This withholding will be in addition to the amount currently deducted based on the marital status and number of allowances claimed on Form W-4. If the form is not received by the published due date, it will take effect for the next payroll cycle. To cancel a request for additional federal and/or state income tax withholding, complete and submit the original Additional Federal/State Tax Withholding Cancellation form, also Payroll & Benefit Services Page 94 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 available on the PBS website’s forms page. Only original documents are valid. Copies and facsimiles will not be accepted. Payroll due dates for submission of the W-4 Form are available on the PBS website at https://www.cusys.edu/pbs/payroll/resources/dates.html, or employees may contact their payroll liaison. The additional federal withholding amount is deducted on the monthly payroll (for monthlypaid employees) and/or on the second biweekly payroll (for biweekly-paid employees). Changes made to the flat dollar amount will replace the old value. Example: Old amount was $50.00 and new amount you wish deducted is $75.00. Record $75.00 on the form to update this amount. Do not record $25.00. * Exception: Nonresident International Employees Due to specific federal regulations governing withholding from nonresident employees’ wages, all nonresident employees must make an appointment with an International Tax Specialist to fill out Form W-4. To make an appointment with the appropriate International Tax Specialist, nonresident employees must call one of the following numbers: UCB: (303) 735-6500 Option 0 (to schedule an appointment with an international tax specialist located in Boulder at Payroll & Benefit Services) UCDHSC-Anschutz Medical Campus & 9th Avenue: (303) 724-0145 (to schedule an appointment with an international tax specialist at the HSC outreach office) UCDHSC-Downtown Denver: (303) 556-6295 (to schedule an appointment with an international tax specialist at the UCD outreach office) UCCS: (303) 735-5573 (to schedule an appointment with an international tax specialist at the UCCS outreach office) Rev. 02-13-2007 3.9 W-5 (Earned Income Credit) Earned Income Credit (EIC) allows eligible employees to reduce or eliminate current federal income tax withholding by filing Form W-5 with the University. Employees can determine their eligibility for advance earned income credit (EIC) payments, by completing Form W-5. (Form W-5, including instructions, is available on the PBS website at http://www.cusys.edu/pbs/forms/ .) For eligibility information, follow the instructions on Form W-5. For assistance with this form, contact the Internal Revenue Service. To continue receiving advance EIC payments from one tax year to another, a new Form W-5 is required from the employee each tax year. The form must be received by January 1st. Send the completed Form W-5 directly to Payroll & Benefit Services. Payroll & Benefit Services Page 95 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rev. 10-31-06 Last Revised 7/ 9/2007 CHAPTER 4 - BENEFITS 4.1 Benefits (Insurances, etc.) and Benefits Billing Insurance Faculty, classified staff, and exempt professionals who are eligible for benefits must enroll within 31 days of the date of eligible employment. Failure to enroll within this time frame will result in loss of eligibility for some benefits, which may or may not be available in the future. For eligibility information, an overview of benefits plans, and a time schedule for new employee benefits orientations please visit the Payroll & Benefit Services website at http://www.cu.edu/pbs/benefits/index.html. Benefits Billing At the end of each month, Payroll and Benefit Services automatically issues benefit bills to employees on leave without pay (LWOP), employees with insufficient wages to cover their benefit premiums, terminated employees with unpaid benefits charges, and retirees. Employee When an employee goes on leave without pay (LWOP), most benefits will continue unless he/she contacts PBS within 31 days to waive his/her benefits. However, for changes to be effective the following month, the election must be made by the 15th of the month. If an employee has a wage payment that is insufficient to cover his/her benefits deductions, a Benefits Billing Statement is automatically mailed to the employee's mailing address. If the employee does not contact PBS when on LWOP, the employee's coverage will remain in effect, but in order to maintain coverage the employee must submit payment to PBS within 31 days. There are no pre-pay options. If payment is not received, coverage will be dropped. Retiree Each month, a Benefits Billing Statement is mailed to the retiree. Timely payment is required to maintain coverage. The retiree must submit payment to PBS within 30 days of receipt of billing. If payment is not received within 60 days, PBS will send a letter notifying the retiree that his/her coverage will terminate. If the retiree does not contact PBS upon receipt of the letter of cancellation, PBS will attempt to call the retiree and notify him/her that the benefit coverage will be terminated. If payment is not received, coverage will be dropped. Retirees may choose to set up an electronic funds transfer (EFT) to pay their benefit bills. This allows retirees to pay for their insurance automatically each month through a debit transaction to a designated checking or savings account, and helps insure continuation of benefit coverage. The enrollment form, including instructions, is available at Payroll & Benefit Services Page 96 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide http://www.cusys.edu/pbs/forms/downloads/ret-EFT.doc. Last Revised 7/ 9/2007 Forms must be received by the 25th of the month in order to be effective for the following month’s bill. Employees and retirees with questions about benefits billing should contact Payroll & Benefit Services at 303-735-6500 Option 3 and speak with a benefit counselor. Rev. 10-31-06 4.2 Flexible Spending The CU-Flex Plan is an Internal Revenue Code Section 125 flexible benefit plan which allows employees to pay for eligible insurance premiums, out-of-pocket health care costs and dependent care expenses with pre-tax dollars. This results in a lower monthly taxable income, so the employee pays less in taxes. CU-Flex includes a Premium Only Plan (POP), a Health Care Spending Account (HCSA) and a Dependent Care Spending Account (DCSA). Participation is voluntary and is not automatic when employees enroll in CU’s employee benefit plans. New benefits-eligible employees who wish to enroll in a CU-Flex Plan must enroll within 31 days of their date of eligible employment. Employees may also enroll: 1) during open enrollment (held in the spring of each year with a July 1 effective date), or 2) within 31 days of a qualifying family status change. More information on the CU-Flex program is available in the benefit plan documents located on the PBS website at http://www.cusys.edu/pbs/benefits/group-benefits/flex.html. ASI offers direct deposit of all approved medical, dental, and dependent care flex reimbursements. This allows funds for ASI approved claims to be directly deposited into employees’ checking or savings accounts, making the funds more quickly available to employees. ASI will continue to mail the reimbursement statements to you as payments are made. The ASI Flex Direct Deposit form is located on the PBS website at http://www.cusys.edu/pbs/benefits/forms/. Rev. 10-31-06 4.3 PERA Member Information Form Membership in the Public Employees’ Retirement Association (PERA) is mandatory for both permanent and temporary classified staff employees. Upon initial employment, each classified staff employee must complete a PERA Member Information Form, available on the PERA website at https://www.copera.org/PDF/8/8-324.pdf, and submit it to PBS. This form may also be obtained from campus human resources departments. The employee must complete, sign and send the form to PBS. The due date for receipt of this form is the same as the W-4/Direct Deposit due dates for each pay cycle (available on the Employee Payroll Due Dates Schedule at http://www.cusys.edu/pbs/payroll/resources/dates.html). PBS will complete the employer’s section and forward the form to PERA. Payroll deductions for Payroll & Benefit Services Page 97 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 PERA are automatic for eligible job classifications. Failure of the employee to complete a PERA Member Information form may result in PERA delaying a future request for refund of contributions and/or issuance of retirement benefits. Rev. 10-31-06 4.4 PERA Final Six Months’ Salary Report This report is required for all retiring PERA employees. Employees enter their name and social security number on the report and forward it to PBS. Once the employee has been issued their final pay, including processing all outstanding items such as annual leave, sick payout if eligible, overtime, and overpay recovery, PBS will complete the report and forward it to PERA. A blank Final Six Months’ Salary Report can be obtained from the PERA website at https://www.copera.org/pdf/8/8-301.pdf. We recommend ordering the PERA Retirement Application Kit, which includes this report as well as other valuable information for retirees. Rev. 10-31-06 4.5 Retiree Data Employees preparing to retire must notify their hiring department to coordinate final pay. Certain aspects of the retirement process are time sensitive and need advance preparation. For example, a PERA Final Six Months’ Salary Report for classified employees should be sent to PBS by the employee enough in advance to allow for completion by PBS and forwarding to PERA. Also, you must make advance arrangements to deposit any terminating vacation or sick payouts into a tax deferred account. In addition, employees may be eligible to continue retiree benefits and need to arrange for this with PBS prior to their retirement date. Employees must contact a PBS benefit counselor for retirement counseling and benefits enrollment (if eligible) within thirty-one days following their termination date of active employment. If retiree benefits are not elected within thirty-one days, employees may permanently lose their eligibility to enroll in certain university medical, dental, and other benefits, depending on their retirement plan (401(a) or PERA). Contact a PBS benefits counselor and review the retiree Enrollment http://www.cusys.edu/pbs/benefits/empl-groups/retirees.html , Deadlines and Defaults Guide section, for additional information. Pre-retirement seminars explaining the requirements are available for potential retirees at http://www.cusys.edu/pbs/benefits/services/preparing-to-retire.html. Retirement information is located on the PBS website at http://www.cusys.edu/pbs/benefits/events/retirement.html and http://www.cusys.edu/pbs/benefits/empl-groups/retirees.html. Payroll & Benefit Services Page 98 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Information for faculty, classified staff, and exempt professional employees who retire from the University is maintained in HRMS, post-retirement. After an employee retires, PBS is responsible for setting up a retiree job in the CUR company in HRMS. However, before the retired employee can be set up as a retiree in the system, his/her preretirement department(s) must terminate all active jobs in the CU company (reason code should indicate retirement). Upon retirement, the employee is assigned a retiree job code. PBS will be responsible for future demographic and address changes for retirees. Note: VCT (vacation at separation/retirement) and SKS (sick leave at retirement) should be entered in HRMS Time Collection during the employee’s final month of regular pay so that it can be included on the employee’s final check. See Section # 1.1.8 Separation of Employment (Termination) in this guide for additional information. Rev. 10-31-06 4.6 Retirees Returning to Work Departments may choose to rehire a University Faculty/Professional Exempt Optional Retirement Plan (ORP) retiree or a University PERA retiree. University retirees are set up by PBS in the Human Resources Management System (HRMS) under what is called the CUR company. This information is recorded on the retiree’s 0 Employee (Job) Record. When a department rehires a retired University employee, in order to be paid properly the employee must be rehired in the HRMS in the CU company, using Employee (Job) Record #1 or higher. (The retiree’s 0 employee job record in the CUR company carries his/her retirement benefits, and must remain as the 0 employee (job) record.) Therefore, if a retiree is rehired, he/she will reside in HRMS both as a retiree (job record 0) AND as an employee (job record 1 or higher). Whenever possible, it is also recommended that departments rehire a retiree by using a terminated job record in the CU company, rather than creating a new job record (adding a concurrent job). It is important that departments check with the retiree to determine their retirement status, so that appointments and benefits eligibility can be handled correctly and retirees are aware of any related issues. Note: There are PERA restrictions and penalties that may apply if a retiree works for a PERA-affiliated employer during the month of their effective date of retirement, or if a retiree exceeds the maximum PERA-affiliated work hours allowed during the year. Refer to PERA’s Retirement Application Kit https://www.copera.org/forms/EmployerOrder.html for information about “Working During the Effective Month of Retirement” and to their publication “Working After Retirement” https://www.copera.org/PDF/2/2-55.pdf for details. Payroll & Benefit Services Page 99 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Retirees Returning to Work in a Benefits Eligible Position The following retirement benefits and tax information applies to University of Colorado Faculty/Professional Exempt Optional Retirement Plan (ORP) and PERA retirees who return to work at the University in a position that is benefits eligible: • Both University of Colorado Faculty/Professional Exempt Optional Retirement Plan (ORP) and PERA retirees returning to work cannot be classified as a retiree and also have an additional position with the University that is a “benefits eligible” position. Returning retirees (ORP or PERA) who wish to be employed in a benefits eligible position must suspend their University of Colorado retirement classification and any benefits attached to that retirement classification, and make new elections of benefits based on their newly eligible active classification. Medicare and/or OASDI taxes and retirement will be deducted as appropriate, based on the benefits associated with their new benefits eligible job classification. • • Retirees Returning To Work In a Non-Benefits Eligible Position The following retirement benefits and tax information applies to University retirees (either Optional Retirement Plan or PERA) who return to work at the University in a position that is not benefits eligible: • • No benefits will apply (not eligible for retirement, insurance, etc.) but Social Security and/or Medicare taxes will be deducted as appropriate. Faculty/Professional Exempt Optional Retirement Plan (ORP) Retirees Rehired Into a Non-Benefits Eligible Faculty/Exempt Professional Position are subject to Social Security (OASDI) and Medicare tax deductions/contributions, even if they are currently receiving Social Security benefits. PERA Retirees Rehired Into a Non-Benefits Eligible Faculty/Exempt Professional or State Classified Staff Position are not subject to PERA withholding or Social Security (OASDI), but are subject to Medicare tax withholding (deductions and contributions). In addition, departments are required to pay a percentage of the retiree’s gross salary to PERA (percentage may vary by year) as an employer contribution. PERA rules limit the number of days/hours that a PERA retiree can work (currently 110 days or 720 hours) without affecting the receipt of their full PERA retirement payments. • Questions about retirement, OASDI, Medicare tax and other deductions should be directed to Payroll & Benefit Services. Rev. 10-31-06 4.7 Stopping Employee Benefits See Section # 2.7 Employee Benefit Charges: What Stops Them? in this guide. Payroll & Benefit Services Page 100 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rev. 10-31-06 Last Revised 7/ 9/2007 4.8 Student Retirement Plan Plan Information Students who are hired by the University of Colorado may be subject to enrollment in the University Student Retirement Plan. For employees in the student job classification at the University of Colorado who do not meet the conditions of exemption from participation in a retirement plan, HS 93-1328 (Colorado statute) provides a student employee retirement plan as an alternative to social security. The University Administrative Policy is available at http://www.cu.edu/~policies/Fiscal/studretire.html. In addition to the information contained in this policy, there is an additional restriction on student employees who work 80 hours during a two week pay cycle (see below for details). The University of Colorado’s student retirement plan fund sponsor is Teachers Insurance and Annuity Association – College Retirement Equities Fund (TIAA-CREF). For more information about TIAA-CREF you may visit their website at http://www.tiaa-cref.org or contact them at 1-800-842-2776. Retirement contributions are deposited into individual accounts by TIAA-CREF. The amount deducted is tax-deferred (not subject to federal or state income taxation until withdrawn at a later date). Student employees enrolled in less than the minimum number of required academic credit hours must participate in the CU Student Retirement Plan. The student retirement contribution amount of 7.5% of gross wages (required) and Medicare tax of 1.45% (required) will automatically be deducted from the student’s wages. The University matches the Medicare contribution of 1.45% (required). Voluntary Elections In Student Retirement, 403(b), or 457 Students who increase their enrollment to full-time status may elect to continue participation (voluntary when enrollment status is full-time) in this plan throughout the year. In addition, students may also participate in 403(b) and/or 457 tax-deferred investment plans. Voluntary participation in 403(b) or 457 plans is an additional investment. It is not a replacement for the Student Retirement Plan. Detailed information on student retirement requirements and options is available at http://www.cu.edu/pbs/benefits/empl-groups/student.html. Forms for enrollment or continuation of enrollment are located on the PBS website at http://www.cu.edu/pbs/benefits/forms/students.html. Student Employees Who Consistently Work 80 Hours or More If a student employee works 80 hours (service hours) or more for two consecutive twoweek pay periods (four consecutive weeks) during a semester, this is considered to be full-time employment and he/she will be automatically set up in an employee class (Empl Class) that will require student retirement be deducted for the entire remainder of the semester. The department will not be able to change this designation, even if the Payroll & Benefit Services Page 101 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 employee works fewer hours in subsequent pay periods. This is required because any student employee who normally works 40 or more hours per week (full-time employment) must participate in the Student Retirement Plan. Student Retirement Interface Process (HRMS TO SIS) The student retirement interface process (between HRMS and the Student Information System [SIS]) evaluates a student’s enrollment status as of a certain date each semester, usually around census date (drop/add deadline). At this pre-determined date, the SIS will be frozen, and whatever the student’s enrollment status is as of that date will be uploaded into HRMS and becomes the student’s enrollment status for retirement purposes for that particular semester. HRMS automatically loads this data from SIS into the student employee’s job data record by adding a new row to all active jobs and updating the student’s full-time/part-time Employee Class (Empl Class) based on the enrollment that was frozen in the SIS. If the student does not meet the minimum enrollment requirements to be exempt from paying student retirement as of the pre-determined date, the system places the student into the default student retirement plan. Once the Empl Class has been uploaded from SIS into HRMS for the semester, the department will not be able to change it (any change will result in the system reverting back to the frozen Empl Class during the next payroll processing run). When a department hires a new student employee after the SIS interface to HRMS each semester, the department must enter the student’s appropriate Empl Class on the Job Information page in the job data page group. At the next