Administrative Policies & Procedures Payroll/Accounting Services

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This document is intended to provide existing payroll processing and procedures for the Payroll section of Accounting Services. This document coupled with the Payroll and Timekeeping Manual have been established to assist our partnering departments and users with the necessary guidance and tools to perform both internal as well as decentralized payroll tasks. Further, the policies and procedures provide for the guidance to ensure accurate and timely payroll processing and compliance with federal and state requirements. Copies of this document along with the Payroll and Timekeeping Manual can be found on the District’s website at: http://www.palmbeachschools.org/accounting/Payroll.asp

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Table of Contents

Payroll Processing and Time Reporting – Pages 4 - 19

I. Time Reporting and Approval II. District Calendars

III. Compensatory Time in lieu of Overtime IV. Payroll Processing – On Cycle V. On demand checks VI. Check controls

VII. Vendor reconciliation VIII. Deferred pay/Balance of contract processing IX. Merit Pay X. Summer School Processing

Leaves and Retirement – Pages 20 - 32

I. Leave Accrual II. Compensated Absences

III. Terminal Leave Payout IV. Leave transfers and sick buyout V. Classroom Teachers Association bank VI. Catastrophe Leave

VII. Florida Retirement System (FRS) VIII. Alternate FICA – Bencor IX. DROP Processing

Voluntary Deductions and Garnishments – Pages 33 - 38

I. Voluntary Deductions II. Garnishments

Taxes – Pages 39 - 40

I. Tax rates II. W4 Tax information

III. J1 Visa employees IV. Quarterly returns V. Annual processing of W2’s and exempt employees VI. Imputed income

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Table of Contents

Miscellaneous Processes, Banking Procedures, Records Retention

Pages 41 – 47

I. Banking Procedures II. Processing Stop Payments

III. Check Cancellation IV. Direct Deposit Reversals V. Refunds (Manual Checks) VI. Daily Cash Sheets

VII. Verification of Employment VIII. 13 Week Wage Statements IX. Overpayments X. Employee Self Service

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Administrative Policies and Procedures

Category: Financial Management – Accounting Payroll Subject: Payroll Processing and Time Reporting

Overview

Employees are paid biweekly on Fridays for the pay period ending one week prior. Earnings paid include regular salary, hourly work, supplemental earnings for which employees are paid a flat amount or paid by the hour. Off cycle check runs are scheduled only as needed. On demand (manual) checks are issued as required.

The Payroll section is responsible for the ongoing maintenance of all payroll and time and labor related tables in the PeopleSoft modules Payroll of North America and Time and Labor. They include but are not limited to: Earnings codes, deduction codes, pay calendars, pay run IDs, Time and Labor workgroups, dynamic groups, T & L permissions lists, time reporting codes, TCD groups, work list set up; schedule definitions; custom processes for leave accrual, deferred processing, merit pay. Security – senior level staff only have access to add or modify table set up records.

Procedures and Processes

Time Reporting and Approval

District Calendars

Compensatory Time in lieu of Overtime

Payroll Processing - On Cycle On demand checks

Check controls Vendor reconciliation

Deferred pay/Balance of Contract Processing

Merit Pay

Summer School Processing

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General

Time Reporting Trained Payroll Contacts/Timekeepers at schools and departments enter attendance exceptions for regular employees and submit time for positive time reporters through the PeopleSoft Time & Labor module. Each site is expected to have a backup timekeeper that can perform this function in the absence of the regular Payroll Contact/Timekeeper. The Security area of information Technology delegates security access to PeopleSoft for the timekeeping role. Directors (or higher) and Principal's request assignment to this 'role' as a timekeeper (through a security access form) and it is granted at the level of the location the timekeeper reports to. The assigned timekeeper cannot record his/her time or absences as a system security measure. Another staff member within the school or department must perform this function.

All non-exempt and exempt hourly employees are reporting time through the use of a time collection biometric reader device. The use of a biometric reader device ensures that one employee cannot clock in for another. Payroll Contacts/Timekeepers at schools and departments have access to adjust previously reported time on-line through PeopleSoft for one prior time period. Any time which is not reported or requires adjustment previous to one period must be reported on paper using PBSD 0121 Payroll Time & Attendance Correction. Payroll Contacts/Timekeepers prepare the form and sign it as the preparer. The Director (or higher) or the Principal must sign the approval section of the form prior to it’s’ submission to Payroll for processing. All documentation regarding the employee's time worked including leave forms is maintained at the school or department. Leave/TDE Application Forms (PBSD 0032) are signed by the employee and the Principal or Department Head and retained at the work location. Queries and on line screens produce payable time data that worksites can review. The schools and departments use different methods for recording attendance for their employees. Some utilize a daily sign-in log while some assume an employee is present unless a leave form is completed, particularly with salaried/exempt employees such as teachers.

The District uses exception based payroll. The District issues payroll checks based on leave exception data received for one week in arrears. Temporary/positive time reporters, such as substitutes, after school child care workers, etc. are paid for the hours worked in the pay period one week after they have completed a payroll/time period.

Schools frequently report other work performed that is paid at an hourly rate designated in job or paid at a negotiated rate per hour. Appropriate funding is required for additional work activities or for those items to be billed to a school's internal funds accounts.

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The District uses several PeopleSoft modules to include Payroll, Time & Labor, Benefits, Budget, and Workforce Administration. These modules are separately processing sections of PeopleSoft which, when integrated with each other, provide a relational system that produces all of the human resources, benefits, and payroll data necessary to produce paychecks. Once hired and an employee is placed in a job. The District's technical resources have created customized processes within the PeopleSoft module that enroll employees as 'Time reporters' in the PeopleSoft Time & Labor Module. These customized processes take the data from the employee job data pages as maintained by Human Resources and classify the employee for enrollment purposes. The process collects key factors that determine this information which include but are not limited to the standard work period (hours worked per week and by day), exempt/non-exempt status, and the effective date of hire and employee work location. The components of this process accomplish the following:

1. Time and Labor Enrollment - enrolls employee as a Time reporter - this enables a school or department Payroll Contact/Timekeeper to report absences, additional hours worked or allows the individual employees to report time through a time collection device. Places an employee in a 'workgroup' which defines how an employee gets compensated to include overtime eligibility and contractual requirements.

2. If the employee meets the criteria established to be a time reporter via a time collection device, it establishes this information on the time reporter enrollment page. Chiefly this is driven by the non-exempt status on the job.

3. Time Collection device location is assigned based on the employee's work location.

4. Employee is enrolled in a work schedule - this is based on duty day assignment and daily hour's assignment from job/position on data.

These processes run on a scheduled basis throughout the day to continuously keep newly hired employees or employees with job changes accurately set up in the system. As a validation measure, Payroll staff members on the Time & Labor team run various queries to ensure employees are set up and that they are set up accurately. Dynamic group processing is a delivered PeopleSoft process that runs (every hour) to place employees into 'groups' for time reporting. This is based on department location as defined in their position. For employees in specific job codes, such as After School workers and School food service workers, they are placed into separate groups to allow for timekeeping by the employees responsible for managing their time. Security to these set up pages is managed jointly by staff members on the IT Security team and senior level staff in the Payroll area.

