Mid-Year Payroll Changes NCC Fiscal Team June 2015

Questions BEFORE processing ANY changes What is the EFFECTIVE date of the change? What was the last pay period processed? Is the EFFECTIVE date of change IN this current pay period to be processed? Does the JOBSCN accurately reflect the employee’s earnings? Is this change in compliance with the current Negotiated Agreement (if applicable)? Has this change been fully approved & authorized?

Elements of JOBSCN Pos Start Cont Start Calendar Start Changes ONLY with Position change

JOBSCN Elements Obligation Amount amount earned Obligation – total amount employee should be paid Amount Earned - per pay periods Amount – Contract amount for Entire Year paid Amount Paid ties to CHKUPD…do NOT change!!!

JOBSCN Elements Work Days Days Worked Days worked = Days paid/Earned work days Based on Pay Period Dates (Always need to review days worked)

Processing Mid-Pay Period Contract Changes Very important to remember that you CANNOT process a New Contract- Type 4 under the NEWCNT when you are making a MID-YEAR contract change. You can only process a Mid-Pay period contract change when it is a New Contract (beginning of the year) Mid-Pay Contact changes are NOT available if making a Mid-Year contract changes The system cannot make Lump Sum Retro payments as a separate check, extensive manual intervention is needed for a separate check to be generated

Processing Mid-Pay Period Contract Changes If you have a Mid-year contract change effective January 1st for example and your pay date information is as follows: Beginning Pay Period Date 12/23/13 Ending Pay Period Date 01/04/14 Payroll Date 01/15/14 You cannot use the NEWCNT program if you want to give them a retro payment on the 01/15/14 pay. WAIT UNTIL THE NEXT PAYROLL!

Processing Mid-Pay Period Contract Changes In order to use NEWCNT to process the retro payment, you must wait until the following pay period and use one of the Mid-year contract change options. Districts sometimes fail to remember this during negotiations and end up having to do manual calculations for each employee. Very time consuming and more likely that errors will occur.

NEWCNT Fields Defined Contract obligation: LEAVE BLANK when in NEWCNT Amount district owes to employee – FIGURED by the system…. SHOULD be verified New Contract amount Salary schedule amount for full year - if appropriate Total contract that would be paid to the employee for the job for the entire year Days since raise Must be greater than zero and must be less than or equal to days worked ( on JOBSCN) Used to calculate retro earned

NEWCNT Calculations Contract Obligation – IMPORTANT TO BE VERIFIED Amount earned plus amount to be earned until end of contract plus retro earned Contract Amount Earned Days worked times daily rate Contract Amount Due Contract amount earned minus the amount paid Amount Due may be negative

NEWCNT Calculations Pay per period Daily rate Obligation minus amount paid minus amount docked divided by remaining pays Daily rate Contract amount divided by total days Daily rate is CRITICAL and must be verified Typically taken out to 3 places AFTER the deciamal Dock next pay (lump sum retro) Full pay per period minus old pay per period times pays paid; negative result

NEWCNT Calculations Retro next pay (lump sum retro) Rounding Full pay per period minus old pay per period times pays paid; positive result Rounding All intermediate calculations use 5 decimal places The rounding is processed at the end of all processing Based on rounding flag in USPSDAT/USPCON

NEWCNT Fields Defined Days since raise Contract obligation Must be greater than zero for retro payments Must be less than or equal to days worked ON JOBSCN Used to calculate retro earned Could be the total of days worked IF contract change is due to negotiation settlement back to beginning of year OR employee was assigned the wrong contract amount this year Contract obligation Amount district owes to employee – FIGURED by the system…. District must validate

Mid-year Calculations

There are 3 options in NEWCNT for Mid-year changes. 2 – Retro Spread: employee goes from 1 pay per period to the NEW pay per period: no irregular pays 3 – Lump Sum – used when the change to the new pay per period artificially inflates the new pay per period BEYOND what the employee will receive NEXT contract year should there be no raise for the employee

Mid-year change with lump sum retro NEWCNT Mid-year change with lump sum retro

Mid-year change with Lump Sum Retro JOBSCN before contract change

Mid-year change with Lump Sum Retro Adding into NEWCNT Enter NEWCNT and select Maintenance option Hit the F12 key to Add record Enter employees name Select Job # to add to NEWCNT Enter Contract type Enter New contract amount Enter Days worked since raise Employee has worked and been paid for 14 days since the raise Enter ‘Lump Sum’ Contract Type Obligation is BLANK Enter New Contract Amount Enter Days Worked Since Raise

