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DRAFT - Address August Accruals

The purpose of this document is to calculate and post accrued pay and related benefits for employees that work in one fiscal year but do not get paid until the next fiscal year. For example, any employee who works days in August 2018 for the 2018-2019 school year but does not get paid their first check for these days until September 2018 would need to be included in the End of Year payroll accruals.

Reminder: If you do not accrue during the year, use the Human Resources > Payroll Processing > EOY Payroll Accruals > Reversal for Non-Accrual tab to reverse accruals if you have not previously addressed.

(Discuss District of Innovation (DOI) & accrual calendars.)

IMPORTANT: Each LEA will have unique situations. For example, 11-month employees that do not accrue monthly or new employees who receive 13 payments in the first year may need to be handled individually. Additionally, this process is not designed for 11-month employees as they are already accruing when this process begins IF you accrue them monthly. Some of the images and examples provided in this document are for informational purposes and may not completely represent your LEA's process.

Accrual background

Before You Begin

Before you begin.

Process Prerequisites

Process prerequisites.

Verify Payroll is Completed

Verify payroll is complete

Log on to the current year payroll frequency for each frequency used.

Ensure that the current school year payroll (final August payroll and August supplemental) is processed and interfaced to Finance prior to performing the August accrual process.
Do not use the same date for the August payroll and the August accrual posting. It is recommended to use 8-31-20XX for the accrual posting date.
For August TRS-related tasks, review the August TRS Reporting Process document.
Print, post, and interface all deduction liability checks.
Post and interface all transfer transactions on the Payroll > Utilities > Transfer Transaction Processing page.
Ensure that the termination dates and reasons are updated on the Personnel > Maintenance > Employment Info tab for all employees who are no longer with the LEA.
For applicable employees, be sure to update responsibility records and auxiliary roles with an end date.

CAUTION: If not yet completed, extract teacher service records for all employees.

Note: If service records were not extracted before moving 11- and 12-month employees from NYR payroll to CYR, it may be necessary to manually update data such as contract begin and end dates, etc.

Verify Monthly Accrual Amounts are Cleared

(For LEAs that accrue monthly) Balance accruals in Finance and Payroll

If your LEA accrues monthly, complete the following steps to verify the accurate posting of monthly accruals in both Finance and Payroll. It is critical that both areas agree to ensure accurate reporting of federal funds.

It is recommended to balance accruals monthly to help identify and correct any errors. Use the Payroll > Utilities > Payroll Accrual Variance Extract > Extract to assist you in this process.

Finance > Tables > District Finance Options > Clearing Fund Maintenance

Note: Object codes at your LEA may differ as this is a sample screenshot.

❏ Click Print to print the table. You can reference this information each month as the table is rarely updated during the year.

Finance > Inquiry > General Ledger Inquiry > General Ledger Account Summary

Run and print an inquiry for object code 216X (accrued wages).

Run and print an inquiry for object code 221X and each sub-object listed in the Clearing Fund Maintenance table (printed above (accrued beneﬁts)). It is recommended that you print each sub-object separately to simplify the balancing process. The screenshot shows multiple sub-objects to save space.

Payroll > Reports > Year To Date Reports > HRS3050 - School Year To Date Report

Generate the report with the following parameters:

Print or save only the last page of the report.

Note: The numbers in parentheses are the sub-objects that will be compared to the General Ledger Inquiry report in the following step.

Compare the HRS3050 report totals to the General Ledger Inquiry reports.

General Ledger Inquiry Report	School YTD Report	Expenditure Object Code
216X	Accrued Pay	6119 or 6129
221X.11	Accrued Federal Deposit	6146
221X.12	Accrued Federal Care	6146
221X.14	FICA/Medicare Accrued	6141
221X.15	Unemployment Accrued	6145
221X.16	Emplr Health Insurance Accrued + TEA Health Ins Accrued	6142
221X.17	Emplr 457 Accrued	6149
221X.18	Emplr Annuity Accrued	6149
221X.19	Emplr TRS Care Accrued	6146
221X.20	Emplr Dependent Care Accrued	6149
221X.21	Emplr Misc Ded Contrib Accrued	6149

Assuming that only your 10-month employees accrue, the easiest time to complete accrual balancing is after completing the August payroll but before completing the August accruals. At this time, the amounts displayed on the School Year to Date Report and the General Ledger Inquiry liability accounts (216X and 221X.XX) are typically all zeros. Employees who accrue monthly and receive the ﬁrst payment of their new contract prior to September will have accruals in Finance and the upcoming School Year to Date Report if the TRS Year field is selected on the Job info tab. These amounts should be considered during the accrual balancing process. Here are ﬁve common scenarios to consider.