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As time is reported and Payroll Contacts/Timekeepers validate and confirm their entries, t ime administration processes are run to create payable time. This process is a delivered PeopleSoft process which runs in batch every 2 hours during the non-payroll processing period. Payroll contacts/timekeepers at schools and departments run queries and on-line reports to validate data that has been entered for absences or additional time worked or has been collected via the time collection device. Several iterations occur during a biweekly period and exceptions and errors are cleared after each run until all resolvable ones are cleared. Once validation is complete payable time is loaded and processed through Payroll.

Queries used to validate Time and Labor data:

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Time Approval

Approval of time is both a District and system requirement. Principals and department/division heads are required to approve all time and attendance exceptions processed through their location prior to the close of the time reporting period. If Principals and Directors fail to do so at the time, a follow up procedure must be completed.

District Calendars

District calendars are generally approved in the winter of the current fiscal year for the following school/fiscal year. Once determined, Payroll staff will update work schedules for each duty day group so that attendance exceptions can be reported and ensure that employee hours worked are properly calculated. Security for time reporting is a shared responsibility between the Payroll area and information Technology/ERP Teams. Security is determined by organizational structure for both time entry and time approval requirements.

The District uses Time Collection devices to record hours worked for non-exempt and employees who work in hourly, temporary positions. The biometric readers are installed at school and department locations for employee use. An exchange of employee data from the Human Resources information system to the time collection device occurs on a continuous basis. Compensatory Time in lieu of Overtime In accordance with Board policy 6.12 Overtime/Compensatory Time off under Certain Circumstances, compensatory time will be administered through the District's Payroll/Time and Labor system. Time accrued and ·used by employees will be recorded and updated via the system's leave-management process. The human resources department shall keep the original, signed copy of the overtime agreement, and the administrator/supervisor shall keep a copy of the agreement and shall maintain and monitor records related to cash overtime and/or compensatory time granted and taken by an eligible employee in the system. These records shall include, at minimum:

1. A copy of a District-approved form (overtime agreement) acknowledging awareness of this policy, which shall be signed by the eligible employee and retained by the appropriate administrator/ supervisor;

2. Time records documenting that the employee worked a forty (40) hour work week; this is supported by the system of record (PeopleSoft)

3. Time records of hours worked in excess of forty (40) hours; and 4. For cash overtime, payment reports of hours paid in excess of forty (40) hours; and

(this is supported by the system of record (PeopleSoft)) 5. For compensatory time, leave reports of hours earned and taken.

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Compensatory Time off Rules and Procedures –

• Compensatory time off shall be granted for eligible employees who meet the

standards listed in Section 1 and who are not being compensated cash for overtime, by advance written agreement between the appropriate administrator/supervisor and an eligible employee, consistent with the terms of the applicable collective bargaining agreement, if any.

• Compensatory time off, when granted, must be at the regular rate of one and one-half (1.5) hours for each hour of overtime worked. The administrator/supervisor shall allow the employee to take compensatory time off at a reasonable time, so long as such use does not unduly impact the operation of the school/department.

• An employee may not accrue more than sixty (60) hours of compensatory time per year (from August 1 6 of a current year through August 1 5 of the following year) based on the product of 1.5 times a maximum of forty (40) overtime hours. Compensatory hours not used during this designated accrual period will be paid to the employee at his/her current rate of pay effective as of the last pay date in August. The payment will be made to the employee no later than the last pay date of September.

• Employees who had in excess of sixty (60) compensatory hours already accrued on the day this Policy revision took effect (in the fall of 2006) will have to reduce their compensatory time below sixty (60) hours before they can accrue additional compensatory time.

• Administrators/supervisors shall not require employees to work beyond the sixty (60) hour cap set forth in subsection (3)(c) above, unless the administrator/supervisor has available funds to pay overtime; in emergency circumstances all hours worked in excess of that cap must be paid out as overtime in the employee's next paycheck.

• School/Department timekeepers or Payroll contacts will run reports to determine overtime calculated by the week and will enter offsetting entries to create comp time earned in the T & L system. This will create a comp time 'bucket' of leave to be used until exhausted.

• All accumulated compensatory time must be used before the effective date of any leave of absence without pay.

• If an employee will be transferring to a new location/department/position or promoted from a non-exempt to an exempt position, the employee must use all accrued compensatory time off prior to the transfer or promotion; any compensatory hours not used prior to the transfer or promotion will be paid to the employee in the employee's next paycheck at the rate in effect at the time of payment.

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Payroll Processing - On Cycle The District issues biweekly paychecks on Friday for the time/pay period ending on the previous Friday. District calendars are generally approved in the winter of one fiscal year for the upcoming school/fiscal year. Once determined, Payroll creates pay calendars to reflect: a) pay date by pay group, b) start and end dates of each pay period, c) dates for which time entry will be open; d) contract start and end date for each duty day group. Configuration set ups are required each year as payroll processing controls within PeopleSoft. Direct deposit is mandatory for all new and existing employees. Employees who do not sign up timely for direct deposit will be enrolled on a cash pay debit card with VISA through the District’s bank. Checks are electronically deposited on the date of pay. For employees not signed up for direct deposit, checks are mailed to home address on file. Direct deposit advices are not printed (except for those employees who are terminated and have final wages due) and employees may view their pay stubs through employee self-service screens.

Once pay periods are defined, each provides for an open time period in which Payroll Contacts/Timekeepers at schools and departments can enter transactions for processing. During this same period, Budget creates or adjusts positions, Human Resources processes job actions, Employee Benefits processes benefits related transactions and Payroll prepares items for entry on the upcoming pay cycle. Once time entry has closed to users, the key input areas cease activity in job and position data. The system remains closed until the current pay is confirmed.

Payroll creates pay lines for data entry and the system generates regular earnings from employee job compensation data. Each Payroll Analyst in the Payroll Department is assigned a group of schools and/or departments. Each pay period, the analysts receive time corrections (PBSD0121 Payroll Time & Attendance Correction form) and employee payment requests (PBSD1767 Miscellaneous Employee Payment form) from schools and departments; transactions that are able to be entered through Time & Labor are processed in this manner, those that are not are entered on excel spreadsheets for loading to pay lines or keyed manually on a pay line for processing. PeopleSoft delivers a process to load transactions to pay lines versus direct data entry. This minimizes direct data entry. Payments that cannot be entered through Time & Labor are sent to Payroll to be processed internally. The payment information is recorded on form PBSD 1767 Miscellaneous Employee Payment by the worksites and signed off by the Principal or Director. A 'Payment Processing Guidelines' job aid is provided to all timekeepers. The numbers of transactions loaded or keyed directly can vary from pay cycle to pay cycle. Since each transaction requires a one on one relation to a pay line the numbers may be large.