payroll run, HRMS will change the student’s Empl Class (if necessary) to reflect what was in the SIS system at the time it was frozen (pre-determined date) for that semester. Importance of Monitoring Student Appointments It is important for departments to monitor their student appointments every semester to ensure that job records eligible for student retirement are: 1. terminated immediately after the appointment is completed, or 2. have an appointment end date for each semester’s completed job that is prior to the first day of the first biweekly pay period for the next semester. This will prevent having a retirement status based on incorrect credit hours*. The system process that automatically terminates job records will never automatically terminate a student job with no appointment end date, nor will it automatically terminate a job record for a student until 120 days after the appointment end date. For more information on the system generated termination process, refer to Section 1.1.8 in this guide titled Separation of Employment (Termination). *Note: It is important to enter an end date for summer jobs. If this date is not entered, there is an on-going problem that occurs between summer and fall appointments that results in some students being assessed student retirement and Meditax on their first fall paychecks. This problem is largely a result of student summer job records with no appointment end dates. If a student’s summer job record is student retirement eligible and there is no appointment end date recorded for this summer appointment or the job Payroll & Benefit Services Page 102 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 record appointment end date is later than the first day of the first biweekly pay period for the fall semester, then this student is assessed student retirement and Meditax on his/her fall appointment. This will happen even if the student’s current job (fall appointment) is exempt from student retirement. As a result, the student is required to pay into student retirement and Meditax, and the student will continue to pay these charges until the Student Retirement Interface is run for the fall semester. Non-Resident Aliens F-1 and J-1 visa holders are not eligible for the Student Employee Retirement Plan as long as they are in non-resident tax status. Also, regardless of the number of credit hours enrolled, non-residents who are in non-resident tax status are not subject to Medicare tax. Once a non-resident passes the substantial presence test and becomes a resident for tax purposes, they are no longer exempt. For non-resident alien information, contact a Payroll & Benefit Services International Taxation Specialist. Pre-Doctoral and Post-Doctoral Trainees Trainees (pre-doctoral/post-doctoral) in job class series 3200 are not eligible for the Student Employee Retirement Plan. Withdrawal of Student Retirement Contributions If a student has an immediate and serious financial need, he/she may request a hardship distribution of contributions made to the University of Colorado Student Retirement Plan. Reasons allowed: medical expenses as defined under the Internal Revenue Code, Section 213 for the student employee, spouse or a dependent; expenses relating to purchase of a principal residence; tuition and related education expenses for the student employee, spouse, or a dependent; monies needed to prevent the student employee’s eviction, or foreclosure of a mortgage. A Student Retirement Financial Hardship Application form (Student Retirement Financial Hardship (TIAA-CREF) – Application for Approval of Distribution) is available on the PBS website at http://www.cusys.edu/pbs/forms/ . The student must complete the following required forms and attach the necessary documentation to support his/her request. Both the forms and the appropriate back-up documentation must be turned in to PBS. 1. Student Retirement Financial Hardship (TIAA-CREF) – Application for Approval of Distribution, 2. TIAA Hardship Withdrawal form – only available directly from TIAA. Student must contact TIAA CREF directly to obtain the TIAA Hardship Withdrawal form (1-800842-2776). 3. Other documentation forms as necessary, i.e., eviction notice, tuition bill, etc., which substantiate the request for a hardship withdrawal. Also, once a student employee has graduated or terminated his/her student status with the University, he/she may apply for a distribution of his/her TIAA funds. Contact TIAACREF directly for distribution information and any possible tax penalties. Payroll & Benefit Services Page 103 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rev. 10-31-06 Last Revised 7/ 9/2007 CHAPTER 5 – HUMAN RESOURCES 5.1 Holidays The ten (10) paid legal holidays for State of Colorado employees include New Year’s Day; Martin Luther King, Jr. Birthday (third Monday in January); Presidents’ Day (third Monday in February); Memorial Day (last Monday in May); Independence Day; Labor Day; Columbus Day (second Monday in October); Veteran’s Day; Thanksgiving Day; and Christmas Day. Alternate Holiday Schedules Each campus has adopted an alternate holiday schedule based upon their operating schedule. Listed below are websites containing the campus holiday schedules. Questions regarding campus holiday schedules may be directed to your campus human resources department. http://www.colorado.edu/humres/holidays/ UCB: UCCS: http://www.uccs.edu/~personne/holidays2005-2006.pdf UCDHSC: http://ucdhsc.edu/admin/policies/hr/Holidays07-08.pdf SYSTEM: https://www.cu.edu/SysHR/notice.html For employees of campuses observing alternate holiday schedules, the alternate schedules are used in the application of all provisions of the holiday leave rules for classified employees. For example, if Presidents’ Day which is normally observed in February is observed in June under an alternate holiday schedule and an employee quits in April after having worked the statutory holiday (before the holiday is observed by the campus) the employee is not paid holiday leave on termination for having worked the statutory date. However, an employee who begins work in April is paid for the alternate holiday when it is observed in June. Holiday Leave for Flex Schedules Full-time employees are entitled to eight hours of holiday leave for each holiday. If an employee is on a nine-hour or ten-hour flex schedule either a leave slip must be submitted for the extra one or two hours for the holiday or the employee must arrange to make up the time during the same week in which the holiday occurs. In order for a full-time employee to receive a full day of holiday leave, he/she must work or be on paid leave status for either the last scheduled workday before the holiday or the first scheduled workday after the holiday (both are not required). They may be on unpaid leave status for the other days of the month without affecting their holiday leave eligibility. Contact the campus Human Resource department for specific examples. Payroll & Benefit Services Page 104 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Part-Time Holiday Leave Holiday leave for part-time employees is pro-rated based on the number of hours an employee works or is on paid leave, in the month the holiday occurs. Rev. 7-3-07 5.2 Employment Groups – Campus Offices to Contact The University has eleven employment groups, including faculty, classified staff, exempt professionals, student workers and others. Questions concerning employment policies and procedures, compensation and other issues are handled by various offices, depending on the campus and the employment group. To find a chart that lists the offices by employment group and campus, access the HRMS, Finance, Campus Employment Group Contacts document located on the PBS website at http://www.cusys.edu/pbs/hrms/resources/downloads/HRMS-FIN-CampEmplContacts.pdf. Employment Group Contacts can be found on page 2. Rev. 10-31-06 5.3 Inclement Weather In the event that it becomes necessary to close any of the individual campuses due to inclement weather or other emergencies, a notice regarding the status of each campus will be posted at the phone numbers listed below. Closure of each campus is determined individually, and the open/closed status of one campus does not affect the status of any other campus. Please refer to the appropriate Human Resource Department for guidelines regarding the use of leave due to inclement weather (or other officially designated emergencies) and the correct reporting of leave usage due to inclement weather (or other officially designated emergencies). UCB/System UCCS UCD HSC Rev. 10-31-06 (303) 492-5500 (719) 262-3346 (303) 556-2401 (303) 724-4636 5.4 Job Searches and Recruitment Jobs at CU at https://www.cusys.edu/jobs/ is the University of Colorado’s online recruitment and applicant tracking system. Departments have the ability to post open positions and review Payroll & Benefit Services Page 105 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 applications, and applicants are able to search, apply, and track their employment applications, online. Position information is fed nightly into Jobs at CU from PeopleSoft HRMS. Preparing a position for recruitment begins on the HRMS Position Data pages. A new row in Add/Update Position Data must be inserted with the reason of REC (Recruitment). The REC position row must be the most current row of position data. On the day the position’s REC row is approved it will feed to Jobs at CU (nightly process). On the next business day the position information will be accessible in Jobs at CU for entry of specific job posting data. Currently, Jobs at CU may be used to recruit for Classified Staff, Exempt Professional, Faculty, and Research position types. The student employment offices on each campus will continue to handle student job openings. For more information on how to use Jobs at CU to recruit for open positions, see the Department Recruiting Liaison (DRL) Training Guide and the Department Recruiting Liaison (DRL) Step by Step Guide, located at https://www.cu.edu/jobs/campustraining.html. Job postings are viewable by applicants on https://www.jobsatcu.com. Department and guest users of Jobs at CU, however, should access posting and applicant information on https://www.jobsatcu.com/hr. Information regarding gaining access to Jobs at CU and how to use the system is available on https://www.cusys.edu/jobs/training.html. Access to Jobs at CU will be provided to University of Colorado personnel who support recruitments within their departments. Completion of the Online Tutorial for Department Recruiting Liaisons (DRL) is required prior to receiving access. Those who do not currently have access to HRMS must also submit the Jobs at CU Security Access Form and complete the Fiscal Code of Ethics online training. The DRL online tutorial, the access form, and information about the Fiscal Code of Ethics online training are available at https://www.cusys.edu/jobs/access.html. Note: For assistance with or questions about the recruitment or hiring processes on your campus, please contact your campus human resources department or appropriate academic administrative department. You may contact Jobs at CU Support with functional system questions or inquiries on how to obtain access to the system. Jobs at CU Support may be reached via phone, (303) 735-6000 or 1-888-472-9236, or by email, jobsatcuhelp@cu.edu. Rev. 07-02-07 5.5 Training for Jobs at CU Jobs at CU at https://www.cusys.edu/jobs/ is the University of Colorado’s online recruitment and applicant tracking system. Departments have the ability to post open positions and review applications, and applicants are able to search, apply, and track their employment applications, online. Payroll & Benefit Services Page 106 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Access to Jobs at CU will be provided to University of Colorado personnel who support recruitments within their departments. Completion of the Online Tutorial for Department Recruiting Liaisons (DRL) is required prior to receiving access. Those who do not currently have access to HRMS must also submit the Jobs at CU Security Access Form, and complete the Fiscal Code of Ethics online training. The DRL online tutorial, the access form and information about the Fiscal online training is available at https://www.cusys.edu/jobs/access.html. Training workshops, covering the same information as the online tutorial, will be offered to DRLs throughout the year. Workshop attendance is not mandatory to gain access to Jobs at CU. The workshops are campus specific and a campus human resources representative will be on hand to answer workflow questions. Please visit the UCDHSC Human Resources website for more information regarding workshops on that campus. Dates for UCB training may be found at https://www.cusys.edu/jobs/campustraining.html. Additional training guides and resources such as the DRL Step by Step Guide, Designate Applicant as Hired guide, Designate Posting as Filled guide, Quick Reference Guide to Applicant and Posting Statuses, campus specific workflow charts, Campus HR Training Guide, and search committee member access to information is available at https://www.cusys.edu/jobs/campustraining.html. Note: For assistance with or questions about the recruitment or hiring processes on your campus, please contact your campus human resources department or appropriate academic administrative department. You may contact Jobs at CU Support with functional system questions or inquiries on how to obtain access to the system. Jobs at CU Support may be reached via phone, (303)735-6000 or 1-888-472-9236, or by email, jobsatcuhelp@cu.edu. Rev. 07-02-07 5.6 Fair Labor Standards Act (FLSA) The federal Fair Labor Standards Act (FLSA) establishes minimum wage, overtime pay, record-keeping and child labor standards that apply to full and part-time workers in federal, state and local governments. Employees can be determined to be exempt or non-exempt from its provisions, depending upon how their position fits within certain criteria (see FLSA Exemption Process later in this section). A key provision of the act is that non-exempt employees must be paid at the rate of one and one-half times the annualized hourly rate for all overtime hours worked. The Fair Labor Standards Act covers all State of Colorado employees and under FLSA the state is considered to be a single employer. Employees cannot voluntarily waive their rights under FLSA. FLSA status (exempt or non-exempt) is defined by the position’s job duties, not by the employee. For classified staff and exempt professional positions, the campus human Payroll & Benefit Services Page 107 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 resources office reviews each position to determine appropriate FLSA status. Positions with a faculty job code are generally exempt from overtime. However, there are exceptions to this under certain circumstances, and these positions should also be reviewed individually to determine appropriate FLSA status. The Fair Labor Standards Act includes four fundamental provisions with which University departments must comply: 1) record-keeping requirements; 2) basic wage standardsminimum wage; 3) the FLSA exemption process; and 4) overtime pay and compensatory time definition and implementation. The University does not generally employ children, except as part of an educational internship or special program, so the child labor laws are not an issue for most departments. Check with your Human Resources department for guidance on these provisions. Record Keeping Requirements Time/Leave Records: Time/Leave work records shall be kept for both exempt and nonexempt employees at the University. Both the employee and the supervisor must verify and sign these time records on a bi-weekly or monthly basis. FLSA provisions require employers to keep records on wages, hours, and other items, as specified in Department of Labor record-keeping regulations. The records do not have to be kept in any particular form and time clocks are not required. However, the University requires the use of an employee work record form (EWR) to document time per FLSA requirements. Departments may select the form they wish to use. Examples of an EWR are available on the PBS website at http://www.cusys.edu/pbs/forms/ . For an employee subject to the minimum wage provisions or both the minimum wage and the overtime pay provisions, the following records must be kept: 1. Personal information, including employee's name, home address, occupation, sex, and birth date if under 19 years of age 2. Hour and day when workweek begins 3. Total hours worked each workday and each workweek 4. Total daily or weekly straight-time earnings 5. Regular hourly pay rate for any week when overtime is worked 6. Total overtime pay for the workweek 7. Deductions from or additions to wages 8. Total wages paid each pay period 9. Date of payment and pay period covered There may be additional information not specifically required for FLSA purposes that may be required to be retained for other purposes. Record Retention: Each employing department should maintain the employee work record a minimum of five (5) years from submission of the final expenditure report (shows the last time the employee incurred a salary or benefits expense in the department), for both current and former employees, per guidelines provided in State of Colorado Schedule 8 – Higher Education General Records Retention Schedules http://www.colorado.gov/dpa/doit/archives/rm/rmman/sch8.pdf. In the case of employees paid from grant funds, the retention period continues until all audits of the grant are complete and Payroll & Benefit Services Page 108 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 the grant is closed. The required time-period for record retention is not less than seven (7) years from the date of the final expenditure. These rules apply to all University employees covered by FLSA. Basic Wage Standards-Minimum Wage As of September 1, 1997, and extending through December 31, 2006, the minimum wage is $5.15 per hour. Effective January 1, 2007, this pay rate will change to $6.85 per hour. The FLSA Exemption Process The University is responsible for designating each position as FLSA exempt (not subject to FLSA; not subject to overtime requirements) or non-exempt (subject to FLSA rules; overtime eligible) based upon the actual duties performed by the position, regardless of job class. (Note: The designation process varies by campus.) Position exemption determinations must be entered into HRMS and a written record of the determination kept on file (must be maintained in the employee’s personnel file or in a separate file location in the campus Human Resources office; may also be maintained by department at their discretion). Those positions eligible for payment of overtime have been identified by the University. To see whether an employee is eligible for overtime payments, check the employee’s job data record. Exempt or nonexempt status will be shown on the job information page. PS Navigation: FLSA Exemption Verification Workforce Administration > Job Information > Job Data > Find an Existing Value (Enter EMPL ID) > Job Information Overtime Pay and Compensatory Time Definition Standard University Work Week: The standard workweek is Sunday 12:01 a.m. through Saturday midnight. Note: UCCS Campus workweek differs, and is set as Saturday 12:01am through Friday midnight. Please consult the UCCS Office of Personnel at (719) 262-3372 if you have any questions. Overtime Pay: FLSA requires that an employee in an FLSA non-exempt (eligible for overtime) position is paid overtime or granted compensatory time when hours worked exceed 40 hours in a scheduled workweek. Both overtime and compensatory time must be paid at a rate of not less than one and one-half hours for each hour of overtime/compensatory time worked. Hours worked include all time during which an employee is required or permitted to work. Employees who voluntarily continue working before and/or after their shifts are entitled to be paid according to FLSA regulations. It is the responsibility of the supervisor and agency to make sure that overtime work is authorized. A supervisor may issue a corrective action to an employee who works Payroll & Benefit Services Page 109 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 unauthorized overtime. FLSA requires payment for all overtime worked, regardless of the excuse (or the employee’s willingness to waive the overtime payment). Averaging work hours over different workweeks is not permitted. For each employee in a non-exempt (eligible for overtime) position, departments may want to add the following agreement to the employee work record: “I understand my position is eligible for overtime and/or compensatory time payment. These payments will be made at the rate of one and one-half times my annualized hourly rate. I agree to work overtime only with advance approval of my supervisor. Failure to receive advance approval for overtime