Scenario	Accrued amounts from the HRS3050 - School Year To Date Report	Finance General Ledger Accrued Liabilities	Action Needed
1	Zeros	Zeros	None
2	Show amounts	Zeros	Run the Zero School YTD Accruals utility in Payroll and Post to Master only
3	Zeros	Show balances	Compare to upcoming School Year to Date report Add manual entries in Finance as needed
4	Show amounts that match GL	Show amounts that match School Year to Date	Compare to upcoming School Year to Date report Run the Zero School YTD Accruals utility in Payroll and Post to Master and Interface to Finance if needed
5	Show amounts but DO NOT match GL	Show amounts but DO NOT match School Year to Date	Compare to upcoming School Year to Date report Run the Zero School YTD Accruals utility in Payroll and Post to Master Consider Interface to Finance and manual entries in Finance if needed

Review the following scenarios, choose the best fit, then follow the appropriate steps.

Scenario 1: The current School Year to Date Report shows zeros for accrued totals and the liability accounts in Finance are zero.

Action: No action required.

Scenario 2: The current School Year to Date Report shows amounts for accrued totals but the liability accounts in Finance are zero.

Action: In the current year payroll frequency, zero the amounts in Payroll. Post to Master but DO NOT Interface to Finance.

Payroll > Utilities > Zero School YTD Accruals > Extract

❏ Verify the School Year ﬁeld and click Retrieve.

❏ In the JV Number ﬁeld, type ZEROAC.

❏ Verify that the File ID ﬁeld is C.

❏ Employees with School YTD accruals that were not cleared during payoﬀ are displayed on the left side of the page. Use the arrows to move the employees to the right side of the page.

❏ Click Run. The Zero School YTD Accruals Extract report is displayed.

If the process is successful, close the Extract report.
If there were any errors encountered during the extract, the system displays the Zero School YTD Accruals Calculation Errors listing. Review the report.
It is recommended that you clear all errors prior to continuing with the extract process.

Payroll > Utilities > Zero School YTD Accruals > Reports

Generate and save the reports as needed.

Payroll > Utilities > Zero School YTD Accruals > Post to Master/Interface to Finance

❏ Under Post Options, select Post to Master.

❏ Click Post.

Scenario 3: The current School Year to Date Report shows zeros for accrued totals but the liability accounts in Finance have balances.

Action: Generate the School Year to Date Report for the upcoming school year.

If these amounts match Finance, no action needed.
If these amounts do not match in Finance, enter a JV on the Finance > Postings > Journal Actual tab to match the School Year to Date amounts.

Refer to the above chart to see the expenditure object that ties to each liability. For example, if the accrued FICA/Medicare liability line (object 221X.14) shows a balance of -$158.56, you will need to debit a payroll expenditure account with an object code of 6141 for $158.56.

Scenario 4: The current School Year to Date Report shows amounts for accrued totals and the liability accounts in Finance have matching amounts.

Action: In the current year payroll frequency, use the Payroll > Utilities > Zero School YTD Accruals utility to zero the amounts in Payroll and Interface to Finance so that both are zeroed at the same time.

Complete the same steps listed in Scenario 2 EXCEPT on the Post to Master/Interface to Finance tab:

❏ Select Post to Master and Interface to Finance.

❏ Enter a Transaction Date.

❏ Select the desired accounting period.

❏ Click Post.

Scenario 5: The current School Year to Date Report shows amounts for accrued totals and the liability accounts in Finance show amounts but the amounts do not match.

Action: Run the upcoming School YTD report and compare the totals from both School Year to Date reports to Finance. Analyze the report to determine which accrual amounts should remain if any.

In the current year payroll frequency, use Payroll > Utilities > Zero School YTD Accruals to zero the amounts if needed.

Consider whether Interfacing to Finance will correct the liability balances in Finance.

If yes, select Post to Master and Interface to Finance.
If no and the diﬀerences will be greater, select Post to Master. You may need to manually enter additional JVs on the Finance > Maintenance > Postings > Journal Actual tab to reconcile any remaining diﬀerences.

Complete the same steps listed in Scenario 2 and 4 except on the Post to Master/Interface to Finance tab:

❏ Select Post to Master or Post to Master and Interface to Finance as needed. If you interface to Finance:

❏ Enter a Transaction Date.

❏ Select the desired accounting period

❏ Click Post.

Verify Accrual Accounts are Zero in Finance

Verify accrual accounts are zero in Finance

Log on to the current file ID.

Finance > Inquiry > General Ledger Inquiry > General Ledger Account Summary

Run a summary inquiry for account codes 216X and 221X to verify that all accrual amounts are cleared (if there are no upcoming year accruals). The accrual amounts from the Payroll > Reports > Year To Date Reports > HRS3050 - School Year To Date Report should match the Finance accrual accounts.