Security – system security prevents a payroll analyst from entering pay check data for him or herself. Payroll staff members, regardless of security level, do not have update access to salary compensation set up as it is segregated to Human Resources/Compensation staff only.

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Benefits deduction arrears are created when employees go on leave of absence and pay for their benefits through a Benefits Billing process. When scheduled benefits are not processed because checks are not being issued an arrears balance builds. If employees return to active these arrears may need to be cleared before they are taken from future paychecks. Payroll is not responsible for determining this but is responsible for processing the removal of the arrears balances. Risk and Benefits Management will send an email to the Supervisor in the Customer Service Unit and the transaction is processed in the system to clear the arrears. The numbers average 1- 5 per pay period.

Employees are strongly encouraged to use employee self-service to enter their payroll and other personnel information. Information is also received through employee self-service, for instance, viewing pay stub information. Paper forms are only available within the Accounting Services offices so employees must come in person to complete forms. When employees make changes on line for tax information or direct deposit information, employees receive a confirming email displaying their changes.

Data from paper W4’s and direct deposit forms is entered on line into screens in PeopleSoft and is cross validated. This data entry is managed by the customer service unit in Payroll to include transactions for:

• Employee W4 data • Direct deposit data • Voluntary deductions • Garnishments

During the payroll processing period, output data is validated through query as well as manually on line. The following online reports are required jobs for the system payroll process: PAY034 – Pre Sheet audit report; displays errors related to tax status, benefits status, etc. prior to creation of paysheets PAY035 - Pre Calculation audit report; displays disparity in tax data; job data; missing HR or Benefits data PAY011 - Payroll Error Messages - Errors generated by payroll calculation Negative Pay line Adjustments - time & labor adjustments which create negative pay lines PAY036 – Pre-Confirm Audit Report - run prior to confirmation to ensure pay lines are locked and no errors exist to prevent confirmation of payroll from occurring

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After the first full payroll calculation, staff validate all data entered or data loaded transactions. Further, it is necessary to review impact of transactions entered by other source areas such as Benefits, Budget and Human Resources that will impact an employee’s paycheck. This is best accomplished by looking at defined anomalies. Therefore, queries to review data have been developed over time and continue to be developed as the need arises. Key areas to look for are employees with net pay over $5,000.00, employees with a net pay of zero, employees with duplicate deductions, employees with more than one check and employees who are receiving biweekly pay but did not punch in or out and so forth. Many other defined queries are run as shown in the lists on the following two pages. Reports are run the morning after the first full pay calculation and distributed to staff for review and action. This may involve contacting a work location or another department if the concern cannot be addressed internally.

Several payroll iterations of the payroll calculation are run during the processing cycle until all errors are resolved. This is a system requirement to complete and confirm the pay cycle.

The following two pages contain a current list of payroll queries that are run by staff to ensure accurate payroll:

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Year Round and Seasonal Supplements

The District provides compensation to employees for services beyond their regular duty, advanced degrees beyond the requirement of a particular job, work assignments in western Palm Beach County, shift work, specialized certifications, and a variety of other supplementary payments. Equalized supplementary payments paid throughout the year with an employee's regular earnings are entitled 'Year Round Supplements'. Contract language for many of these payments drives rules and entitlements for processing these supplements. Schools are required to reevaluate many of these supplements on an annual basis at the beginning of the school year and as such don't roll from one school year to the next. Contrarily, certain supplements such as advanced degree supplements remain with employees as long as they retain their current positions. The district pays many additional salary items to teachers for the school year as either a recurring year-round supplement or a one-time payment. These supplements are negotiated and clearly defined in the CTA contract. They include activities such as team leaders, department grade chairs and club sponsors as well as coaching of district sports teams which require various certifications including CPR and First Aid. A developed custom process is used for the payment of these items. A custom modification allocates year round and seasonal supplements to each school location based on type and size of school. Once allocated, the schools enter an employee ID for each supplement they wish to pay. The year round supplements are loaded from this custom application to the employee's payroll data once a year in October. This process creates the on-going payment as well as a retro payment for the checks already paid from the beginning of the current contract. It has been our practice to load in the fall to allow the placement of all teachers to become final before the supplement allocation. The district seasonal supplements are paid three times per year, basically after each sports season completes. They fall in to one of the following: Fall, winter, Spring/Summer. The program contains edits that will not allow entry if an employee does not meet the required qualifications. The schools have a deadline for data entry for the payment of each season. If data is entered by the deadline, the payment is loaded to payroll in a batch process. The schools can still enter after the deadline, and payroll loads any of these residual items during subsequent processing. Once payments have been loaded to payroll they are not modifiable on the data entry screen.

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During the processing window, the following types of records are loaded to or processed through payroll when required:

• Approved time records • Internal files generated within Payroll • Files submitted by external departments; types of files include bonuses, incentive

awards, etc. • Other miscellaneous one time payments that cannot be entered through time and

labor • New employee orientation payments • Leave adjustments • Leave payouts • Wage payouts/final checks • Retroactive payments • Retirement contribution adjustments • Merit pay • Seasonal supplements • Adjustments to benefit deductions • Deduction refunds • Fingerprint fees • Certification fees

Payroll calculations are scheduled to run for several iterations during the payroll processing period. After each run, errors are produced and resolved. 'On Cycle Payroll Processing Schedule' is attached to the end of this section. Queries are run to validate data entered and to ensure that accurate payrolls are produced. Once all errors are resolved payroll is confirmed and the cycle repeats.

Upon confirmation Payroll will:

• Submit print files for direct deposit advices/paychecks to Data Center (IT); fax is

sent to IT Operations containing advice and check start and end numbers to validate against print files

• Run vendor reports for submission to Accounts Payable for payment • Run tax deposit summary reports • Run payroll summary reports • Create positive pay file for bank and send confirming email to bank with check

numbers in pay run • Generate direct deposit files, balance and distribute • Generate vendor data files, balance and distribute • Create run controls for next open period • Create tax summary for federal taxes due; fund via EFTPS • Confirm direct deposit files with bank

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Off cycle payrolls are reserved for one-time events when an on cycle payroll does not meet the needs of a specific payment. Pay calendars and set up are created just in time when the determination is made that an off cycle payroll should be run. These remain infrequent. One or more off cycles may be required to balance totals for calendar year end and W2 processing.

On Demand Checks

On demand checks are created as needed. Employees may be set up late or hours may not have been entered by a worksite and employees are paid 'off-cycle' to facilitate payment. The transactions are associated with the next available unconfirmed on cycle payroll.

Payroll Senior Analysts are responsible for the entry of data to produce on demand check. An internal form is used to maintain data necessary to complete the transaction. A complete explanation for the reason for the entry is to be written in the comments section of the form. Supporting documentation may also be stapled to the back of the form. The on demand check input form is completed by the payroll analyst responsible for the location and then approved by the Senior Analyst and Payroll Accountant. Certain transactions may require the Payroll Manager's approval. Checks are entered through the District's bank software for issue by the District’s Treasury department.