worked may result in a corrective or disciplinary action which may include termination of University employment.” State personnel rules consider all work time for overtime calculation, excluding holidays and authorized paid leaves such as annual leave, sick leave, jury duty, funeral leave, administrative leave, etc. For example, an employee works 36 hours, takes 4 hours of vacation leave, and then works 4 additional hours. This employee is paid 44 hours at the regular rate of pay, since the total hours at work are equal to 40. Exception for Essential Services Positions: Classified staff who are determined to be in an essential services position will have vacation, sick or other paid leave hours included in the hours worked calculation when determining overtime hours. Note: S.B. 94-150 provides that beginning July 1, 1994, a holiday or period of authorized leave of absence falling within a regularly scheduled workweek is counted as working time in determining overtime work for employees required to perform essential services, such as highway workers, correctional officers, institutional employees, State Patrol personnel, etc.) Compensatory Time: FLSA allows state and local government employers to provide compensatory time off in lieu of cash payment. Compensatory time must be paid at a rate of not less than one and one-half hours of compensatory time for each hour of overtime worked. State Personnel Board Rules and Personnel Director’s Administrative Procedures 3-28(A) state that compensatory time in lieu of monetary payment is allowed if there is a written agreement between the agency and any employee hired after 4/15/86. Written agreements for those hired prior to 4/15/86 are unnecessary provided that the agency had a regular practice in place for granting compensatory time. Acceptance of compensatory time may be a condition of employment for new employees. State Personnel Board Rules and Personnel Director’s Administrative Procedures 3-28(A) also state that appointing authorities must ensure that compensatory time is scheduled as soon as practical. Compensatory time shall not exceed 240 hours (480 hours for law enforcement) and any hours over this limit must be paid on the next regularly scheduled pay period. Departments can place additional limits on the accrual or payment of Payroll & Benefit Services Page 110 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 compensatory time, provided a policy is created and clearly communicated to employees in advance. FLSA allows compensatory time for overtime work as long as there is an agreement from the employee. An employee’s decision to accept compensatory time off in lieu of cash overtime payments must be made freely and without coercion or pressure. Unused compensatory time at termination or at transfer to another state agency must be paid to the employee at that time. Questions concerning FLSA and/or state and university rules concerning FLSA should be directed to the Department of Human Resources on each campus. See Section # 5.2 Employment Groups in this guide for contact phone numbers. Rev. 6-14-07 5.7 Overtime Eligible Employment Campus human resource departments review the employee job duties recorded on the position’s official job description to determine eligibility for overtime pay (nonexempt or exempt from FLSA overtime requirements) and assign the appropriate job code to result in the correct designation. An employee who is eligible for overtime has been categorized as nonexempt from Fair Labor Standards Act (FLSA) overtime requirements. An employee who is not eligible for overtime has been categorized as exempt from FLSA overtime requirements. An employee’s overtime status as exempt or nonexempt is determined by the campus Human Resources office, based on the job duties of the position. Since positions with similar job titles perform similar functions, the default FLSA status column found on the job code table at http://www.cusys.edu/pbs/hrms/ps/downloads/tables/Job_Codes.xls can be used as a general guide. Each job title may have one or both designations (exempt or nonexempt) available, and the campus Human Resources office must select which is appropriate. To see whether a specific employee is eligible for overtime payments, check the employee’s job data record. Exempt or nonexempt FLSA status will be shown on the job information page, based on the designation approved by the campus Human Resources office for that individual position. Different job duties and a different percent of time spent on specific job duties within the same job code may result in a different FLSA status, so that the same job code (job title) may be designated as exempt or non-exempt depending upon the individual position. For example, one Accounting Technician IV position in the same department may be designated as B1C4XN (non-exempt from overtime) while another Accounting Technician IV position may be designated B1C4XX (exempt from FLSA overtime requirements). Payroll & Benefit Services Page 111 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Campus departments should contact their human resources department for assistance. See Section # 5.6 Fair Labor Standards Act (FLSA) in this guide for additional information. Rev. 10-31-06 5.8 New Employees Most campuses hold New Employee Orientation (NEO) Sessions on a monthly basis. In addition, PBS holds New Employee Benefits Orientations (NEBO) each month, and in some cases more frequently. • • Contact your human resources department for new employee orientation information. Contact PBS for new employee benefits orientation information. UCB UCB Department of Human Resources NEO 303-492-8103 http://www.colorado.edu /humres/new/ http://www.cusys.edu/pb s/benefits/services/nebo .html Orientation Sessions New Employee Campus Orientation Sessions UCCS Office of Personnel (719) 262-3372 http://www.uccs.edu/~h r/ http://www.cusys.edu/p bs/benefits/services/ne bo.html UCDHSC UCDHSC Human Resources 303-315-2700 http://www.ucdhsc.edu/ admin/hr/ http://www.cusys.edu/p bs/benefits/services/ne bo.html New Employee Benefits Orientation Sessions Employee Checklists Check with your campus Human Resources/Personnel Department to see if there is an existing new employee checklist to assist with the hiring process. For example, UCB Human Resources provides this checklist for state classified and professional exempt employees http://www.colorado.edu/humres/managers/HireNewEmployee.html?a=6, and other campuses may have similar lists. Employee ID Numbers Departments should provide the six digit Human Resources Management System (HRMS) Employee ID number to each of their new employees. This number is used for personal identification for business purposes. It allows the University to improve data security by minimizing the use of social security numbers. The HRMS Employee ID number is needed when employees call Payroll & Benefit Services with questions and when they fill out and submit various forms. Payroll & Benefit Services Page 112 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 New Employee Toolbox The New Employee Toolbox is available on the PBS website at https://www.cusys.edu/pbs/ (click on the New Employee Toolbox icon on the left). The Toolbox provides basic information helpful to new employees, such as payroll forms that are required and benefits enrollment information. Additional resources that it provides include: payroll due dates, pay dates, information about moving expense reimbursement, W-4 and W-5 information, the automatic bank deposit policy and form, the social security card policy, employee handbooks, and links to the campus HR offices. Rev. 6-21-07 5.9 Nonresident Employees (International Employees) It is very important that our non-resident employees keep visa status information current with Payroll & Benefit Services (PBS). Accurate data is necessary to accomplish the appropriate tax withholding as well as the correct application of any available tax treaties and/or eligible university benefits. It is the responsibility of each non-resident employee to schedule an appointment with an international tax specialist and to update his/her status whenever a change occurs. Departments can facilitate this process by informing new and continuing non-resident employees of this requirement whenever they have knowledge of a change occurring in their employee’s visa status or employment eligibility. Departments should never provide tax advice or tax forms (i.e. Form W-4) to international employees. Appointments are available at PBS and at each of our campus outreach locations. Employees should call the following numbers to schedule an appointment on their home campus: UCB: (303) 735-6500 (to schedule an appointment with an international tax specialist located at Payroll & Benefit Services) UCDHSC-Anschutz Medical Campus & 9th Avenue: (303) 724-0145 (to schedule an appointment with an international tax specialist at the HSC outreach office) UCDHSC-Downtown Denver: (303) 556-6295 (to schedule an appointment with an international tax specialist at the UCD outreach office) UCCS: (303) 735-5573 (to schedule an appointment with an international tax specialist at the UCCS outreach office) Upon arrival in the United States, non-resident aliens eligible to work must apply for a social security number. A social security number (SSN) is required for wages to be paid and reported correctly. SSN application forms are available on the PBS website at http://www.cusys.edu/pbs/forms/. Requirements and timing for the application process have changed. For information and guidelines, please refer to the PBS website’s International Payroll & Benefit Services Page 113 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Employees section located at http://www.cusys.edu/pbs/payroll/groups/international.html and review the two documents “Social Security Administration Delays in Social Security Number Issuance to International Employees” and “Tax Reference for International Visitors,” which are available as links from this web page. Rev. 10-31-06 5.10 Phone Directory Information The University uses the HRMS database to collect data for the campus online phone directories (Four Campus Search directory) and the annual hard-copy directories. The information available for faculty and staff is taken from the employee's personal information records in HRMS. Work phone number updates and web directories are periodically updated and the hard-copy is updated annually. Note: There are numerous campus/work phone # options in HRMS. The Campus 1 phone number is the phone number listed in the Four Campus Search web directory and the annual hard copy directories. To maintain a current and accurate campus phone directory (online and hard-copy), departments are requested to have employees update their personal information using one of the following options: 1. Provide employees with a Personal Information Worksheet form (blank form) located on the PBS website at https://www.cusys.edu/pbs/forms. Employees will need to fill the worksheet out and return it to the department for entry into HRMS. 2. Run the Personal Data Worksheet report in the Workforce Administration module (Navigation is: Reports and Reviews > Personal Information > Personal Data Work Sheet). This report lists the employee’s current personal information that is recorded in HRMS. By accessing this report, departments can view all existing personal information for their employees. They can then print out and distribute the report to each of their employees for review. Employees can review the data for accuracy, make appropriate corrections, and return it to the department for entry into HRMS. Rev. 7-2-07 Payroll & Benefit Services Page 114 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 5.11 Reporting Period – Employees Paid Monthly Last Revised 7/ 9/2007 Regular Hours Worked The reporting period for regular hours worked for monthly salaried employees is the first through the last day of the current month paid. Example: if the current monthly pay date is April 30, the reporting period for salaried regular hours worked, exception hours, and leave usage is April 1 through April 30. Recording of exception hours and leave usage is done the following month, so in this example it would be entered in Time Collection by the May Time Collection due date. Effective with the June 30, 2003 payroll, the State of Colorado has mandated that June pay each year be delayed by one day for all classified employees (other months are unaffected). Since CU has a consolidated payroll system and cannot single out one employee type, the June payday for all monthly employees will be the first working day of July. All other months will be paid on the last working day of the month. Exception Hours In general, the standard University reporting period for exception hours such as additional hours worked, overtime, compensatory time and shift differentials is from the first through the last day of the month, and recording in Time Collection occurs in the following month. Colorado Springs and selected authorized departments on all campuses may use an alternate reporting period. Check with your campus human resources department or appointing authority for specific procedures related to your department or campus. Leave Usage In general, the standard University reporting period for leave usage such as vacation and sick leave is the first through the last day of the month. Recording in Time Collection occurs in the following month. Check with your campus human resources department for procedures related to your campus. Rev. 10-31-06 5.12 Reporting Period - Employees Paid Biweekly For employees paid bi-weekly (two-week pay period), the reporting period for all hours worked (including overtime, shift, etc.) is the beginning of the bi-weekly pay period through the end of the bi-weekly pay period. See pay period begin and end dates, Time Collection due dates, and pay dates on the campus specific Payroll Production Calendars at http://www.cu.edu/pbs/hrms/ps/calendar.html. The Employee Payroll Due Date Schedule is also available at http://www.cusys.edu/pbs/payroll/resources/dates.html, and it lists pay periods, pay dates, and deadlines for submitting forms for each pay cycle. For most departments, the pay period begins 12:01 a.m. Sunday morning and ends two weeks later at 12:00 midnight Saturday. (Exceptions to this pay period may include libraries, Housing, and Facilities. Check with your departmental representative for these exceptions.) Once the reporting pay period ends, the payroll liaison records the work time in HRMS Time Payroll & Benefit Services Page 115 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Collection so that the employee can be paid. Payday for bi-weekly pay cycles is on Fridays, two weeks after the bi-weekly pay period closes. Rev. 10-31-06 CHAPTER 6 - LEAVE 6.1 Family Medical Leave Act (FMLA) The Family Medical Leave Act of 1993 (FMLA) is a federal statute that provides job protection for employees for the following reasons. 1. The birth of a child and care of a newborn child. 2. The placement and care of a child for adoption/foster care. 3. A serious health condition of an employee’s spouse, child, or parent. 4. An employee’s own serious health condition. Campus human resource offices assist departments and employees regarding all family medical leave requests, communications and actions. Faculty and Exempt Professional Staff should contact their campus Human Resources office for assistance with family medical leave. For Classified Staff the state personnel rules apply. Employees or departments should contact the Human Resources office on their campus for assistance with family medical leave. The document “Your Rights and Responsibilities under Family/Medical Leave” for state FMLA information, is available for reference at http://www.colorado.gov/dpa/dhr/comp/docs/fmlarule.pdf. Rev. 10-31-06 6.2 Jury Leave Jury leave is paid leave granted to an employee who has been summoned as a juror (summoned for jury duty). Per Colorado Statute 18-8-601, a juror is “any person who is a member of any jury or grand jury impaneled by any court of this State or by any public servant authorized by law to impanel a jury. The term juror also includes any person who has been drawn or summoned to attend as a prospective juror.” It is the duty of the employer to compensate employees, according to Colorado Statute 13-71-132. The Statute also states that employees are to provide the employer with a copy of the Juror Service Certificate. Payroll & Benefit Services Page 116 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Application of the rules and procedures regarding jury leave vary somewhat depending upon job classifications. The following information applies, based upon an employee’s job class type: State Classified Employees with Permanent Job Appointments 1. Per State Personnel Director’s Procedures 5-19, paid jury leave is granted to permanent state classified employees for whatever period of time they are required to serve on jury duty. No time restriction applies. 2. Employees called for jury duty should immediately notify their supervisor and should provide a copy of the notice to serve. 3. A permanent classified employee assigned to work on the second or third shift shall be granted jury leave during his/her shift equal to the amount of hours spent on jury duty within the same twenty-four hour period. 4. Jury leave should be reported in Time Collection using the earnings code JRY. 5. Vacation/Sick leave continues to accrue while on jury duty. 6. Jury pay and expenses reimbursed by the court may be kept by the employee, and do not need to be relinquished to the University. State Classified Employees with Temporary Job Appointments 1. Per State Personnel Director’s Procedures 5 -19, temporary state classified employees are granted up to three days of paid jury leave. Any time exceeding this is not compensable by the employer. 2. Employees called for jury duty should immediately notify their supervisor and should provide a copy of the notice to serve. 3. Only regularly scheduled work hours are eligible for paid jury leave. For example, an employee normally scheduled to work for four hours per day who is absent for three days due to jury leave will be paid for twelve hours total, regardless of the actual time spent serving on the jury. 4. For temporary state classified employees paid hourly, the department should pay the hours in Time Collection using whatever Earnings Type the employee is normally paid from (e.g. REG). The department should maintain a record of the jury leave usage in the employee’s file. 5. Jury pay and expenses reimbursed by the court may be kept by the employee, and do not need to be relinquished to the University. 12-Month Faculty and Professional Exempt Employees 1. Professional exempt employees are granted jury leave with full pay for the entire period of jury duty. No time restriction applies. 2. Employees called for jury duty must immediately notify their supervisor and provide a copy of the notice to serve. 3. Jury leave should be reported in Time Collection using the Earnings Code JRY. 4. Vacation/Sick accrual is not affected by use of jury leave. 5. Jury pay received by 12-month faculty/professional exempt employees must be relinquished to the University. Expenses reimbursed by the court (mileage, parking, etc.) are to be kept by the employee. Employees should contact their Payroll & Benefit Services Page 117 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 department payroll liaison and/or department finance representative for assistance with this process. 6. Suggested Processing Method for department payroll liaison/finance representative: a. If the check includes only jury pay (no mileage, parking, or other expenses) the check can be endorsed by the employee, cash receipted for the total amount, and deposited at the campus cashier’s/bursar’s office. b. If the check includes both jury pay and expense reimbursements (mileage, parking, etc.) the cash receipt should be filled out for the amount of the jury pay only, leaving out the amount paid for expenses. The employee may then endorse the check and take the check and the cash receipt to the campus cashier’s/bursar’s office. The cashier will deposit the check and provide the employee with change in the amount of the reimbursed expenses. c. Check with your department finance office representative for the appropriate SpeedType to use. Student Employees 1. Student employees are granted up to three days of paid jury leave. Any time exceeding this is not compensable by the employer. 2. Employees called for jury duty should immediately notify their supervisor and should provide a copy of the notice to serve. 