(If necessary) Calculate TRS On-Behalf

Log on to the CYR payroll frequency.

Payroll > Reports > TRS Reports > HRS4150 - TRS On-Behalf Payment Journal

If you do not post your TRS On-Behalf on a monthly basis:

Calculate your TRS On-Behalf for the year.
Verify On-Behalf revenue and expenditures are posted for 12 months.

This report must be processed and interfaced after the TRS 373 Stat. Min. report is interfaced to Finance.

Generate the HRS4150 - TRS On-Behalf Payment Journal report to calculate the TRS On-Behalf payments, create a journal, and interface the amounts to Finance.

❏ Enter the necessary parameters and generate the report.

❏ Click Interface to Finance. The following message is displayed.

❏ Click OK.

These are just suggested codes, review your general ledger to verify what codes have been budgeted. It is acceptable under GASB Statement No. 24 for ALL of the “On-Behalf” payments to be charged to the general fund by function. Reference Item 5 section 1.3.3.2 of the Financial Accountability System Resource Guide (FASRG).

(If necessary) Verify Service Records

Clear EOY Accrual Data

Clear EOY accrual data

Log on to the CYR payroll frequency.

Payroll > Next Year > Copy CYR Tables to NYR > Clear Next Year Tables

❏ Select only the Clear EOY Accrual Data Only field.

IMPORTANT: Do not move any tables from the left side to the right side of the page.

❏ Click Execute to clear the prior year accrual calculations.

Verify Fund to Grant Information

Verify fund to grant information

Personnel > Tables > Salaries > Fund to Grant

IMPORTANT: All applicable federal grants must have a fund to grant code listed in the TRS Grant Cd field on this tab. If not, TRS federal grant care and TRS federal grant deposit amounts will not be calculated for that specific fund during payroll.

Verify that the applicable federal grant funds (200-300) have a two-digit TRS grant code.

Exception: If using the TRS Child Nutrition worksheet for TRS reporting, the child nutrition fund should NOT have a grant code assigned.

Verify Next Year TRS Rates

Verify/update next year TRS rates

Log on to the NYR payroll frequency.

Payroll > Tables > Tax/Deductions > TRS Rates

Update the TRS rates.

CAUTION: Be sure to retrieve the 2026 school year data prior to updating this tab.

IMPORTANT: Be sure to visit the TRS website: https://www.trs.texas.gov/Pages/re_contribution_rates.aspx to obtain the updated rates for the next school year, and then return to this table to update the new rates.

To create a new TRS rates record:

Type the new year (2026) and click Retrieve. A message is displayed indicating that the new record is populated based on the prior year's (2025) TRS rates record.
Complete the applicable fields.
Click Save.

Verify the Accrual Code, Accrual Rate, Daily Rate, and Contract Begin Date

Verify next year payroll information

Log on to the NYR payroll frequency.

Payroll > Reports > User Created Reports

These fields are maintained on the Payroll > Maintenance > Staff Job/Pay Data > Job Info tab.

❏ For employees who do accrue monthly:

Verify the accrual code, accrual rate, daily rate, and contract begin date for each employee.
Verify that each employee that should accrue monthly has an accrual code.
Verify that each employee with an accrual code has an accrual rate.
Verify that the accrual rate matches the daily rate.
Verify if each accrual code has the correct number of days employed.
If you have two employees with the same contract begin date and one needs to accrue and the other does not, make a note to serve as a reminder that the applicable employee should be excluded from calculations during the August Accrual process.

❏ For employees who do not accrue monthly:

Verify that the contract begin date and new daily rate are accurate for the new year.
Verify that the employee does not have an accrual code or accrual rate.

❏ Use the Payroll > Tables > Accrual Calendars > Accrual Calendar page to verify pay dates and days worked.

Perform the Accrual Process

Perform the Accrual Process.

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Table of Contents

DRAFT - Address August Accruals

Before You Begin

Process Prerequisites

Verify payroll is complete

(For LEAs that accrue monthly) Balance accruals in Finance and Payroll

Verify accrual accounts are zero in Finance

(If necessary) Calculate TRS On-Behalf

Clear EOY accrual data

Verify fund to grant information

Verify/update next year TRS rates

Verify next year payroll information

Perform the Accrual Process

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Table of Contents

DRAFT - Address August Accruals

Before You Begin

Process Prerequisites

Verify payroll is complete

(For LEAs that accrue monthly) Balance accruals in Finance and Payroll

Verify accrual accounts are zero in Finance

(If necessary) Calculate TRS On-Behalf

Clear EOY accrual data

Verify fund to grant information

Verify/update next year TRS rates

Verify next year payroll information

Perform the Accrual Process

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Americans with Disabilities Act (ADA) and Web Accessibility