Check Controls

The PeopleSoft system maintains the check and direct deposit numbering assignment. On demand (manual) checks are automatically assigned numbers by the system. Payroll is issued blank check stock by IT Operations for use in departmental printer which has full capability including signature chip. 50 - 75 blank checks are kept in printer at one time. Tray and printer have locking mechanisms. Access key is removed each day and placed in secure location. Direct Deposit Advice and Check Registers are produced by pay period in the PeopleSoft system. Pay checks and direct deposit advices are printed by IT Operations over night on Wednesday night of payroll processing week. A confirmation of check and direct deposit advices is sent to IT prior to the receipt of the print files. IT Operations advises Payroll Staff on Thursday morning when checks/direct deposit advices are ready for pick up. Advices are printed only for former employees and mailed along with any paper checks issued through the US Mail. Returned or misrouted checks are sent to the Payroll Customer Service unit. The payroll analyst is notified via E-mail, and the returned checks are researched in an attempt to locate the employee. They are forwarded to the Accounting area as soon as it is determined that the employee cannot be located.

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Vendor Reconciliation The Customer Service Unit in Payroll reconciles bi-weekly deductions taken from employee paychecks. Custom reports in PeopleSoft with deduction totals by type and vendor are produced upon the completion of the pay run. Several vendors request electronic data with detailed employee information in lieu of paper reports; electronic files are sent through secure servers via FTP. The data files are created by a custom process in PeopleSoft and the files generated are downloaded and totaled. The detailed reports are compared to totals to ensure they match. Adjusting entries from prior periods are maintained in paper files and adjusted to subsequent bi-weekly pay period closes. These adjustments result generally from reversals/cancellations that occur after payments are remitted to vendors. Once validated, they are then processed for payment request to Accounts Payable or for wire transfer to Treasury. For payments made for employees with loan garnishments, Payroll enters payments in spreadsheets by employee to keep an accounting of payments made and payments due. The District charges minimal fees to unions to process payroll deduction of their dues. These amounts are adjusted from the payments. Vendors who request electronic format are sent data file exchanges each period. Voluntary benefits deductions such as Trustmark products use a files exchange transmitted back to the District to update employee deduction amount changes. This avoids direct data input by technicians in Risk and Benefits Management for these transactions. These are updated at the employee level prior to the next scheduled pay cycle.

Processing of Reports and Files

Upon confirmation of pay run, reports are printed by Payroll Manager or Specialist.

Child support for the State of Florida - file is sent to bank via ACH to provide funds and data to state of Florida Disbursement unit on payday. Funds are further distributed to custodial parents or issued to other states if orders are not from Florida.

Payroll Analyst sorts garnishment reports by groups:

Payroll in Customer Service Unit receives reports for: insurance products, charitable donations, tax shelters or other investment accounts; summary totals are compared to electronic data files before transmitting to vendor. Amounts are placed on cash sheet for funding through Treasury for those requiring electronic bank wires.

Negatives on reports are researched for back up. If the negative was the result of a refund, the amount is added back to offset the dollar amount to zero and to justify the negative. Back up (copy of transaction) is attached to the report and documented on the disbursement notification.

Refund for a garnishment from Legal Services Department:

If it is school district check that was returned to us by the vendor stating: "paid in full refund employee" Payroll keeps a copy of the check and processes a refund to the employee. The original is given to the Supervisor in Accounts Payable to be voided/canceled.

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If it is a vendor's check stating "account is paid in full, refund employee" payroll deduction funding information and vendor number is documented on check. Payroll will keep a copy of check to process a refund to employee and as back up when this amount shows up as a negative on the report for next pay period.

Check is given to Accounting Services secretary to be logged; secretary in turn gives check to Financial Accounting to be deposited in bank account.

Reports to be processed for deductions taken:

• Child support for other states, custodial parents & spousal support • Various insurance products • Internal Revenue Tax Levies • Student Loans, Writs of Garnishment, Bankruptcy, Wage Assignments • Pending garnishments • Tax Sheltered Annuities and Mutuals (403b); Roth’s and 457’s

The reports are balanced, copied then given to Accounts Payable to be entered, balanced and budget checked in their system. Accounts Payable issues checks or ACH payments to vendors. Accounts Payable staff mails checks and copies of the checks are attached to the vendor's voucher.

Deferred/Balance of Contract Salary Process

Employees whose duty day schedule falls between 180 - 187 duty days receive 22 paychecks per year. All other duty groups are on a 26 pay frequency. (Members of the CTA bargaining unit may elect a 22 pay frequency during a predetermined enrollment period each year however less than 500 teachers elect this option) The Department of Compensation and HR Planning determines an employee's annual salary based on a negotiated salary schedule most recently approved by the Board and the employee's years of experience and advanced degree(s). Once determined it is divided by 22 to arrive at a biweekly amount. For instance, an employee whose annual salary is $22,000 per year will be paid $1,000.00 biweekly. Employees on this pay frequency are not paid during the summer months.

The process is similar for those on a 26 pay frequency. Once a salary is determined it is divided by 26 to arrive at a biweekly amount. Employees who are on a duty day schedule of 190 - 226 duty days are considered 'deferred employees'. They are paid equal amounts biweekly, regardless of the number of days in the pay period. Once their salary is determined it is divided by 26 to arrive at a biweekly amount. For instance, an employee whose annual salary is $52,000 per year will be paid $2,000.00 biweekly. Employees on this pay frequency are paid continuously through the year including summers when they are not scheduled to be on duty.

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In order to be paid consistently throughout the year, employees must begin their position on the first day of the contract date for their duty day group as designated by the District's School Calendar. They must also have no breaks in service, such as unpaid leaves of absence. Employees deferred pay or balance of contract pay over the summer months is directly impacted by a late start in the position. In order to receive full pay, employees must work their entire duty day contract. The number of remaining checks for summer is determined by the first pay date of the year for a particular duty day group.

When employees start late, they are not earning their full duty day contract into the deferred the running total of contract earnings versus salary paid fluctuates due to holidays and periods of time when school is closed. At the end of the school year, a reconciliation is performed to compare contract days worked to days paid. Days worked but not paid constitute the pay earned but not yet paid. As stated previously, in order for an employee to receive 26 equal checks, they must have worked the entire duty day contract. If the employee is a late start, final checks of the school year will be adjusted and the adjustment spread evenly over the remaining final checks. The number of final checks varies from two (2) - four (4) depending on the duty day group.

Employees deferred pay or balance of contract pay over the summer months is also directly impacted by an unpaid leave of absence, whether an employee returns to active status during the same year or remains on leave of absence through the end of the school year. In order to receive full pay, employees must work their entire duty day contract. A similar end of year process used for employees who start late is used with this group of employees as well.