3. Only regularly scheduled work hours are eligible for paid jury leave. For example, an employee normally scheduled to work for four hours per day who is absent for three days due to jury leave will be paid for twelve hours total, regardless of the actual time spent serving on the jury. 4. For student employees paid hourly (biweekly or monthly), the department should pay the hours in Time Collection using whatever earn type the employee is normally paid from (ex. STH, STS). The department should maintain a record of the jury leave usage in the employee’s file. 5. For student employees paid a monthly salary, the employee should receive their normal salary and the department should maintain a record of the absence (up to three days) attributable to jury leave usage in the employee’s file. Since leave over three days is not compensable by the employer, any jury leave exceeding three days should be entered as a dock in time collection. 6. Students who are paid from federal work-study money may not be paid from this pay source for jury duty. (State work-study money is okay.) Departments need to charge this jury duty-pay to another SpeedType that is not federally funded. 7. Jury pay received by a student employee must be turned over to the University. Expenses reimbursed by the court (mileage, parking, etc.) are to be kept by the employee. Employees should contact their department payroll liaison and/or department finance representative for assistance with this process. 8. Suggested Processing Method for department payroll liaison/finance representative: Payroll & Benefit Services Page 118 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide a. Last Revised 7/ 9/2007 b. c. If the check includes only jury pay (no mileage, parking, or other expenses) the check can be endorsed by the employee, cash receipted for the total amount, and deposited at the campus cashier’s/bursar’s office. If the check includes both jury pay and expense reimbursements (mileage, parking, etc.), the cash receipt should be filled out for the amount of the jury pay only, leaving out the amount paid for expenses. The employee may then endorse the check and take the check and the cash receipt to the campus cashier’s/bursar’s office. The cashier will deposit the check and provide the employee with change in the amount of the reimbursed expenses. Check with your department finance office representative for the appropriate SpeedType to use. Note: See the Boulder campus On-Campus Student Employment Procedures handbook for additional information concerning jury duty pay for students at UCB: http://www.colorado.edu/studentemployment/handbook_sum05_ay05_06.html#jury Faculty Employees with Academic Year Appointments 1. Faculty members should contact their department chairperson and/or academic affairs for instructions. 2. Following general University practice, compensation that faculty receive for jury pay should be turned over to the University. Expenses reimbursed by the court (mileage, parking, etc.) are to be kept by the employee. Employees should contact their department payroll liaison and/or department finance representative for assistance with this process. 3. Suggested Processing Method for department payroll liaison/finance representative: a. If the check includes only jury pay (no mileage, parking, or other expenses) the check can be endorsed by the employee, cash receipted for the total amount, and deposited at the campus cashier’s/bursar’s office. b. If the check includes payment for both jury duty and expense reimbursements (mileage, parking, etc.), the cash receipt should be for the amount of the jury pay only, excluding the amount paid for expenses. The employee may then endorse the check, then take it and the cash receipt to the campus cashier’s/bursar’s office. The cashier will deposit the check and provide the employee with change in the amount of the reimbursed expenses. c. Check with your department finance office representative for the appropriate SpeedType to use. Rev. 10-31-06 Payroll & Benefit Services Page 119 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 6.3 Leave of Absence with Pay Last Revised 7/ 9/2007 Leave of absence with pay is used for approved eligible employees who are going on a paid leave, such as sabbatical. Departments that have an employee going on leave with pay should utilize the Paid Leave of Absence action in HRMS, in conjunction with an appropriate reason code, when entering this update to the employee’s job data. The employee’s benefits and pay will continue. Pay may require reduction depending upon the type of leave (full pay/half pay). Funding also may need to be adjusted (e.g. paid from the sabbatical account while on leave). It is the responsibility of the employee to inform their department payroll liaison if their mailing address needs to be changed while on leave. Rev. 10-31-06 6.4 Leave of Absence without Pay Departments who have an employee going on approved leave without pay should utilize the LOA action in conjunction with an appropriate reason code in HRMS, when entering this update to the employee’s job data. The employee may elect to continue benefits or to waive them while on an unpaid leave of absence, subject to plan restrictions. If the employee elects to continue his/her benefits, the department must continue to pay the University contribution. LOA Requirements • Prior to going on leave, faculty, professional exempt, and state classified employees who are benefits eligible must contact PBS regarding their option to continue or waive benefits while on leave. • Prior to going on leave, PERA participants must contact PBS in order to complete the appropriate CU and PERA leave forms. • Prior to going on leave, employees should contact their campus human resources department (classified) or their appointing authority (faculty/exempt professional) to receive employment information related to their job status, including potential effects on state length of service. • State classified employees may wish to review the state document titled Technical Assistance – Time Off http://colorado.gov/dpa/dhr/rules/docs/timeoff.pdf for additional information on unpaid leave (leave without pay). Rev. 10-31-06 Payroll & Benefit Services Page 120 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 6.5 Leave Sharing Last Revised 7/ 9/2007 Leave sharing is a benefit available only to University classified employees. Contact your campus human resources office for eligibility requirements, etc. The University administrative policy is available for reference online at http://www.cu.edu/~policies/Personnel/leaveshare.html. The State Personnel System Employee Handbook also provides information online at http://www.colorado.gov/dpa/dhr/pubs/docs/emphandbook.pdf . For the University campuses that have provisions for leave sharing awards and usages, end-users should use the appropriate earnings code(s) for leave sharing donations, awards, and usage when entering in HRMS time collection. LVS-Leave Sharing: This is an adjustment code that reduces the vacation balance for an employee who donates a portion of their vacation balance to a campus leave sharing program. LVS hours are entered in Time Collection as a negative ( – ) number to reduce the employee’s vacation balance. Note: The only employee groups eligible to donate accrued vacation time are classified staff and exempt professionals (both state classified and exempt professional employees who accrue vacation leave may donate, but only state classified employees may apply for this benefit). LBA-Leave Bank Award: This is an adjustment code that increases the sick leave balance of an employee who has been awarded leave sharing hours. LBA hours are to be entered in Time Collection as a positive number to increase the sick leave hours available for the employee to use. LBA can be entered in Time Collection in the same pay period as the usage. Note: Only classified staff members are eligible for Leave Sharing Awards. LBU-Leave Bank Usage: This is the leave earnings code that reduces an employee’s awarded sick leave balance when entered in Time Collection. Input in Time Collection is to be entered as hours only (not amounts). LBU can be entered in Time Collection in the same pay period as the award balance update (LBA). Note: Only classified staff are eligible for Leave Sharing Usage. Also, the LBU earnings code can only be used if the employee is in an active pay status in the HRMS system. PBS’s procedure for paying an employee a Leave Sharing Award when the employee is in No Pay (i.e. not Active) status is a follows: 1. When an employee has been granted a leave sharing award for time that has already been reported as leave without pay, the employee needs to be reimbursed for the lost wages. This can be accomplished by requesting a hand drawn warrant from PBS. 2. A copy of the leave sharing award must be attached to the hand drawn request. Payroll & Benefit Services Page 121 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 3. Be sure that the request states that it is a leave sharing payout. 4. Provide the number of hours for the payout. 5. If the awarded hours have not been entered in Time Collection, state that on the hand drawn request. Rev. 10-31-06 6.6 Parental Leave Due to Childbirth/Adoption Depending on the circumstances, absences due to childbirth, adoption and/or care of a newborn may be covered under a combination of leave types, including use of the employee’s personal sick and vacation balances, short-term disability, and family medical leave. The regulations regarding eligibility for and use of these various options are quite specific. Employees should contact their campus human resources department for assistance. (See the Family Medical Leave Act section and Leave of Absence Without Pay section of this guide for additional information.) Further informational resources are available as follows: State Classified Your Rights and Responsibilities under Family/Medical Leave (revised July 2005): http://www.colorado.gov/dpa/dhr/comp/docs/fmlarule.pdf State Classified Handbook: http://www.colorado.gov/dpa/dhr/pubs/docs/emphandbook.pdf Officers and Professional Exempt Administrative Policy Statement on Parental Leave for Faculty, Officers and Exempt Professionals: http://www.cusys.edu/policies/Personnel/parentalleave.html Faculty Administrative Policy Statement on Parental Leave for Faculty, Officers and Exempt Professionals: http://www.cusys.edu/policies/Personnel/parentalleave.html Rev. 10-31-06 6.7 Vacation and Sick Leave Supervisors of employees earning vacation and sick leave must record usage and verify leave balances on a monthly basis. Campus departments should confirm the appropriate monthly reporting period for leave reporting with their human resources department. It is the responsibility of the hiring department to maintain accurate leave balances for employees in HRMS (Human Resources Management System). Correct balances are Payroll & Benefit Services Page 122 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 very important, since they impact leave usage, leave balance conversion processes, and final pay for employees. It is the department that maintains the official leave record for an employee, not HRMS. Therefore, departments must maintain leave records and balances and get appropriate signatures from both the employee and the employee’s supervisor. This confirms that there is an agreement between employee and supervisor on the correct balances on an ongoing basis. Leave accruals, usage, and payouts are subject to various maximum limits. Employees may use leave hours above the maximum accrual limits (i.e. until the hours over the maximum limit are wiped at the end of each fiscal year). However, there are limitations on how much an employee can be paid for leave hours upon termination or retirement. As a result, employees may lose the value of accrued leave hours which have exceeded the allowed limits. Please read the appropriate leave policies for each employee type. Rev. 10-31-06 6.8 Vacation and Sick Leave – Classified Staff Vacation and sick leave benefits are provided to all state classified employees hired into a regular appointment. Temporary state classified employees do not receive vacation and sick leave benefits. State guidelines are provided at the following website: http://www.colorado.gov/dpa/dhr/comp/leave.htm. You can also view State Personnel Board Rules and Personnel Director’s Administrative Procedures, Chapter 5 entitled Time Off at: http://www.colorado.gov/dpa/spb/rulesnew.pdf and State Technical Assistance – Time Off located at http://colorado.gov/dpa/dhr/rules/docs/timeoff.pdf. Accruals for Classified Staff Employees must be at work or on paid leave to earn full monthly accruals. Time taken away from work when paid leave is not available will result in prorated (reduced) leave accruals for the timeframe in question. Leave is not available for use until the beginning of the month following that in which the leave was earned. Vacation Accruals Regular full-time appointed state classified employees accrue vacation at the following rates, based on years of state service. See State of Colorado Personnel Board Rules and Personnel Director’s Administrative Procedures 5-11 at http://www.colorado.gov/dpa/spb/rulesnew.pdf . Payroll & Benefit Services Page 123 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Length of State Service in Months** 0 to 60 61 to 120 121 to 180 181 and up Last Revised 7/ 9/2007 Years of Service* 1–5 6 – 10 11 – 15 16 - more Accrual/Month 8 hours 10 hours 12 hours 14 hours Maximum Accrual 192 hours (24 days) 240 hours (30 days) 288 hours (36 days) 336 hours (42 days) *The amount of leave that part-time employees earn is based on the pro-rated hours worked during the pay period month. Permanent part-time employees should be advanced to the next higher annual leave earnings rate based strictly on length of state service. For example, a permanent part-time employee who began state employment on June 1, 2003 and who works 40% time would earn 3.2 hours for the first through the fifth year (40% of 8 hours per month). The employee should be advanced to the next higher annual leave earnings rate as of June 1, 2008. The employee in this example would then earn 4 hours of leave per month for the sixth through the tenth year of service (40% of 10 hours per month). **Please contact your campus Human Resources Department with questions regarding length of state service and accrual rates. Sick Accruals The sick leave accrual rate for regular full-time appointed classified staff is 6.66 hours per month. Maximum accrual allowed is 360 hours (more for some employees with frozen sick leave balances; their allowed maximum accrual will be based upon the employee’s June 30, 1988 unused sick leave balance plus an additional 360 hours). Leave Accrual in the Human Resources Management System Leave accrual is processed automatically in the Human Resources Management System (HRMS) during monthly payroll processing for all monthly/regular employees in an eligible job code series. See the document Leave Accrual in the Human Resources Management System located at http://www.cu.edu/pbs/hrms/training/downloads/LeaveAccrual.pdf for additional information. Calculation for Classified Staff Vacation and Sick Leave Full-time employees who work or are on paid leave for 100% of the month will receive 100% accrual for vacation and sick leave. Payroll & Benefit Services Page 124 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Part-time employees who work regular, non-fluctuating schedules earn leave on a prorated basis based on the number of hours worked during the month, rounded to the nearest 1/100 of an hour. Full time or part time employees who work less than a full month*, due to docks or unpaid leave taken, earn leave on a pro-rated basis. Docks in pay and taking unpaid leave reduce an employee’s accrual rate. Leave is calculated by dividing the number of hours the employee worked or was on paid leave by the total number of work hours in the month. (See FORMULA below.) *The total physical work time plus approved vacation and sick usage is less than 100% of time of their appointment for the month. FORMULA: Hours worked (including paid leave) during the month divided by total number of work hours in month EXAMPLE FOR APRIL 2004: 140 Hours Worked In April Divided by 176 total work hours in April =.795454 (pro-ration factor) In this example, an employee whose vacation leave accrual rate is 8 hours would earn 6.36 hours vacation accrual for the month. The same employee, whose sick leave accrual rate is 6.66 hours, would earn 5.30 sick leave accrual for the month. (8 x .795454 = 6.36 hours vacation and 6.66 x .795454 = 5.30 hours sick leave.) Recording Classified Staff Vacation and Sick Leave – Usage, Adjustments, Payout Recording Usage: Leave usage (vacation and sick leave) is entered in Time Collection for hours used during the prior month. Usage can be recorded using the quarter hour calculation to be consistent with recording work and overtime hours. For example, if an employee is on vacation or sick leave from 2:00 p.m. until 3:08 p.m. you will round to the closest quarter hour and report 1.25 hours of usage. If an employee is on vacation or sick leave from 2:00 p.m. until 3:07 p.m., you will round to the closest quarter hour and report 1.00 hours of usage. Use this calculation when updating an employee’s work record, vacation and sick leave balances (off-line – departmental manual records; on-line – HRMS data entry). Recording Adjustments: Departmental manual leave balance records are considered the official record of an employees leave balance and departments should reconcile their paper records to the HRMS system on a periodic basis. If at any time leave balances shown in the HRMS system appear to be incorrect, they may be corrected through Time Collection. The department is responsible for making leave balance adjustments in HRMS using earnings code VAA for vacation balance adjustments, and Payroll & Benefit Services Page 125 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 SCA for sick hours balance adjustments. These adjustments can be entered in time collection as positive or negative, depending upon whether the system balances should be increased or decreased. Note: When an employee is transferred to another department, unit, campus or state agency, the transferring department is responsible for providing the receiving department with a current and accurate copy of the employee’s internal work record in a timely manner. Recording Payout: Upon retirement or termination unused accrued leave for eligible employees can be recorded in Time Collection by entering VCT and SKS. See the section entitled Separation of Employment – Vacation and/or Sick Leave Buyout in this guide for specific procedures and eligibility criteria. Vacation/Sick Conversion for Classified Staff Per State Personnel – Technical Assistance – Time Off http://colorado.gov/dpa/dhr/rules/docs/timeoff.pdf and Personnel Board Rules and Personnel Director’s Administrative Procedures – Chapter 5 - Time Off http://www.colorado.gov/dpa/spb/rulesnew.pdf, vacation and sick leave balances in excess of maximum accrual rates are forfeited on July 1st each fiscal year. Vacation hours that exceed the maximum accrual allowed are reduced to the maximum and forfeited, making them no longer available for use by the employee, during the annual leave sweep that takes place after the July monthly payroll closes. For more information, see State Personnel - Technical Assistance – Time Off – Annual Leave section http://colorado.gov/dpa/dhr/rules/docs/timeoff.pdf and the chart in Chapter 5, section 5-11, Personnel Board Rules and Personnel Director’s Administrative Procedures http://www.colorado.gov/dpa/spb/rulesnew.pdf . On some campuses, hours over the maximum accrual may be donated to the Leave Sharing Program prior to this balance reduction. Please contact your campus Human Resources Department for Leave Sharing information. Sick leave balances that exceed the maximum accrual allowed will be automatically converted to vacation leave hours using a 5 to 1 ratio (5 sick hours become 1 vacation hour). This conversion takes place each year when PBS runs the conversion program after the July monthly payroll closes. Maximum accrual for both full-time and part-time employees hired after July 30, 1988 is 360 hours. For employees with a sick balance as of July 30, 1988 (referred to as frozen sick balance), the maximum accrual is the frozen sick balance plus 360 hours. Regardless of the employee’s accrual balance, no more than 80 hours of sick can be annually converted to vacation (equal to16 hours). Note: An employee’s individual vacation leave balance is reduced to maximum prior to processing the excess sick to vacation hour conversion. An employee’s vacation balance will not be reduced again after the sick to vacation conversion occurs. Rev. 10-31-06 Payroll & Benefit Services Page 126 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 6.9 Vacation and Sick Leave – Exempt Professionals / Others (For this section only, the employment categories “Officers,” “Exempt Professionals,” and “12-month Faculty” will be referred to as “Exempt Professionals.”) The