HR Solutions and Connections: Employee Newsletter
This monthly e-publication is for faculty and staff of the university. It provides timely information about university priorities, strategies and processes.
MAY 2009 - Moving to a Biweekly Pay Schedule for Non-Exempt Staff on the Domestic Payroll
(Updated October 1, 2009)
Starting in January 2010, all non-exempt employees on the monthly domestic payroll will be placed on the biweekly payroll system. In addition, at that time all payroll deductions for those on the biweekly schedule will be prorated and taken in equal amounts from the first and second pays of each month (24 pays per year). This article will provide some details about why this being done, how it may affect you, and what you can expect in the months to come.
Why are we making changes?
Over the past year, Human Resources and Payroll Services have reviewed our pay practices to ensure we have the most efficient and effective processes in place. This change will enable the university to:
- Streamline administrative processes and computing systems
- Standardize payroll record keeping for all non-exempt employees
- Adopt best practices from the business community, in order to facilitate the potential future adoption of an electronic Time and Attendance system
- Respond to repeated staff requests for more frequent pays and more consistent pay amounts
Who will this impact?
This change will primarily impact non-exempt staff on the domestic payroll who are currently paid monthly. If you currently complete a monthly Attendance Sheet to report your work effort so you can be paid for all hours you work (including overtime), then you are included in this group and will experience changes to your pay frequency and reporting procedures.
This change will also impact staff who are already on the biweekly schedule (in how your payroll deductions are taken). In addition, those who process Time Sheets/Attendance Sheets—ACS and PRS administrators—may experience changes in their work functions.
How will the process for getting paid change?
You will more frequently report your hours for a shorter period of time using a different form. All non-exempt staff will need to complete the biweekly Time Sheet and return it to their group’s Payroll Roster System (PRS) Administrator by the biweekly payroll deadline.
You will then be paid every other week, as long as your Time Sheet is turned in on time.
The monthly Attendance Sheet and the Attendance Card System (ACS) will be eliminated.
How is this going to affect non-exempt staff?
It’s important to understand that your rate of pay and the annual cost of your benefits and other payroll deductions will not change. Your salary will be converted to an hourly rate, and your payroll deductions will be prorated to reflect 24 biweekly pays per year (first and second pays of each month).
The Time Sheet and PRS differ from the Attendance Sheet and ACS in three important ways:
- The Time Sheet covers a 2-week period.
- The Time Sheet records the time worked, rather than total hours worked per day.
- The PRS cannot generate a pay until your hours are entered into the system. So if you miss the biweekly payroll deadline, you won’t get paid that Friday.
Also, depending on the assignment of payroll administration responsibilities in your department, you may be returning your Time Sheet to a different person than you submitted Attendance Sheets to.
Another impact will be noticed in the pays received in December and January. Your December pay will be about 2/3rd of your regular monthly pay (as it will cover the period from Dec 1–20) with full payroll deductions taken. However, you will receive your first biweekly paycheck on January 8, weeks before the next monthly pay date of January 29. In fact, you’ll be paid twice before the next monthly pay date—on January 8 and 22.
Why are you announcing this now if it doesn’t take effect until next January?
This announcement allows impacted employees to make adjustments, if desired, to their billing cycles or automatic deductions/payments that are appropriate for their pay cycle.
In addition, departments may need to make some adjustments to accommodate the change. In the majority of departments, one person serves as both PRS and ACS administrator. In these areas, this person will need to understand that individuals will be shifting from one system to the other, and that the monthly process will be eliminated.
However, in departments where different individuals serve in each of these roles (or where only an ACS administrator exists), there will be more significant changes. Either a shift in work responsibilities will be required, or systems training will be needed.
What happens next? How can I learn more about how this will be impacting me specifically?
- Human Resources is sending targeted communications to all non-exempt and biweekly staff with details about how they will be impacted.
- Also, there will be a General Information Session on May 27, October 20 and November 12.
In addition, there will be an information booth at the Benefits and Fitness Fair on November 4.
- There will be Payroll Roster System administrator training on October 20 and November 12.
- Departmental leaders will begin to consider how payroll administration responsibilities will be assigned in your departments over the summer.
- Throughout the Fall, HR will conduct a more intensive communication effort. Details about deadlines, processes and impacts will be sent by mail and email.
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