The District uses a custom developed process that will calculate and project an employee's year to dates monies paid and monies earned. It further projects what an employee will be due until the time certain for checks to be adjusted (summer checks). The process, LSET, Late Start Early Term projects and produces reports after each pay period when Payroll determines these should be run. This begins to occur in early spring. The initial set up occurs at the beginning of the school year and ongoing table maintenance is required. The process is dependent upon:

• Time and labor master schedule set up • Action/reason code set up • Eligible earnings code set up • Individual employee schedule set up • Pay smoothing set up table

Payroll Analysts validate each person on the report and compares to any paperwork related to the employee that is set aside during the year as job actions and payroll manual entries occur.

In particular the process is affected by the use of days reported as without pay. Employees overuse sick leave and are reported without pay. Checks may be 'turned off' to avoid employees being overpaid throughout the year and manual intervention is required for these employees during the LSET process. For all employees who are projected to have a summer pay adjustment, a contract reconciliation form is created. A master form in Excel format includes a duty day calculator, a leave reconciliation form and the salary reconciliation form. These are maintained in electronic format and are used to compare to the LSET reports to validate the accuracy of the summer adjustments. Forms are stored by fiscal year on department shared drive by analyst.

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Once the final paycheck of the school year is produced prior to the first one to be adjusted, the "pay smoothing" process is run. This process creates additional pay adjustments with effective dates and pay end dates that will be processed on each check to be adjusted. The pay smoothing set up table will indicate how many adjustments are required for each duty day group. This is determined by when the first paycheck of the year occurred and the cycle continues from year to year. The additional pay adjustments are applied to the final paycheck runs of the school year.

Employees who are on leave of absence and do not return by school year end are paid their balance of contract on or before the fiscal year end. Since employees are allowed to use advanced leave by contract, leave balances must be reconciled and a final balance of payment is determined. The contract reconciliation is used to create a record of the payment due.

Employee who terminate, retire or are involuntarily terminated will be paid their full balances of payment. They are paid regular (when applicable, adjusted for late start or leave of absence) checks through end of year and a lump sum with appropriate benefits deductions is paid as soon as is possible after year end.

Functional and technical documentation for the LSET and Pay Smoothing process are maintained in a shared server directory as a part of the ERP Project.

Merit Pay

Merit pay rewards certain employee groups for perfect attendance within a specific month and is documented in contract language. Merit Pay is usually paid on the last payday of the month immediately after the month for which time is evaluated. Certain leaves do not charge against the qualification of merit pay - they are "JUR" Jury duty, "WCQ" - Restricted Light Duty, "TDE" - Temporary Duty Elsewhere (TDE) "CTT" - Comp Time Taken and in certain groups "ANN" – Annual.

Confidential Secretaries (Non-Bargaining C)

The District shall pay one dollar ($.50) per hour each month providing they used no sick or personal leave (paid or unpaid) during the month. An absence for reason of being called for or serving on a jury, for "light duty" associated with a Workers' Compensation claim; an approved TDE that takes the employee away from his/her regular work site to attend a District approved training; or using approved compensatory time during the month shall not prohibit the earning of merit pay. This provision shall apply to all bargaining unit members beginning with the first day of their second year of consecutive employment with the District in a bargaining unit position occupied for that period of time; however, an employee with at least one (1) year of service with the District who becomes a member of the non- bargaining unit without a break in service with the District will be eligible for this benefit. Currently each month is assessed in and of itself for payment purposes. Bus Drivers and Bus Attendants (FPSU-B)

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Merit pay shall be paid on or by the last day of the following month in which it is earned. Bus Attendants shall receive a supplement of one dollar ($1.00) per regular hours worked, to be earned each month, provided the bus attendant is not absent for any reason. "Not absent for any reason" means the employee was in attendance during all scheduled working hours on all scheduled work days except that absences for approved jury duty, an approved TDE to attend other work related activities, or "light duty" under an approved Workers' Compensation claim, will not count as being absent when determining eligibility to receive a merit pay supplement. While absences on any emergency days when schools are closed will not count as being absent, being absent on any make-up days except as provided above, will disqualify the employee from receiving a merit pay supplement. Bus attendants will be eligible for the supplement during the summer months upon the same conditions that apply to merit pay during the regular contract year. Bus Drivers shall receive $175.00 per month in which the driver is not absent for any reason and that they have no motor vehicle violation with conviction or accidents while operating a school bus. "Not absent for any reason" shall mean that for the month of September, August attendance shall be counted and for the month of May, June attendance shall be counted. August and June are considered extensions of September and May. Bus drivers who do not miss any days of work and who have not motor vehicles violation with conviction or accidents while operating a school bus during the summer school session receive a merit pay supplement of $175 on or by August 31st each year.

School Food Service (FPSU-B) Merit pay for food service employees is thirty-five cents ($.35) per regular hours worked, to be earned each month, provided the food service employee is not absent for any reason. Merit pay shall be paid by the 31st of the following month in which it is earned.

Food service workers will be eligible for merit pay supplement during the summer months upon the same conditions that apply to merit pay supplement during the regular contract year.

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Summer School Processing

This process involves payment to employees who work during the summer school session. This process also includes the manual payment of Summer School Administrators, the posting of a sick leave day for those who work 11 or more days in a month over the summer session, and the payment of merit pay for eligible summer school employees. Separate summer positions are created and time is reported for positive time reporting. Pursuant to employee contracts at the conclusion of summer sessions, employees are provided with a day of earned sick leave and are paid merit pay for the number of hours earned.

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Administrative Policies and Procedures

Category: Financial Management - Accounting Services/ Payroll

Subject: Leaves and Retirement

Overview

Board Policy 3.80 Leave of Absence provides all eligible employees with the benefit to earn sick and annual leave is the policy of the District, pursuant to Florida Statute 112.11 to provide for the retirement of all eligible employees through the Florida Retirement System. Various leave bank, transfers and buyout plans are available to employees as provisions of the Board or through contract agreements. Additional references: Florida Statutes - 1001.32(2); 1001.41(1) & (2); 1001.43(11); 1012.22(2); 1012.23(1); 1012.61(2) (e); 1012.61(3); 1012.66 Paid leaves reported through Payroll/Time and Labor

• Leave for personal reasons • Annual leave (vacation) for 12-month personnel • Sick leave • Catastrophic leave (extended illness) • Injury or illness in-line-of-duty leave • Temporary military leave • Regular military service • Jury Duty (see School Board Policy 3.70)

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Procedures and Processes

• Leave Accrual • Compensated Absences • Leave Payouts • Sick Buyout • Leave Transfer • CTA Sick Bank • Catastrophic Leave • FRS Retirement • Alternate FICA • Deferred Retirement Option Program (DROP)

General - Leaves

Leave Accrual

Statutes, School Board Policies and Bargaining Unit Contract Language dictate the amount of leave, whether annual, sick or personal that an employee may accrue, use and roll over from one fiscal year to the next. Payroll staff must validate and if necessary update tables used at fiscal year beginning to initiate the leave accrual process for employees. At the beginning of each fiscal year and once the District's school calendar is approved, Payroll staff establish a sick leave accrual posting schedule. Number of days accrued per duty day group is driven by number of months employees are scheduled to work or have paid holidays for eleven (11) or more days.

