The purpose of this memo is to inform Departments of the methodology for distributing and recording Payroll charges in HR/CMS and LCM/ MMARS during the Split-Year payroll period. The Split-Year Percentage (SYP) is 90% for FY2011 and 10% for FY2012, respectively. All reimbursements and leave-related earnings codes will charge to FY2011. Included is information about how payroll will distribute for employees terminating employment during Split-Year. This memo provides Payroll Directors detailed guidelines on how FY2011 and FY2012 payroll accounts will be charged.
The Office of the Comptroller (CTR), in conjunction with the Information Technology Division (ITD), developed a model to process HR/CMS payroll for LCM processing. The methodology uses HR/CMS summarized posting dates for recording payroll charges. The Summary Date Model is not exact and will require budget offices to understand the situations in which special calculations are to be considered.
The general model for payroll distribution assumes no HR/CMS Job Actions or LCM mid period time slices which could impact the percentages.
Split Year refers to the period in which one pay period spans two fiscal years. This year the Split Year pay period begins June 19 th and ends July 2 nd. LCM will process HR/CMS payroll based on a 10-work day schedule (Monday - Friday). There are 9 workdays in the Prior Fiscal Year, FY11 (June 20 to 24 - June 27 to June 30) and 1 workday in the New Fiscal Year, FY12 (July 1).
Departments should NOT encumber funds for the Split Year payroll. Payroll Holds (PHs) are not liquidated until the start of Accounts Payable payroll periods (pay end dates 7/16, 7/30 and 8/13). Please make sure that there are available (unencumbered) funds for the Split Year Payroll.
The Split Year Percentage (SYP) is 90% for FY 2011 and 10% for FY 2012, respectively. This percentage can be used to describe most departments' Split Year distributions with the exceptions discussed in this memo.
Earnings that will be split based on SYP (90/10)
All hours in Timesheet and Payable Time will be split regardless of day posted.
Exceptions that will cause payroll NOT to split based on SYP (90/10)
Prior Period Adjustments
All Prior Period Adjustments entered during the Split Year will be for activity prior to June 19, 2011. These postings will charge to FY 2011. Note, however, any Implied Exceptions based on Prior Period Adjustments will not all charge to FY 2011; the related Implied Exceptions will split 90/10.
Furloughs taken during Split Year pay period using earnings code FCT will post to FY11. If a department uses earnings code FUR, the value of earnings will split over both years. If departments currently using FUR wish to make sure the full savings are realized in FY11, then earnings code FCT must be used in the Split Year pay period.
Reimbursements, Retro and Settlement Codes
Reimbursement earning codes that normally charge to the BB subsidiary (or C98 for Contractors) will have a Posting Date of 6/30/11 and charge to FY 2011. Any Code with "Retro" in the description will have a Posting Date of 6/30/11 and charge to FY 2011. All Comptroller Settlement codes will have a Posting Date of 6/30/11 and charge to FY 2011.
|B01||Travel And Other Expense/Out of State||B01|
|B02||Travel Expense/ In State||B02|
|B03||Overtime Meals Expense||B03|
|B05||Conference and Training||B05|
|B06||Membership Dues and Licensing Fee||B06|
|B10||Exigent Job Related Expenses||B10|
|B11||GIC USE ONLY: HC Reimburse||B11|
|B12||CTR USE Only - NON tax Adjustment||B11|
|B1B||Travel Lodging Expense||B01|
|BAE||Auto Expense Reimbursement||B02|
|BAF||Travel Airfare Expenses||B05|
|BAG||MIL Basic Housing||B07|
|BAR||MIL Basic Subsistence - B07||B07|
|BB1||Travel Airfare Expenses||B01|
|BHR||Housing: Cash RET||B07|
|BMI||Car Mileage Reimbursement||B02|
|BNA||Training -NAGE Reimbursement||B05|
|BPD||Per Diem No Retirement||B07|
|BQT||Reimburse. Qualified Trans.||B11|
|BSE||Training -- SEIU Reimbursement||B05|
|BT7||Tangible Asset Allowances||B02|
|BX6||Membership Reimburse Unit 6||B05|
|C98||Travel Expense-Contract Service||C98|
|CBA||Comp Time Buy Back - Amounts||A08|
|CBB||Comp Time Buy Back - Hours||A08|
|D01||Deficiency Regular||A01, A11, A20|
|D02||Deficiency Travel Reimbursement (B02)||B01, B02, B10|
|D03||Deficiency Other Pay(Retirement)||A01, A07, A11, AA1|
|D04||Deficiency Vacation in Lieu||A13|
|D05||Deficiency Sick Buy Back||A12|
|DPL||Deceased Employ Lump Sum No RET||A21, all C|
|DPR||Deceased Employ Lump Sum with RET||A21, all C|
|FCT||Furlough-Wk Pay Reduction Amt Earn Comp||A01, all C|
|INT||Interest Due- CTR use only||A11, C11|
|PCI||Personal Leave Cash In||A13|
|QPA||Qualified Parking Allowance||B02|
|QTA||Qualified Transport. Allow.||B02|
|RIP||Retro IPP Pay||D24|
|ROH||Retro Holiday Pay||A08|
|ROP||Retro Other Pay||A14|
|ROR||Retro Regular Pay||A01, all C|
|ROS||Retro Shift Pay||A07|
|ROT||Retro Overtime Pay||A08|
|ROV||ROV - Retro Standby No RET||A06|
|ROW||Retro Holiday Pay RET||A10|
|ROX||Retro Other Pay RET||A01, all C|
|ROY||Retro Shift Pay RET||A07|
|ROZ||Retro Overtime Pay RET||A08|
|SAV||Savings Bond Refund (CTR and TRE use )||T11|
|SGL||Serviceman's Group Life Ins||R13|
|SJC||Settlement/Judgment Contract Employee||C11|
|SJP||Settlement and Judgment RET||A11|
|TX1||CTR USE ONLY: MEDICARE Refund||T11|
*Requires CTR Legal Approval
Departments with Reimbursement payments that must charge Fiscal Year 2012 can do so by either paying from their Dynacash or processing in the next pay period.
