This tab extracts the annual salaries for employees, and then calculates taxes and employer contributions based on those salaries. The information is stored in an interface table which is used to update next year’s budget.

Notes:

• Before running this function, make sure that the employee master file, the account distribution file, and the deduction file are updated for each employee. The employee’s status flag must indicate an active employee, and the data in the employee’s file which is normally used for calculating deductions and distributions must be updated and reviewed.
• This function can be run for one or more combinations of next year pay periods (i.e., D, E, and F).
• In addition, this function can be run for one payroll period at a time, for one campus at a time, or from one to all active employees at a time. During the extract processing, none of the next year files are changed, so this function can be run repeatedly.
• The last run for extracting and interfacing must be done for all campuses, payroll pay periods, and active employees.
• When calculating the next year payroll amounts for type 3 and/or type 4 jobs for employees, the Estimated Annual Salary Amount field from the Maintenance > Staff Job/Pay Data > Distributions tab is used as the annual salary amount.
• If the employee has multiple type 3 and/or type 4 jobs within different payroll frequencies, the estimated annual salary is equally shared for each of the pay frequencies affected.
• If the employee has multiple type 3 and/or type 4 jobs within the same payroll frequencies, a portion of each estimated annual salary is applied to each job, based on the job percent applied.

Example:

If the Estimated Annual Salary Amount field is not populated, the job contract amount is used. The employee must have master distribution records to be included in the extract process.

■ In order for a type 3 or type 4 job to be included in the extract, the employee's pay status should be active, and the selected pay frequency must have a type 3 or type 4 job in the Job Info tab.

■ The payroll account codes extracted include salaries, overtime, FICA, Medicare, health insurance, workers' compensation, unemployment, TRS 373, TRS grant deposit, TRS-Care annuities, deferred compensation, TRS on behalf, taxable and nontaxable business allowances, TRS supplemental compensation, TRS health insurance, and TRS-Care employer contribution.

■ When calculating the number of periods used for retired employees (and Take Retiree Surcharge is selected in the Maintenance > Staff Job/Pay Data > Distributions tab), the following rules apply. If the employee also has an RI deduction code, the retiree periods used are based on the primary job.

Note: Using the formula below, the system does not know how the pay dates for the new school year are set up. Therefore, semimonthly is charged two additional payments. It would be possible for the first and last payments to be for partial months worked, which would require the surcharge to be paid (per TRS legislation). Then, the surcharge would possibly be required for eleven months.

For each job:

retirement periods = number of times a district is charged a surcharge for a retired employee

■ For pay frequency = 6

retirement periods = number of months in contract

■ For pay frequency = 4 and 5

retirement periods = 26 - ¹⁾

■ Budget retiree TRS surcharge = RI deduction code employer contribution x retirement periods