The District's leave accrual process is custom developed. The leave accrual process begins with a setup table which defines, by union and duty day group, the rules for accruing leave. This setup table stores data including which months a group accrues a day and any leave cap the group maintains. The table also contains the quantity of advance days allocated for that group, and in which month they are posted as well as the months of the year the group earns a sick/annual day. Since some groups are not year-round employees, there are summer months when they are not working and therefore not earning leave.

There are two batch processes that run to execute the leave accrual process. The first batch process (PBHM009B) runs nightly. This process looks at all active regular employees and enrolls them in the sick and annual leave benefit plans as appropriate. When new employees are hired, the nightly process 'finds' eligible employees and creates the enrollment. Once enrolled, the employee will be considered when the second batch process runs. This second process (PBHM009A) is what actually posts leave to the employees. The posting process creates many residual transaction records; therefore it is not run nightly.

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The leave accrual process is always run just before a payroll processes through the pay end date in order to have the most up-to-date balance figure displayed on the pay stub of the current pay check. The leave accrual process is also run just after a payroll in order to finalize the leave that flows through the current pay check and move it from "unprocessed" leave to the regular "taken" bucket. The leave accrual process is then run at the discretion of the Payroll department. Since year-round employees earn their annual day after 11 work/compensated days in the month are completed, the posting process will be run after that time. Also, to post the sick day for any given month, the leave accrual must be run for the last date of that month. This is usually not completed until the first week of the following month since the last day is still in an open payroll period. Once this period closes, the process is run to post the sick day. Finally, as employees are terminated, their leave plan enrollments are terminated via the PeopleSoft Benefits Administration process. BenAdmin terminates leave plans as it terminates regular benefits which are the first calendar day of the month following the employment termination.

In terms of reporting, there are several queries available in the EMPLOYEEINFO query folder for departments to capture leave data for their employees. There are also queries available for the payroll analysts in their custom query folder to analyze leave and track balances to make sure that all values are in sync between PeopleSoft Time and Labor and the leave accrual balances.

Balances must be current so they are correctly reflected in Time and Labor for employee's use. Current year Sick Leave accrual schedule is attached at the end of this section.

At fiscal year-end Payroll runs processes to • Forfeit annual leave employees are not entitled to roll • Roll sick and annual leave balances from the current fiscal year to the next

Employees may view their leave balances on their pay stubs in employee self-service.

Sick Leave Requirements

At the beginning of every fiscal/school year each regular benefitted employee is

credited with hours of sick leave equal to four (4) sick days times their scheduled daily assigned hours. For instance, teachers who are scheduled for 7.50 hours per day receive 37.5 hours advanced.

Classroom teachers and others in the instructional classification such as Guidance

Counselors, School Psychologists and Media Specialists receive their four (4) sick days as of the first day of their contract year and may use them immediately per State Statute.

Remaining regular benefitted employees are credited the four (4) sick days on the first

day of the month following the start of their contract year.

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Credited days are indicated in the Sick Leave portion of the Leave Balance section on an employee's pay stub.

Sick leave will be credited to the employee at the end of each month and may not be

used before it is credited. Each employee is entitled to earn one (1) day of sick leave times the number of months of employment during the year provided they have eleven (11) or more compensated days in that month.

In certain cases to ensure compliance with past practice, certain duty day groups

may have sufficient numbers of days in their first and last month combined to allow the earning of one (1) day. i.e. Employees in 180 or 182 duty day groups may have 9 days in August and 3 days in June which when combined equal 11 or more compensated days. The credited day is issued in the month with the greater number of days.

Employees who terminate prior to the time that all leave is earned, or those who may

have been in an unpaid status during the year, such as an unpaid leave of absence, will have their sick leave balance adjusted you for the unearned sick days. This action is performed at the conclusion of the fiscal/school year or at the time of termination.

Employees are entitled to roll unused sick leave balances from one fiscal year to the

next per School Board policy 6GX50-3.80.

Personal Leave

Each employee is entitled to use six (6) days of sick leave as personal leave each

fiscal year. If personal leave is used it is deducted from your available sick leave. If a sick leave balance is not available then personal leave may not be used.

This entitlement does not roll any remaining balance from one fiscal year to year and a new entitlement is initiated each year.

System edits prevent the use of more than six (6) days in any fiscal year.

Annual leave

Employees in positions of 250 duty days or more earn one day of vacation leave a month for each month they have eleven (11) or more compensated days.

Employees earn leave as follows: o Those with less than five (5) years of continuous service earn at a rate of one (1)

day per month, cumulative to twelve (12) work days per year. o Those with five (5) to ten (10) years of continuous service earn at a rate of one

and one-quarter (1 1/4) days per month, cumulative to fifteen (15) work days per year.

o Those with ten (10) years or more of continuous service earn at a rate of one and one-half (1 1/2) days per month, cumulative to eighteen (18) work days per year.

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Payroll directs schools and departments to run queries at monthly intervals during the months of March - June of each year. This downloads data which provides information of eligible employees that will be subject to the loss of annual leave in excess of mandated or contracted limits. Employees whose balances exceed the limit risk forfeiture of leave if unused at fiscal year-end.

Annual leave balances roll from one fiscal year to the next, but balances are capped pursuant to State Statute 1012.95 and Board policy 6GX50-3.80. State statute requires that employees' annual balances not exceed 480 hours at year end.

Employees whose bargaining contracts supersedes this limit allows for employees to

exceed and reach a limit of 500 hours to be rolled at year end. Any days above the cap as of July 1 are forfeited by the employee and their balance is reduced to the cap.

For CTA employees who are 250 duty days, the cap on annual leave is 30 days (225

hours) per Article V, Section 9b of the collective bargaining agreement, Classroom Teachers Association.

Compensated Absences

Payroll runs Compensated Absences reports at fiscal year-end to provide an accounting of employees' leave balances that are a financial liability to the District. Leave value is assessed based on vesting percentages for eligible employees. The information is provided to Financial Accounting to be included in annual reporting.

Terminal Leave Payout

Annual Leave may be paid to a 250 or 260 duty-day employee under any of the following conditions:

• Upon termination or retirement,

• Upon entering DROP at the employee's request,

• Upon moving from a 250 or 260 duty-day position to a position with less than 250 duty days, or

• Pursuant to Legal Settlements or Judgments.

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Sick Leave may be paid to an employee with at least 6 years of Florida Retirement System (FRS) service under any of the following conditions:

• Upon termination or retirement, • As a participant of the Deferred Retirement Option Program (DROP), a percentage of the

employee's sick leave balance is automatically paid each year based on June 30 balances and valuations,

• Pursuant to Bargaining Unit provisions (Classroom Teachers Association (CTA) Appendix J, and Florida Public Services Union (FPSU) Article 22, Section 13).

• Pursuant to any Board approved Retirement Incentive Programs, or • Pursuant to Legal Settlements or Judgments.