SBA, SBB, VIL and VLA Earnings Codes
All Leave-related codes will have a Posting Date of 6/30/11 and charge to FY 2011.
Sick Leave Buy Back - Amts
Sick Leave Buy Back - Hrs
Vacation In Lieu - Hours
Vacation In Lieu - Amounts
Note: These codes will charge to FY2011 regardless of whether entered in Weekly Elapsed Time or Additional Pay. Any Leave Buyouts that need to charge FY2012 should be done in the following Accounts Payable Payroll pay period.
Earnings codes that are based on other earnings
Some Departments pay various implied exceptions in addition to their base pay. These earnings are set up in Additional Pay to calculate automatically and will be split in accordance to the base earnings.
REG that is split 90% and 10% will have their applicable Education Incentive (or any other base-pay incentive/differentials) split 90% and 10%.
REG that is split 50% and 50% (because the Employee is hired 6/30 and paid 1 day in June and 1 day in July) will have their applicable Shift Differential (or any other base-pay incentive/differentials) split 50% and 50%.
However, as noted above, any Implied Exceptions based on Prior Period Adjustments will split 90/10, whereas the base earnings charge all to FY2011.
HR/CMS Job Actions that can be made during Split Year
Job Actions in HR/CMS will not impact the specific Fiscal Year logic applied to Reimbursements and Leave Buyouts but can impact the other Split Year distribution percentages mentioned in the preceding sections. The following scenarios will cause split distribution percentages to be based on the Effective Date of the HR/CMS Action:
- Midweek Rate Increases (or step progressions) will calculate REG dollars for original rate and for new rate. Only REG hours on or after the Effective Date will be calculated at the increased rate. The Split percentage by dollars will be weighted based on the start of the increase. Additional Pay earnings based on REG hours will follow the related REG hours. Note: Additional Pay earnings NOT based on other earnings (like ADS) will split based on the SYP of 90/10.
- New Hires calculations will take account of the effective date of the hire when determining All distributions. The total dollars may not split 90/10. The split percentage will be based on the effective date of the HIRE action. Hires effective 6/30 or later will charge all dollars in the new Fiscal Year. Hires on or before June 29 will have some percentage charged to the Prior Fiscal Year.
- Rehires will reflect a percentage consistent with the rehire Effective Date (similar to New Hire).
- Terminations prior to 7/1 with no Additional Pay will charge to FY11.
- Mid pay period transfer postings in TIMESHEET will reflect a percentage consistent with the midweek action Effective Date; however, all additional pay earnings will charge to the new Chart of Account Distribution.
- Home Unit/ Object Code or Data change may change the pay Period Begin Date to that of the change Effective Date; the split may not be 90/10.
- Any HR action that results in a new LCM time slice with an effective date of 6/30/11 will result in 6/30 being assigned to F12 and an overall 90/10 proration.
How to process a termination or termination with pay in Split Year
'Terminations' and 'Terminations with Pay' Job actions should not be entered in HR/CMS until the next pay period (7/3/11 through 7/16/11). The following steps can be followed to ensure Split Year proration and finalizing the termination:
- Post daily attendance in TIMESHEET for Split Year.
- If appropriate, end date additional pay earnings with an effective date of 6/18/11; this action ensures the additional pay is not paid in the following pay period.
- Change the employee's schedule in HR Assign Work Schedule to a Zero Predefined Schedule effective 7/03/11 to ensure that no hours are entered in future periods.
- View general deductions to determine if the deduction should be taken, ended, or adjusted.
- Additional pay earnings can be posted in pay period ending 7/16/11 with Accounts Payable earnings codes.
- In PPE 7/16/11, if there are additional payments, use the 'TWP' action; otherwise use 'TER'. The correct Effective Date should be entered.
For departments that use LCM for distribution, it is important to understand the impacts of processing DEPTE that will capture the Posting Date.
- To create a DEPTE for a B01 (Travel) payment during Split Year: B01 will have a Posting Date of 6/30/11; the DEPTE must have a timeline effective as of 6/30/11.
- To create a DEPTE for a SBB (Sick Buy Back) payment during Split Year: SBB will have a Posting Date of 6/30/11; the DEPTE must have a timeline effective as of 6/30/11.
DEPTE documents with an Effective Date in the middle of the Split Pay Period should be avoided. The processing of HRCMS Summary Data to a mid period DEPTE changes the FY proration and detailed distribution. In some instances, postings will not split the FY charges and may only use the most recent DEPTE.
If you have any questions regarding HR/CMS, please contact CommonHelp at 866-888-2808. If you have any questions regarding LCM/MMARS, please contact the MMARS Helpline at 617-973-2468.
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