University provides vacation and sick leave for officers, exempt professionals, and 12-month faculty paid on a monthly compensation frequency in HRMS. Guidelines are provided at the following websites: http://www.cu.edu/regents/Policies/Policy11H.htm (Section H) and http://www.cu.edu/policies/Personnel/vacation.html. Faculty appointed on an academic year basis with a contract pay frequency do not accrue vacation and sick hours. However, they may be eligible for a sick leave benefit. For more information on faculty accrual eligibility, contact the chairperson or head of your department. In addition, employees and payroll liaisons may review faculty vacation and sick leave benefit eligibility, based on job code, on the PBS website in the section titled Eligibility Matrix at http://www.cusys.edu/pbs/pbs_documents/EligibilityMatrix.xls. Vacation and sick leave usage must be recorded in HRMS Time Collection for exempt professionals. Accruals are based on job code, leave eligibility and percentage of appointment. Faculty in the 1300 job class series on 12-month appointments do not need this box checked to accrue leave correctly. (Note: Faculty members appointed on an academic year basis and who have a contract pay frequency in HRMS do not accrue vacation and sick leave.) For more information on faculty accrual eligibility, contact the chairperson or head of your department. See also the Officers and Exempt Professionals Handbook at http://www.cu.edu/SysHR/oep/ and related policies at http://www.cu.edu/regents/Policies/Policy11H.htm. Accruals for Exempt Professional Staff Vacation Accruals: The vacation leave accrual rate for 100% time regular employees is 22 days per year (14.67 hours per month). If the employee’s appointment is less than full-time, the amount of vacation leave accrued is pro-rated based on the total number of hours worked each month. The maximum vacation leave accrual is 44 days (352 hours) as of June 30th each fiscal year*. Amounts in excess of the maximum accrual are forfeited annually. On some campuses, these hours may be donated to the Leave Bank prior to forfeiture. For more information contact your human resources department. *Note: Some campus departments may have a reduced maximum accrual provision. Please check with your department chair, dean or director. Sick Accruals: The sick leave accrual rate is 15 days per year (10 hours per month). If the employee's appointment is less than full-time, the amount of sick leave accrued is prorated. There is no maximum sick leave accrual. Payroll & Benefit Services Page 127 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Calculation for Exempt Professional Staff Vacation and Sick Leave Full-time employees who work or are on paid leave (approved usage of vacation or sick) for 100% of the month, receive 100% accrual for vacation and sick leave. For employees who work or are on paid leave (approved usage of vacation or sick) less than a full month*, leave accrual is calculated by dividing the number of hours the employee worked or was on paid leave by total number of work hours in month. (See FORMULA below.) *The total physical work time plus vacation and sick usage is less than 100% of time for the month. These employees are considered to be part time, but they must be regular employees, not temporary employees. FORMULA: Hours Worked (including paid leave) during the month Divided by total number of work hours in month EXAMPLE FOR APRIL 2004 (22 working days in the month): 140 Hours Worked Divided by 176 total work hours in month (22 X 8) = .795454 (pro-ration factor) In this example, an employee whose vacation leave accrual rate is 14.67 hours would earn 11.67 hours vacation accrual for the month. The same employee, whose sick leave accrual rate is 10 hours, would earn 7.95 hours sick leave accrual for the month. (14.67 x .795454 = 11.67 hours vacation and 10 x .795454 = 7.95 hours sick leave.) Recording Exempt Professional Staff Vacation and Sick Leave – Usage, Adjustments, Payout Recording Usage: Leave usage (vacation and sick leave) is entered in Time Collection for hours used during the prior month by employing the following calculation (both online and with department records). Usage is recorded using the quarter hour calculation to be consistent with recording work and overtime hours. For example, if an employee is on vacation or sick leave from 2:00 p.m. until 3:08 p.m. round to the closest quarter hour and report 1.25 hours of usage. If an employee is on vacation or sick leave from 2:00 p.m. until 3:07 p.m., round to the closest quarter hour and report 1.00 hours of usage. Recording Adjustments: If at any time leave balances shown in the HRMS system appear to be incorrect, they may be corrected through Time Collection. The department has the responsibility to make this adjustment in HRMS. (Use earnings code VAA for vacation balance adjustments and SCA for sick balance adjustments.) Payroll & Benefit Services Page 128 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Note: When an employee is transferred to another department/unit/campus, it is the responsibility of the transferring department to provide the receiving department with a copy of the employee’s internal work record in a timely manner. Some campuses require pay out of vacation when an employee transfers and is paid by non-general funds. Please check with your department chair, dean or director. Recording Payout: Unused accrued leave for eligible employees upon retirement or termination is recorded and paid by entering VCT and SKS in Time Collection. See Section # 1.1.8 Separation of Employment – Vacation and/or Sick Leave Buyout in this guide for specific procedures and eligibility criteria. Note: Transfers from professional exempt employment to a nine-month academic year faculty appointment are eligible to receive a vacation and/or sick payout (if eligible). The vacation buyout is governed by Regents Policy # 11-H.I.C. Transfer to Nine-Month Faculty Appointment http://www.cu.edu/regents/Policies/Policy11H.htm. The sick buyout (if eligible) is governed by Regents Policy # 11-H.II.C.4 Compensation for Unused Sick Leave http://www.cu.edu/regents/Policies/Policy11H.htm. This policy states that when an Exempt Professional transfers to a nine-month faculty appointment they are eligible to receive a buyout for 25% of unused sick leave only if the employee meets the age and service requirements for retirement at the time of transfer. This is because they are considered to have resigned, retired or been laid off (based on the situation) from their exempt professional job. If they do not meet the age and service requirements for retirement, they forfeit their sick balances and are only paid for unused vacation. Vacation/Sick Conversion for Exempt Professional Staff Per Regents Policy #11-H http://www.cu.edu/regents/Policies/Policy11H.htm , vacation hours in excess of the maximum accrual allowed as of July 1st of each fiscal year are reduced to the maximum (in most cases the maximum allowed is 352 hours or 44 days)*. On some campuses, hours over the maximum accrual may be donated to the Sick Leave Bank prior to this reduction. Please contact your campus human resources department for Leave Bank information. *Note: Some campus departments may have a reduced maximum accrual provision. Please check with your department chair, dean or director. There is no provision for converting excess sick leave hours to vacation hours for professional exempt employees. (The 5 to 1 conversion for excess sick hours only applies to state classified employees.) Rev. 10-31-06 Payroll & Benefit Services Page 129 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide 6.10 Employee Work/Leave Record Last Revised 7/ 9/2007 The university administrative policy Verification of Vacation and Sick Leave Accrual for University Personnel requires that “each officer and/or administrator will be responsible for maintaining accurate and complete vacation and sick leave records for all classified and professional exempt personnel within his/her department or unit.” For state classified employees, both time worked and leave usage must be tracked. For professional exempt employees, leave usage must be tracked but recording time worked is not required. The University of Colorado Employee Work Record (EWR) form can be used for this purpose. This form also helps maintain compliance with Fair Labor Standards Act (FLSA) record keeping requirements and allows for easy verification of leave benefits involved in termination, retirement or inter-institutional transfer (see Section # 5.6 Fair Labor Standards Act (FLSA) in this guide). The employee work record for each employee should be verified monthly by the employee’s supervisor and signed off by both the supervisor and the employee to confirm agreement with the balances. It is also recommended that the vacation and sick balances on the employee work record be reconciled on a regular basis with the balances in the Human Resources Management System (HRMS) in order to prevent incorrect docks in pay. Vacation and sick leave balances must also be accurate in the system prior to processing a final payment for a terminating or retiring employee through Time Collection. The University administrative policy is available for reference at http://www.cu.edu/~policies/Personnel/verifyvacation.html. The employing department must maintain an employee work record or time sheet for all hourly employees, all non-exempt (eligible for overtime) employees, and all employees eligible for vacation, sick and other leave usage. The employee work record is the primary source of time-worked and leave used for classified employees and of leave used for professional exempt employees. This information must be retained for both internal and external audits, including audits of contracts, grants, student financial aid, or Fair Labor Standards Act (FLSA) compliance. For federal FLSA requests for audit review, records must be made available within 72 hours following the notice. Failure to maintain these records may result in the employing department assuming responsibility for any fines or penalties that may result. The employee signs his/her time sheet or leave record at the end of each pay period (every two weeks for biweekly, once each month for monthly paid employees). It is University practice that the employee time sheet or work record must include one of the following certification statements (based on biweekly or monthly pay cycle), signed by the supervisor and the employee: Monthly certification statement “I certify hours and minutes shown herein are a complete and accurate record of time worked each day and for the reporting period. All leave taken and/or overtime earned or taken as compensatory time was reported and approved by my supervisor.” Payroll & Benefit Services Page 130 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Biweekly certification statement “OVERTIME ELIGIBILITY: This position is eligible for overtime and/or compensatory time payment. Any overtime worked MUST have supervisory approval in advance, and will be paid at the rate of one and one-half times my hourly rate. Failure to receive advance approval for overtime worked may result in a corrective or disciplinary action which may include termination of University employment. By signing below, both employer and employee certify that: (1) The hours and minutes shown herein are a complete and accurate record of time worked each day and for the reporting period. All overtime earned or taken as compensatory time was reported and approved by my supervisor, and the work was performed in a satisfactory manner. (2) The FOPPS identified above are appropriate to pay these hours, and the percentage of time attributed to each reflects the actual effort expended on the project(s) specific to the FOPPS listed. (3) If applicable, student employee is enrolled in the proper number of credit hours, pursuant to campus specific student employment guidelines.” University policy permits a department to develop and use its own Employee Work Record form. However, all required FLSA information must be included and the form must be approved by Human Resources (see Section # 5.6 Fair Labor Standards Act in this guide). Examples of University Employee Work Record forms are available on the PBS website at http://www.cusys.edu/pbs/forms/. Note: Some campuses have developed their own campus specific forms. Check with your campus personnel department. Rounding of Overtime Hours (FLSA Non-Exempt State Classified Employees, Eligible for Overtime) Department of Personnel Procedures, Rule 3-36, (http://www.colorado.gov/dpa/spb/rulesnew.pdf) states that “Overtime is calculated based on the total time worked in the work week or designated work period, rounded to the nearest quarter hour.” This means that time worked must be recorded in 15 minute units (rounded to the nearest quarter hour). For example: • An employee worked from 12:00 noon to 5:08 p.m., a total of 5 hours and 8 minutes. He/she would be paid for 5 and 1/4 hours (the .08 minutes are rounded up to the next quarter hour). Time entry input of 5.25 hours worked would be entered. • If this employee had worked until 5:07 p.m., he/she would be paid for exactly 5.00 hours (the .07 minutes are rounded down to the next quarter hour). Time entry input of 5.00 hours worked would be entered. Rev. 10-31-06 Payroll & Benefit Services Page 131 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 CHAPTER 7 – CAMPUS SPECIFIC RESOURCES 7.1 Business Process Maps Each campus has created business process maps, defined by employment group (faculty, staff, etc.), that outline the activities, tasks, and documents required as part of the employee life cycle process. These process maps include specific information for each human resources process (Position Management, Funding Distribution, Hire, Personal Information, Job Data, Time Collection, etc.). To view specific campus business process maps, go to the process maps webpage at http://www.cu.edu/pbs/hrbp/ . You may also access them from the System Operations website at http://www.cusys.edu/operations/ (Select Quick Resource Links > PBS Info > HR Business Processes). Rev. 7-9-07 7.2 Campus Personnel Directories Listed are the four campus employee directories for your information and use. UCB: http://www.colorado.edu/search/ UCDHSC-Anschutz Medical Campus & 9th Avenue: http://www.uchsc.edu/directory/ UCDHSC-Downtown Denver: http://www.ahec.edu/phone/index.htm - Select University of Colorado at Denver UCCS: http://www.uccs.edu/directory/directoryb.htm Rev. 10-31-06 7.3 Forms Most payroll, HR, and benefits forms are available on each of the four campus websites or through the Payroll & Benefit Services website at http://www.cusys.edu/pbs/forms/ . Users may also access these forms, as well as finance and procurement, security and federal forms at http://www.cu.edu/forms. For campus specific forms, see the human resources and student employment websites for each campus. For additional information, please review the individual forms described in this document. Additional resources for forms include: PBS Campus Specific Payroll forms: http://www.cusys.edu/pbs/payroll/forms-payroll/campus.html UCDHSC Forms/Templates: http://ucdhsc.edu/admin/hr/formstemp.htm UCCS HR Forms: http://www.uccs.edu/~personne/HR-form1.htm UCB HR Forms: http://www.colorado.edu/humres/forms/index.html?a=3 Payroll & Benefit Services Page 132 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Rev. 10-31-06 Last Revised 7/ 9/2007 7.4 Mailing Labels Departments requiring on-campus mailing labels should contact the offices listed below for assistance and specific information. On-campus mailing labels generally list the employee’s name, home department, location, and campus box. Depending on the campus, labels are available by employment classification and/or other criteria. Boulder Campus/System Administration: Mailing Services: 303/492-2442 www.colorado.edu/MailingServices Colorado Springs Campus: Information Technology Help Desk: 719/262-3536 Health Sciences: Printing Services: 303/315-7121 Denver Campus: The Center for Human Resources: 303/556-2868 Rev. 10-31-06 7.5 Staff Directories The following URL’s will take you to the staff directories on each of the four campuses. UCB: http://www.colorado.edu/search/ UCDHSC-Anschutz Medical Campus & 9th Avenue: http://www.uchsc.edu/directory/ UCDHSC-Downtown Denver: http://www.ahec.edu/phone/index.htm - Select University of Colorado at Denver UCCS: http://www.uccs.edu/directory/directoryb.htm Rev. 10-31-06 7.6 University Risk Management The University of Colorado and its System Campuses are exposed to risks of loss resulting from occurrences involving disappearance, damage, and destruction of its own property and property of others, injuries to employees and others, dishonesty, and unforeseen liabilities imposed by law or assumed by contract. The philosophy of University Risk Management (URM) is one of affirmative control and minimization of risk to the greatest extent practicable, and protection against unpredictable loss by reasonable use of liability transference, including the use of available insurance in excess of acceptable self-retentions. Payroll & Benefit Services Page 133 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Of vital importance to the accomplishment of this objective is a centralized proactive Risk Management/Safety and loss prevention program with uniformity for all campuses, implemented with consciousness and awareness on the part of personnel at all levels of the University of Colorado. Recognizing the need for a systematic and coordinated approach to the handling of risk, the Board of Regents established a risk management policy at: http://www.cu.edu/regents/Policies/Policy13H.htm. For more information regarding risk management policies, procedures and information (examples: property, auto usage, liability, workers’ compensation, etc.), please refer to the University Risk Management website at http://urm.colorado.edu, or call (303) 492-1901. Rev. 10-31-06 7.7 Verification of Employment and Compensation Various businesses and organizations will seek verification of employment and/or compensation for University employees. These organizations should contact the individual campus human resources offices, which are responsible for verifying employment at the University. Rev. 10-31-06 7.8 Who to Call for Help The System Operations website at http://www.cu.edu/operations/who/ contains a Who to Call for Help directory. This comprehensive list of resources was developed as a central place to find help resources across finance, human resources, UMS help desk, the PBS, PSC, and other campus help-related groups. There is a searchable index to make this list easy to use, and it has cross-referenced items to include a variety of ways to access the information. Rev. 10-31-06 7.9 Workers’ Compensation (Risk Management) The University is required by law to provide Workers' Compensation coverage to all individuals employed by the University. Please check with the Office of University Risk Management (URM) for eligibility, exceptions if applicable, specific procedures and required paperwork. Payroll & Benefit Services Page 134 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Employees are required to report injuries to their supervisor within four working days of an incident, to complete and turn in all required paperwork, and to obtain medical service from specified providers. Supervisors are required to complete and forward all required paperwork to the Office of University Risk Management (URM). Contact URM for reporting and paperwork deadlines. In addition, record any time employees are away from work in Time Collection in the Human Resources Management System. This includes any adjustment to pay, if applicable. The Office of University Risk Management’s website is http://urm.cusys.edu/, or you may call them at 303-860-5682. This website includes contact information for Risk Management personnel, including the individual campus Risk Management Directors, at http://urm.cusys.edu/about/contacts.html. For more information on the University’s Risk Management/Safety and Loss Prevention Program, refer to the Office of University Risk Management’s website at http://urm.cusys.edu/. Rev. 6-21-07 Once again, thank you for using this procedures guide. Your comments and suggestions are always welcome. Please contact Payroll & Benefit Services with suggestions for improving this document. Payroll & Benefit Services Page 135 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Index Topic and Section No. Last Revised 7/ 9/2007 Printable Version Page Number 1042-S (Nonresident International Employee Tax Statement) Section # 3.5 ...................................................................................................................................................................................92 1099-R and 1099-MISC Section # 3.6 ...................................................................................................................................................................................92 8233 Section # 3.7 ...................................................................................................................................................................................93 A Accessing Data in HRMS Section # 2.15..................................................................................................................................................................................83 Accruals for Classified Staff Section # 6.8 .................................................................................................................................................................................123 Accruals for Exempt Professional Staff Section # 6.9 .................................................................................................................................................................................127 Additional Tax Withholding Section # 3.1 ...................................................................................................................................................................................88 Address Change (Employee) Section # 2.1 ...................................................................................................................................................................................72 Address Change (W-2 Address Verification) Section # 2.2 ...................................................................................................................................................................................74 Adjustments to Exception Pay Section # 1.3.12...............................................................................................................................................................................64 Advice/Warrant Distribution Section # 1.1.1...................................................................................................................................................................................9 Alternate Holiday Schedules Section # 5.1 .................................................................................................................................................................................104 Automobile Allowance Section # 1.1.2...................................................................................................................................................................................9 Automobile Usage (Employee) Section # 1.1.2...................................................................................................................................................................................9 Awards Section # 1.2.1.................................................................................................................................................................................25 AWR Earnings Code Section # 1.2.1.................................................................................................................................................................................26 B Benefits (Insurances, etc.) and Benefits Billing Section # 4.1 ...................................................................................................................................................................................96 Benefits Billing Section # 4.1 ...................................................................................................................................................................................96 Benefits Deduction Error Section # 1.3.9.................................................................................................................................................................................57 Business Expenses (Taxable) Section # 1.3.1.................................................................................................................................................................................42 Business Process Maps Section # 7.1 .................................................................................................................................................................................132 C Calculating Retroactive Payments Section # 1.3.12...............................................................................................................................................................................60 Calculation for Classified Staff Vacation and Sick Leave Payroll & Benefit Services Page 136 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Section # 6.8 .................................................................................................................................................................................124 Calendar-Payroll Production Section # 2.11..................................................................................................................................................................................80 Campus Personnel Directories Section # 7.2 .................................................................................................................................................................................132 Campus Portals Section # 1.1.1...................................................................................................................................................................................9 Change Department Description Section # 2.4 ...................................................................................................................................................................................76 Check Distribution Section # 1.1.1...................................................................................................................................................................................9 Child Support and Maintenance Orders Section # 1.4.1.................................................................................................................................................................................66 Classified Staff Job Codes Section # 2.9 ...................................................................................................................................................................................79 Colorado Tax Exemption Section # 3.2 ...................................................................................................................................................................................88 Compensatory Time Section # 5.6 .................................................................................................................................................................................110 Complimentary Tickets and Expenses Section # 1.3.2.................................................................................................................................................................................43 Contact Information Introduction.......................................................................................................................................................................................2 Contract Pay – Must Use Retroactive Pay Adjustment Form Section # 1.3.12...............................................................................................................................................................................60 Contract Pay Adjustments Section # 1.3.3.................................................................................................................................................................................44 Contract Pay Set-Up Section # 2.3 ...................................................................................................................................................................................74 D Death of an Employee Section # 1.1.3.................................................................................................................................................................................10 Deductions Section # 1.3.4.................................................................................................................................................................................44 Department Create/Delete, Update/Change Section # 2.4 ...................................................................................................................................................................................76 Department’s Financial Responsibility for Benefit Premiums Section # 2.5 ...................................................................................................................................................................................76 Deposit Into A Checking Account Section # 1.1.4 ...........................................................................................................................................................................11 Deposit Into A Money Market Account Section # 1.1.4.................................................................................................................................................................................12 Deposit Into A Savings Account Section # 1.1.4.................................................................................................................................................................................12 Direct Deposit Application Form Section # 1.1.4.................................................................................................................................................................................11 Direct-Deposit – Mandatory for All Employees Section # 1.1.4.................................................................................................................................................................................11 Docks Section # 1.3.12...............................................................................................................................................................................64 E Earnings Advice Section # 1.1.5.................................................................................................................................................................................13 Earnings Codes Section # 1.2.2.................................................................................................................................................................................26 Section # 1.2.5.................................................................................................................................................................................31 Employee Benefit Charges Payroll & Benefit Services Page 137 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 What Stops Them Section # 2.7 ..............................................................................................................................................................................77 Employee Checklists Section # 5.8 .................................................................................................................................................................................112 Employee ID Numbers Section # 5.8 .................................................................................................................................................................................112 Employee Pay: What Stops It? Section # 2.6 ...................................................................................................................................................................................76 Employee Work/Leave Record Section # 6.10................................................................................................................................................................................130 Employment Groups – Campus Offices to Contact Section # 5.2 .................................................................................................................................................................................105 Encumbrances (Financial Reporting Section # 1.5.1.................................................................................................................................................................................67 Entering Termination Data Section # 1.1.8.................................................................................................................................................................................18 Essential Services Positions and Overtime Pay Section # 5.6 .................................................................................................................................................................................110 Exception Hours Section # 5.11................................................................................................................................................................................115 Exemption from Direct Deposit Section # 1.1.4.................................................................................................................................................................................11 Exemption From State of Colorado Withholding Form Section # 3.2 ...................................................................................................................................................................................88 Expenditure Controls Section # 1.5.2.................................................................................................................................................................................68 F F-1 Visa Holders Section # 4.8 .................................................................................................................................................................................103 Fair Labor Standards Act (FLSA) Section # 5.6 .................................................................................................................................................................................107 Family Medical Leave Act (FMLA) Section # 6.1 .................................................................................................................................................................................116 Federal and State Tax Calculations By Type of Payment Section # 3.4 ...................................................................................................................................................................................91 Federal Supplemental Tax Rate Section # 3.4 ...................................................................................................................................................................................91 Federal Tax Table Section # 3.4 .................................................................................................................................................................................91 Fiscal Code of Ethics Training Section # 2.21..................................................................................................................................................................................86 Flexible Spending Section # 4.2 ...................................................................................................................................................................................97 FLSA Exemption Process Section # 5.6 .................................................................................................................................................................................109 Form 1042-S Section # 3.5 ...................................................................................................................................................................................92 Form 1099-MISC Section # 3.6 ...................................................................................................................................................................................92 Form 1099-R Section # 3.6 ...................................................................................................................................................................................92 Form 3903 Section # 1.1.6.................................................................................................................................................................................16 Form 8233 (Nonresident Alien Tax Section # 3.7 ...................................................................................................................................................................................93 Form W-5 Section # 3.9 ...................................................................................................................................................................................95 Forms Section # 7.3 .................................................................................................................................................................................132 Payroll & Benefit Services Page 138 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Frozen Sick Leave-Professional Exempt Section # 1.1.8.................................................................................................................................................................................21 Full Month Pay Rate Change Not Received Section # 1.3.12...............................................................................................................................................................................61 G Garnishments (Wage Assignment) Section # 1.4.2.................................................................................................................................................................................66 General Deduction Error Section # 1.3.9.................................................................................................................................................................................57 Grandfather Clause-Exempt Professional Sick Leave Section # 1.1.8.................................................................................................................................................................................21 Gross Pay Error Section # 1.3.9.................................................................................................................................................................................57 H Hand Drawn Payroll Warrants Section # 1.3.5.................................................................................................................................................................................47 Hand Drawn Warrant Request Form Section # 1.2.3.................................................................................................................................................................................27 Hand Drawn Warrant Request Process and Form Section # 1.3.5.................................................................................................................................................................................48 Head Tax Section # 3.3 ...................................................................................................................................................................................89 Holiday Leave for Flex Schedules Section # 5.1 .................................................................................................................................................................................104 Holiday Leave For Part-Time Employees Section # 5.1 .................................................................................................................................................................................105 Holidays Section # 5.1 .................................................................................................................................................................................104 Home Address Section # 2.1 ...................................................................................................................................................................................73 Hourly Retroactive Wage Payment Section # 1.3.12...............................................................................................................................................................................63 How to Buy Moving Services Section # 1.1.6.................................................................................................................................................................................14 HRMS Training Section # 