However, terminal Sick Leave pay may not exceed an amount determined as follows per State Statute 1012.61 (4):

• For 6 - 6.99 years of service, the daily rate of pay multiplied by 40% times the number of

days of accumulated sick leave, • For 7 - 9.99 years of service, the daily rate of pay multiplied by 45% times the number of

days of accumulated sick leave, • For 10-11.99 years of service, the daily rate of pay multiplied by 50% times the number of

days of accumulated sick leave, • For 12+ years of service, years of service, the daily rate of pay multiplied by 100% times

the number of days of accumulated sick leave.

If termination of employment is due to the death of the employee, any terminal sick leave pay to which the employee may have been entitled will be made to the deceased employee's beneficiary if declared; if not the funds will be paid to the estate unless will provision or court order exists. Annual leave is paid to the estate or to personal representative if ordered by court. The deceased employee's estate is notified through certified mail and a reasonable period of time is allowed for a response. If the Personal Representative (executor) of the estate provides appropriate court documentation prior to the payment of the leave, such leave will be paid to the personal representative. The dollar value of an employee's Annual Leave payout is determined by multiplying the available hours balance times the employees' hourly rate of pay. The hourly rate of pay is determined by dividing the employee's annual salary (plus any applicable supplements) by 236, then dividing by the number of hours worked per day. Annual Leave is not a vested benefit; hence the hours cannot be transferred. The dollar value of an employee's Sick Leave payout is determined by multiplying the available hours balance times the appropriate vesting percentage times the employee's hourly rate of pay for all employee's except those who are Principals, Assistant Principals, or Staff (salary level 1 and above without a bargaining unit affiliation). The hourly rate of pay is determined by dividing the employee's annual salary (plus any applicable supplements) by the number of duty days, then dividing by the number of hours worked per day. For Principals, Assistant Principals and Staff, the dollar value of their Sick Leave payout is determined by summing the value each year of the number of hours earned less those used in a particular

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year (beginning with FY 2004) and multiplying by the hourly rate effective as of June 30th of that particular year.

The hourly rate of pay is determined as above, depending on whether they are a 260 duty day employee or not. Reference State Statutes 1012.61 (2) (a) (4) or § 1012.61(2) (a) (5). The distribution of terminal Sick and Annual Leave payouts is determined by the employee's bargaining unit. Employees who are NOT members of bargaining unit "T" or non-bargaining unit employees will have their terminal leave pay distributed to them and taxed as per IRS guidelines (current supplemental Federal Withholding Tax rate). Employees who are members of bargaining unit "T" or are non-bargaining unit employees will have all or a portion of the terminal leave payout transferred to BENCOR Administrative Services in Cincinnati, Ohio. The amount to be transferred is determined by adding the leave payout value plus all other fiscal year-to-date income and dividing the sum by 2. This is the maximum amount that can be transferred to BENCOR, up to a current maximum under Internal Revenue Code Section 415(c). The funds transferred to BENCOR are not taxed. Deductions for 403(b) contributions are permitted for any funds not required to be sheltered through BENCOR at the direction of Risk and Benefits Management. Annual leave is capped per State Statute (231.481) effective 7/1/2001. For 260 duty day employees, the cap applies as follows related to terminal leave payouts:

• As of 6/30/2001 or who were hired by the District after 7/1/1995 will be paid for all unused vacation days accumulated at the time of termination of employment, up to a maximum of 60 days.

• Each employee who was hired by the District prior to 7/1/1995, has accumulated 60 or fewer days of unused vacation leave as of 7/1/1995 and whose accumulation of unused annual leave days at any time falls below 60 days, will be paid for all unused vacation days accumulated at the time of termination of employment, up to a maximum of 60 days.

• Each employee who was hired by the District prior to 7/1/1995, who accumulated more than 60 days of unused vacation leave as of 7/1/1995 and who maintains an accumulation of greater than 60 days of unused annual leave days at all times after 7/1/1995, will be paid for all unused vacation days accumulated at the time of termination of employment, up to a maximum of 62 and one-half days.

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Transfer of Sick Time from another FRS Employer

If an employee transfers from another Florida district or another Florida Retirement System (FRS) employer, he or she may transfer their sick time to the School District of Palm Beach County. After documentation is received from the sending agency and approved by HR Leave and Retirement Manager, the Payroll area will credit an employee immediately with 50% of the transferred leave balance pursuant to board policy. Employees are enrolled in the 'Out of County' leave plan through the Benefits module. Thereafter, the employee will be credited an additional one day per month for every day earned as an employee. This will continue until the remaining 50% dwindles to zero. If employees should leave the employment of the District prior to earning the remainder of their transferred balance, Board Policy does not permit payment of terminal leave for any days not earned with the District.

Conversely, employees who sever employment with the District and are not eligible for the payment of terminal sick leave have the option to transfer any remaining balance to another FRS agency if accepted. Employees can request in writing to HR Leaves and Retirement Manager for approval and payroll processing to remove balance. A letter stating the total of hours and or days is sent to the receiving FRS agency.

Sick Leave Buyout Provisions

Pursuant to collective Bargaining Unit provisions (CTA Appendix J, and FPSU Article 22, Section 13), at the end of any school year (June 30) an employee who has more than 150 accumulated unused sick leave days may request a gross payment equal to the employee's daily rate of pay on the employee's last employment day of that school year times 80% of the number of accumulated sick leave days in excess of 150 earned in that school year.

Employees may choose funds distributed in the following ways:

Option One: An employee shall receive a tax sheltered annuity in his/her name from an annuity company selected by the employee and approved to do business in the School District. The District's cost of purchasing said annuity will be equal to the employee's daily rate of pay on that employee's last employment day of that school year times 80% of the number of accumulated sick leave days in excess of one-hundred fifty (150) earned that school year. This amount cannot exceed the IRS limitation which is twenty percent (20%) of the annual salary or $9,500, whichever is less. Option Two: An employee shall receive a gross payment equal to the employee's daily rate of pay on the employee's last employment day of that school year times 80% of the number of accumulated sick leave days in excess of one-hundred fifty (150) earned that school year. It is understood that this payment shall be subject to all legal withholdings and is not tax sheltered.

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Option Three: An employee may receive both an annuity, as provided in Option One, and a payment, as provided in Option Two. The employee will designate the amount to be put into the annuity with the balance to be paid to the employee. The total cost to the District under this option shall not exceed the cost of either Option One or Option Two. The above options may be exercised by the employee if he/she has accumulated more than one-hundred fifty (150) days of unused sick leave at the end of any school year as set forth above. Leave transfer from one family member to another

The District must provide a policy under which a district employee may authorize his or her spouse, child, parent, or sibling who is also a district employee to use sick leave that has accrued to the authorizing employee. The District must provide that the recipient may not use the donated sick leave until all of his or her sick leave has been depleted, excluding sick leave from a sick leave pool, if the recipient participates in a sick leave pool.