Screen after CALCULATE option Mid-year change with Lump Sum Retro Screen after CALCULATE option New daily rate = new contract amount/total number of days in contract 58,000/183 = 316.94 new daily rate Work days remaining = days in contract - days worked in contract 183 - 80 = 103 days remaining Contract amount to be earned = new daily rate x work days remaining 316.94 x 103 = 32,644.82 contract amount to be earned Full retro amount = new daily rate-old daily rate) x days worked since raise 316.94 - 300.55 = 16.39 x 14 days = 229.46 full retro amount Full pay per period = (New contract amount / total number of pays) 58,000/26 = 2,230.77 full pay per period Lump sum retro (when pay is bi-weekly) lump sum retro = (Full pay / period - old pay / period x (days since raise / 10) (2230.77-2115.39) x 14 / 10) = 161.53 lump sum retro Retro spread over remaining pays = full retro - lump sum retro 229.46 - 161.53 = 67.93 retro spread over remaining pays New Obligation = (contract amount earned + contract amount to be earned + retro spread + lump sum retro) 24,044 + 32644.82 + 161.53 + 67.93 = 56,918.28 New obligation (80 days worked x old daily rate 300.55) = contract amount earned (old) New accrued = (Old accrued + retro spread) 7120.96 + 67.93 = 7,188.89 New accrued Pays remaining = total number of pays - pays paid 26 - 8 = 18 pays remaining New pay per period = (New obligation - amount paid - amount docked - dock next pay - lump sum retro) / pays remaining 56,918.28 - 16923.04 - 161.53 = 39,833.71 / 18 = 2,212.98 new pay / period Lump sum appears as RETRO next pay

JOBSCN AFTER PURGE IN NEWCNT Mid-year change with Lump Sum Retro JOBSCN AFTER PURGE IN NEWCNT

Mid-year change with retro spread over remaining pays NEWCNT Mid-year change with retro spread over remaining pays

Mid-year change with retro spread over remaining pays JOBSCN before contract change

Mid-year change with retro spread over remaining pays Adding into NEWCNT Enter NEWCNT and select Maintenance option Hit the F12 key to Add record Enter employees name Select Job # to add to NEWCNT Enter Contract type Enter New contract amount Enter Days worked since raise Employee has worked and been paid for 14 days since the raise Enter Days Worked Since Raise Enter New Contract Type Enter New Contract Amount Obligation is BLANK

Screen after data entered Mid-year change with retro spread over remaining pays Screen after data entered New daily rate = new contract amount/total number of days in contract 58,000/183 = 316.94 new daily rate Work days remaining = days in contract - days worked in contract 183 - 80 = 103 days remaining Contract amount to be earned = new daily rate x work days remaining 316.94 x 103 = 32,644.82 contract amount to be earned Retro amount = (new daily rate-old daily rate) x days worked since raise 316.94 - 300.55 = 16.39 x 14 days = 229.46 retro amount New Obligation = (contract amount earned + contract amount to be earned + retro) 24,044 + 32644.82 + 229.46 = 56,918.28 New obligation (80 days worked x old daily rate 300.55) = contract amount earned (old) New accrued = (Old accrued + retro) 7120.96 + 229.46 = 7,350.42 New accrued Pays remaining = total number of pays - pays paid 26 - 8 = 18 pays remaining New pay per period = (New obligation - amount paid - amount docked - dock next pay ) / pays remaining 56,918.28 - 16923.04 = 39,995.24 / 18 = 2,221.96 Pay per period is inflated for the remaining pays by the retro amount.

JOBSCN AFTER PURGE IN NEWCNT Mid-year change with retro spread over remaining pays JOBSCN AFTER PURGE IN NEWCNT

Mid-year change with no retro NEWCNT Mid-year change with no retro

Mid-year change with no retro JOBSCN before contract change

Mid-year change with no retro Adding into NEWCNT Enter NEWCNT and select Maintenance option Hit the F12 key to Add record Enter employees name Select Job # to add to NEWCNT Enter Contract type Enter New contract amount NO need for to enter Days Worked Since Raise because there is NO RETRO.

Screen after data entered Mid-year change with no retro Screen after data entered New daily rate = new contract amount/total number of days in contract 58,000/183 = 316.94 new daily rate Work days remaining = days in contract - days worked in contract 183 - 80 = 103 days remaining Contract amount to be earned = new daily rate x work days remaining 316.94 x 103 = 32,644.82 contract amount to be earned New Obligation = (contract amount earned + contract amount to be earned) 24,044 + 32644.82 = 56,688.82 New obligation (80 days worked x old daily rate 300.55) = contract amount earned (old) New accrued = Old accrued 7120.96 New accrued Pays remaining = total number of pays - pays paid 26 - 8 = 18 pays remaining New pay per period = (New obligation - amount paid - amount docked - dock next pay ) / pays remaining 56,688.82 - 16923.04 = 39,765.78 / 18 = 2,209.21

JOBSCN AFTER PURGE IN NEWCNT Mid-year change with no retro JOBSCN AFTER PURGE IN NEWCNT

Mid-Year Payroll Changes Can NEWCNT be used?? Have I VERIFIED the information BEFORE I pay the individual? Does it meet the Negotiated agreement requirements? Is this change fully authorized and approved? Questions????