2.21..................................................................................................................................................................................86 Human Resource Action Steps and Processes Section # 2.8 ...................................................................................................................................................................................78 I Inclement Weather Section # 5.3 .................................................................................................................................................................................105 Insurance Section # 4.1 ...................................................................................................................................................................................96 International (Nonresident) Employees Address Section # 2.1 ...................................................................................................................................................................................73 Involuntary Termination and Layoffs Section # 1.3.5.................................................................................................................................................................................49 J J-1 Visa Holders Section # 4.8 .................................................................................................................................................................................103 Job Codes Section # 2.9 ...................................................................................................................................................................................79 Payroll & Benefit Services Page 139 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Job Searches and Recruitment Section # 5.4 .................................................................................................................................................................................105 Jobs at CU Section # 5.4 .................................................................................................................................................................................105 Jobs at CU - Training Section # 5.5 .................................................................................................................................................................................107 Jury Leave Section # 6.2 .................................................................................................................................................................................116 L Late Payment of Wages Section # 1.2.3.................................................................................................................................................................................27 LBA-Leave Bank Award Section # 6.5 .................................................................................................................................................................................121 LBU-Leave Bank Usage Section # 6.5 .................................................................................................................................................................................121 Leave - State Classified Section # 6.8 .................................................................................................................................................................................123 Leave - Vacation and Sick Section # 6.7 .................................................................................................................................................................................122 Leave Accrual In HRMS-State Classified Section # 6.8 .................................................................................................................................................................................124 Leave of Absence with Pay Section # 6.3 .................................................................................................................................................................................120 Leave of Absence without Pay Section # 6.4 .................................................................................................................................................................................120 Leave -Professional Exempt Section # 6.9 .................................................................................................................................................................................127 Leave Sharing Section # 6.5 .................................................................................................................................................................................121 Leave Usage Section # 5.11................................................................................................................................................................................115 Leave Without Pay-Effect On Benefits Section # 4.1 ...................................................................................................................................................................................96 LOA Requirements Section # 6.4 .................................................................................................................................................................................120 Lost Warrants Section # 1.5.4.................................................................................................................................................................................71 LVS-Leave Sharing Section # 6.5 ................................................................................................................................................................................121 M Mail Address Section # 2.1 ...................................................................................................................................................................................73 Mailing Labels Section # 7.4 .................................................................................................................................................................................133 Mandatory Deductions and Contributions Section # 1.3.7.................................................................................................................................................................................50 Methods For Stopping An Employee’s Pay Section # 1.3.11...............................................................................................................................................................................58 Minimum Wage Section # 5.6 .................................................................................................................................................................................109 Monitoring Student Appointments Section # 4.8 .................................................................................................................................................................................102 Moving (Relocation) Section # 1.1.6.................................................................................................................................................................................14 Moving (Relocation) - Form 3903 Section # 1.1.7.................................................................................................................................................................................16 Moving Expense-Coding and Processing One-Time Payment Form Payroll & Benefit Services Page 140 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Section # 1.1.6.................................................................................................................................................................................15 Moving Expense-Methods of Payment Section # 1.1.6.................................................................................................................................................................................14 Moving Expense-Payment Through HRMS Section # 1.1.6.................................................................................................................................................................................15 Moving Expense-Reimbursement Directly Via Payroll Process Section # 1.1.6.................................................................................................................................................................................14 Moving Expense-Taxation of Direct Expenses Section # 1.1.6.................................................................................................................................................................................14 Moving Expense-Taxation of Travel Expenses Section # 1.1.6.................................................................................................................................................................................14 Moving Reimbursement Expense Worksheets Section # 1.1.6.................................................................................................................................................................................15 Moving-Temporary Housing Section # 1.3.6.................................................................................................................................................................................50 Multiple Components of Pay Section # 2.22..................................................................................................................................................................................87 N New Employee Benefits Orientations (NEBO) Section # 5.8 .................................................................................................................................................................................112 New Employee Orientation (NEO) Sessions Section # 5.8 .................................................................................................................................................................................112 New Employee Toolbox Section # 5.8 .................................................................................................................................................................................113 New Employees Section # 5.8 .................................................................................................................................................................................112 No Pay Received Section # 1.3.12...............................................................................................................................................................................60 Non-Resident Aliens and Student Retirement Section # 4.8 .................................................................................................................................................................................103 Nonresident Employees (International Employees) Section # 5.9 .................................................................................................................................................................................113 Notice of Overpayment Adjustment Section # 1.3.8.................................................................................................................................................................................55 Notifying Employees of Hand Drawn Check Section # 1.3.5.................................................................................................................................................................................49 O Occupational Privilege Tax (OPT) Section # 3.3 ...................................................................................................................................................................................88 Off-Line Action(s) – Discussions/Reviews/Decisions Section # 2.8 ...................................................................................................................................................................................78 Off-line Process for One-Time Payment Section # 1.2.5.................................................................................................................................................................................31 One Time Payment Section # 1.2.4.................................................................................................................................................................................27 One-Time Payment Section # 1.2.5.................................................................................................................................................................................31 One-Time Payment Earnings Codes: Section # 1.2.4.................................................................................................................................................................................28 On-Line Action(s) - Initiation (End-User) Section # 2.8 ...................................................................................................................................................................................78 On-Line Action(s) - Notification (Reporting and Inquire Section # 2.8 ...................................................................................................................................................................................78 On-Line Action(s) - Verification (Approval) Section # 2.8 ...................................................................................................................................................................................78 Overpayment of Wages Section # 1.3.8.................................................................................................................................................................................55 Payroll & Benefit Services Page 141 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Overpayment Recovery Schedule and Process Section # 1.3.8.................................................................................................................................................................................56 Overpayment-Calculation of Amount Section # 1.3.8.................................................................................................................................................................................56 Overpayment-Failure to Repay Section # 1.3.8.................................................................................................................................................................................56 Overpayment-Reporting on Form W-2 Section # 1.3.8.................................................................................................................................................................................56 Overtime Eligible Employment Section # 5.7 .................................................................................................................................................................................111 Overtime Pay Section # 1.3.12...............................................................................................................................................................................64 Section # 5.6 .................................................................................................................................................................................109 P Parental Leave Due to Childbirth/Adoption Section # 6.6 .................................................................................................................................................................................122 Partial Month Pay Rate Change Not Received Section # 1.3.12...............................................................................................................................................................................61 Payment Errors – What to Do Section # 1.3.9.................................................................................................................................................................................57 Payment of Wages Owed Section # 1.3.10...............................................................................................................................................................................57 Payroll Advice Distribution Section # 1.1.1...................................................................................................................................................................................9 Payroll Calendars Section # 2.11..................................................................................................................................................................................80 Payroll Expense Transfers Section # 1.5.3.................................................................................................................................................................................69 Payroll Register Accounting Report Section # 2.12..................................................................................................................................................................................81 Payroll Register Report Section # 2.12..................................................................................................................................................................................81 PERA Final Six Months’ Salary Report Section # 4.4 ...................................................................................................................................................................................98 PERA Member Information Form Section # 4.3 ...................................................................................................................................................................................97 Person Model Section # 2.10..................................................................................................................................................................................79 Person of Interest (POI) Section # 2.10..................................................................................................................................................................................79 Personal Use of University-Owned Vehicles Section # 1.1.2...................................................................................................................................................................................9 Personnel Effort Report (PER) Section # 2.13..................................................................................................................................................................................82 PET Process 4/1/03 and Later Section # 1.5.3.................................................................................................................................................................................70 PET Process Between 7/1/00 and 03/31/03 Section # 1.5.3.................................................................................................................................................................................70 PET Process Prior to 7/1/2000 Section # 1.5.3.................................................................................................................................................................................70 PET Timeline Reference Chart Section # 1.5.3.................................................................................................................................................................................71 Phone Directory Information Section # 5.10................................................................................................................................................................................114 Portals-Use To Print Advice/Warrant Section # 1.1.1...................................................................................................................................................................................9 Pre-Doctoral and Post-Doctoral Trainees Section # 4.8 .................................................................................................................................................................................103 Pre-Doctoral and Post-Doctoral Trainees-Not Eligible For Student Retirement Payroll & Benefit Services Page 142 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Section # 4.8 .................................................................................................................................................................................103 Preparing To Retire Section # 4.5 ...................................................................................................................................................................................98 Pre-Retirement Seminars Section # 4.5 ...................................................................................................................................................................................98 Primary Job Section # 2.14..................................................................................................................................................................................82 Print Pay Advice/Warrant Using Online Portals Section # 1.1.1...................................................................................................................................................................................9 Processing/Notifying PBS of Late Payment Section # 1.2.3.................................................................................................................................................................................27 Pull Bank Advice Section # 1.3.11...............................................................................................................................................................................58 Pull Check Section # 1.3.11...............................................................................................................................................................................59 Pull or Stop Payment to Prevent an Overpay Section # 1.3.11...............................................................................................................................................................................58 R Record Keeping Requirements Section # 5.6 .................................................................................................................................................................................108 Record Retention Section # 1.6.1.................................................................................................................................................................................72 Recording Adjustments Section # 6.8 .................................................................................................................................................................................125 Recording Adjustments-Professional Exempt Section # 6.9 .................................................................................................................................................................................128 Recording Classified Staff Vacation and Sick Leave Section # 6.8 .................................................................................................................................................................................125 Recording Exempt Professional Staff Vacation and Sick Leave Section # 6.9 .................................................................................................................................................................................128 Recording Payout Section # 6.8 .................................................................................................................................................................................126 Section # 6.9 .................................................................................................................................................................................129 Recording Usage-Professional Exempt Section # 6.9 .................................................................................................................................................................................128 Regular Hours Worked Section # 5.11................................................................................................................................................................................115 Reporting Period - Employees Paid Biweekly Section # 5.12................................................................................................................................................................................115 Reporting Period – Employees Paid Monthly Section # 5.11................................................................................................................................................................................115 Reports and Reviews Section # 2.15..................................................................................................................................................................................83 Reports and Reviews Resource Guide Section # 2.15..................................................................................................................................................................................83 Retiree Address Section # 2.1 ...................................................................................................................................................................................73 Retiree Billing Statement Section # 4.1 ...................................................................................................................................................................................96 Retiree Data Section # 4.5 ...................................................................................................................................................................................98 Retirees Returning to Work Section # 4.6 ...................................................................................................................................................................................99 Retroactive Pay-Procedures by Pay Type Section # 1.3.12...............................................................................................................................................................................62 Retroactive Wage Process & Form Correcting an Underpayment Section # 1.3.12...............................................................................................................................................................................60 Reviews Section # 2.15..................................................................................................................................................................................83 Payroll & Benefit Services Page 143 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide S Last Revised 7/ 9/2007 Salaried Retroactive Wage Payment Section # 1.3.12...............................................................................................................................................................................62 Security Access Coordinator Section # 2.16..................................................................................................................................................................................84 Security Operator Classes Section # 2.17..................................................................................................................................................................................84 Separation of Employment (Termination) Section # 1.1.8.................................................................................................................................................................................16 Shift Pay Section # 1.3.12...............................................................................................................................................................................64 Short Work Break (SWB) Section # 2.18..................................................................................................................................................................................84 Sick Accruals-Professional Exempt Section # 6.9 .................................................................................................................................................................................127 Sick Accruals-State Classified Section # 6.8 .................................................................................................................................................................................124 Sick leave balances that exceed the maximum accrual allowed Section # 6.8 .................................................................................................................................................................................126 Sick Leave Payout - Classified Staff Section # 1.1.8.................................................................................................................................................................................19 Sick Leave Payout - Exempt Professionals Section # 1.1.8.................................................................................................................................................................................21 Signing Bonus – Classified Staff Section # 1.3.13...............................................................................................................................................................................65 Social Security Number (SSN) Verification Section # 1.1.9.................................................................................................................................................................................23 Staff Directories Section # 7.5 .................................................................................................................................................................................133 Stale-Dated or Lost Warrants Section # 1.5.4.................................................................................................................................................................................71 Stale-Dated Warrants Section # 1.5.4.................................................................................................................................................................................71 State Tax Table Section # 3.4 .................................................................................................................................................................................91 Stop Check Section # 1.3.11...............................................................................................................................................................................59 Stopping Employee Benefits Section # 4.7 .................................................................................................................................................................................100 Stopping Employee Pay Section # 2.19..................................................................................................................................................................................85 Student Address In HRMS Versus SIS Section # 2.1 ...................................................................................................................................................................................73 Student Employees Who Consistently Work 80 Hours or More Section # 4.8 .................................................................................................................................................................................101 Student Retirement Interface Process Section # 4.8 .................................................................................................................................................................................102 Student Retirement Plan Section # 4.8 .................................................................................................................................................................................101 Student Retirement, 403(b), or 457 Section # 4.8 .................................................................................................................................................................................101 Suspense: What Is It? What Causes It and How to Prevent It? Section # 2.20..................................................................................................................................................................................85 T Tax Calculation for Retroactive Payments Section # 1.3.12...............................................................................................................................................................................63 Tax Calculations Section # 3.4 ...................................................................................................................................................................................90 Payroll & Benefit Services Page 144 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Tax Deductions Section # 1.3.9.................................................................................................................................................................................57 Tax Levies (Wage Assignment) Section # 1.4.3.................................................................................................................................................................................66 Terminated/Resigned Employee Address Section # 2.1 ...................................................................................................................................................................................74 Termination for Cause Section # 1.1.10...............................................................................................................................................................................23 Termination for Cause-Payroll Liaison Responsibilities Section # 1.1.10...............................................................................................................................................................................24 Termination for Cause-PBS Responsibilities Section # 1.1.10...............................................................................................................................................................................25 Termination for Cause-Supervisor Responsibilities Section # 1.1.10...............................................................................................................................................................................24 Termination For Cause-Time Frame for Final Pay Section # 1.1.10...............................................................................................................................................................................25 Time Entry Section # 1.2.5.................................................................................................................................................................................30 Time Entry Earnings Codes Section # 1.2.5.................................................................................................................................................................................31 Timing of Payment for Terminating Employees Section # 1.1.8.................................................................................................................................................................................16 Training for HRMS Section # 2.21..................................................................................................................................................................................86 Training for Jobs at CU Section # 5.5 .................................................................................................................................................................................106 U Uniform Allowances Section # 1.2.6.................................................................................................................................................................................42 University Job Codes Section # 2.9 ...................................................................................................................................................................................79 University Risk Management Section # 7.6 .................................................................................................................................................................................133 V Vacation Accruals – Exempt Professionals Section # 6.9 .................................................................................................................................................................................127 Vacation Accruals-State Classified Section # 6.8 .................................................................................................................................................................................123 Vacation and Sick Leave Section # 6.7 .................................................................................................................................................................................122 Vacation and Sick Leave – Classified Staff Section # 6.8 .................................................................................................................................................................................123 Vacation and Sick Leave – Exempt Professionals / Others Section # 6.9 .................................................................................................................................................................................127 Vacation hours that exceed the maximum accrual allowed are Section # 6.8 .................................................................................................................................................................................126 Vacation/Sick Conversion for Classified Staff Section # 6.8 .................................................................................................................................................................................126 Vacation/Sick Conversion for Exempt Professional Staff Section # 6.9 .................................................................................................................................................................................129 Vacation/Sick Leave Payout – Classified Staff Section # 1.1.8.................................................................................................................................................................................18 Vacation/Sick Leave Payout – Exempt Professionals/Officers, 12-Month & Research Faculty Section # 1.1.8.................................................................................................................................................................................20 Verification of Employment and Compensation Section # 7.7 .................................................................................................................................................................................134 Voluntary Termination Payroll & Benefit Services Page 145 UNIVERSITY OF COLORADO Payroll & Benefit Services Procedures Guide Last Revised 7/ 9/2007 Section # 1.3.5.................................................................................................................................................................................49 W W-4 Form Section # 3.8 ...................................................................................................................................................................................93 W-5 (Earned Income Credit) Section # 3.9 ...................................................................................................................................................................................95 Wage Assignments Section # 1.1.4.................................................................................................................................................................................67 Who to Call for Help Section # 7.8 .................................................................................................................................................................................134 Withdrawal of Student Retirement Contributions Section # 4.8 .................................................................................................................................................................................103 Workers’ Compensation (Risk Management) Section # 7.9 .................................................................................................................................................................................134 Payroll & Benefit Services Page 146