Employees are to complete form PBSD1791 and the completed, notarized form is sent to Human Resources for approval by the Manager of Leaves/Retirement. Once approved the form is sent to Payroll for processing. Leave transactions are created to decrement the authorizing employee and credit the receiving employee. Donated sick leave under this provision shall have no terminal value if unused. Transfer of Annual or Sick Leave to Another Employee

A regular non-bargaining-unit employee may donate unused accrued annual leave or sick leave, in whole-day increments, to another regular non-bargaining-unit employee to use for leave for the recipient employee's serious illness, accident, or physical injury. The employee will use form PBSD 2175, found on the District's Web site. Provisions are subject to:

• A regular employee may donate unused accrued sick leave under this section as long as

the donating employee has completed at least six (6) years of service. • A regular employee may donate unused accrued annual leave under this section as long

as the donation would not prevent him or her from taking any minimum required annual leave during that fiscal year.

• Such donations shall be processed using an appropriate District form signed by the donor employee.

• The donated leave shall not be accessible to the recipient until his/her own accrued sick leave and annual leave have been exhausted. Once accessible, the donated leave shall be transferred to the done on an as-needed basis.

• Donated leave under this section shall have no terminal value to the receiving employee. • Any donated leave credits not used within twelve (12) weeks after donation shall revert to

the donor.

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Classroom Teachers Association CTA Bank

The District, in cooperation with the Classroom Teachers Association (CTA) assists in maintaining a pool of emergency sick leave days for serious, disabling and long-term illness from which contributors may draw after their own accumulated sick leave balance is exhausted. A full-time teacher, having been employed by the Board for a minimum of one (1) full year and having at least ten (10) days of accrued sick leave as of the date of application for membership, may enroll in the Sick Leave Bank by voluntarily contributing a sick leave day to the Sick Leave Bank between August 15 and September 15 of any year in which the bank is to operate. CTA initiates an automatic enrollment should the ratio of hours available to Bank members fall below 20%. Payroll staff will run a process which will deduct one day from each eligible member's balance. The District prepares quarterly reports and transmits them to CTA, in order to monitor the current ratio and listing of current members. CTA grants an employee 20 days at a time, up to 60 days, with an additional 15 days granted at the end of the term so as not to exceed a total of 75 days per illness. Payroll creates transactions to adjust the employee's sick leave balance and credit the eligible employee with the number of hours/days granted. Employees remain active (Leave with Pay) through Human Resources for payroll and continue to earn leave as time is granted. Catastrophic Leave

Pursuant to Board policy 3.80 Leave of Absence an employee who sustains a catastrophic illness or injury may apply for and receive for use on a matching basis, supplementary catastrophic illness or injury leave not to exceed the number of regular, unused sick leave days that the employee had accumulated on the first day of the regular sick leave applied to the catastrophic illness or injury.

A catastrophic illness or injury shall be defined as a medical condition not covered by Workers' Compensation requiring absence from work greater than fifty (50) working days of consecutive absence for a single illness or injury.

An employee who sustains a catastrophic illness or injury may apply to the Department of Compensation and Human Resource Planning for and receive, for use on a matching basis, supplementary catastrophic illness or injury leave not to exceed the number of regular, unused sick leave days that the employee had accumulated on the first day of the regular sick leave applied to the catastrophic illness or injury. Section (2) (D) excludes absences due to injury covered by Workers Compensation. The School Board's granting of matching leave days shall begin on the fifty-first (51st) scheduled work day of catastrophic illness or injury. Use of the leave is on an alternating basis, day for day. Timekeepers are provided with calendars to report the time during the period of paid leave.

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Florida Retirement System (FRS)

Pursuant to State Statute 112.11regular employees of the School District of Palm Beach County are entitled to retirement benefits through the Florida Retirement System (FRS). Employees are enrolled into the appropriate FRS plan through HR/Compensation and through Risk and Benefits Management. Employees who are subject to FRS must contribute 3% on all eligible earnings which is calculated on a pre-tax basis.

Each year in July the FRS supplies rates for contributions for each class of employee, i.e. Regular, Special Risk, Senior Management, DROP, and others. Rate tables are maintained within PeopleSoft as a shared responsibility by the above referenced departments and with Payroll. Tables are updated as required when rates change.

Eligible earnings codes have an FRS accumulator based designation which in turn creates a c ontribution amount during payroll processing. Earnings not eligible for FRS benefits are not subject to the accumulator. Earnings and contributions are stored in tables within PeopleSoft Payroll.

At the beginning of each month, Payroll staff runs a report/file of contributions generated by pay date for the month just previous. The file is transmitted no later than the fifth business day of the following month.

Data generated from the report is downloaded and totaled and used to complete the monthly FRS transmittal report (M35)

FRS Adjustments/ Monthly report

Each month adjustments are required for the following reasons:

• Credit or adjustment data received from FRS • Credit of adjustment changes due to Job change information received from

HR/Compensation for employees who

o Were set up with wrong FRS code o Were set up with no FRS code o Had retroactive job changes necessitating FRS adjustments o Entered DROP, timely or untimely

Payroll will create transactions for employees through payroll processing to adjust eligible earnings for inclusion in monthly files. This can be done in one of two ways:

• Prior period adjustment screen - creates a transaction making previously paid

earnings eligible/not eligible according to month paid

• Adjustment through FDJ transactions. These are required for employees no longer active to ensure they receive credit for earning previously not reported as FRS eligible. On demand check processing is used to perform these transactions.

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Each month Payroll adjusts or records transactions as they are brought to our attention. Many are due to job data set up issues described earlier.

FRS sends monthly statements showing credits or charges due from previous months adjustments. These are included in the creation of the M35 report that is faxed to FRS on date of the wire of contributions to the state. The form includes totals of all contributions by plan type as well as the adjustments.

Final Salary Certification (FC1)

When employees retire or enter DROP, the District is required to certify employee salary information to initiate the benefits to be paid by the FRS. The FC-1 contains the final three months’ salary information, last annual salary amount, number of months employee position was based on - 9, 10, 11 or 12 and the final annual leave payout, if eligible. These are transmitted as soon as possible once the employee's records and terminated and final salary and terminal leave are paid. Amended FC-1's are created when required.

Alternate FICA - Bencor Plan

The Board offers a mandatory FICA Alternative Savings Plan for employees who are not eligible to receive benefits (as determined by the employee's current position with the District). The District's chose this plan to help reduce payroll costs, while providing employees who are not eligible for benefits with an attractive alternative to Social Security. Employee-only contributions fund the plan and require that employees contribute 7.5% of their compensation on a pre-tax basis. The District does not match or contribute to this plan as it does with Social Security. Payroll deducts the employee contributions from payroll earnings and then sends them to Bencor where the plan administrator invests them in a tax-qualified retirement plan, which reduces the employee's current tax liability.

DROP Processing

The Deferred Retirement Option Program (DROP), implemented on July 1, 1998, is a program that allows employees to retire without terminating employment for up to 5 years while retirement benefits accumulate and earn interest compounded monthly at an effective annual rate of 6.5%. Participation in DROP does not change the conditions of employment. When an employee's DROP period ends, the employee must terminate employment. At that time, the retiree receives the accumulated DROP benefits and begins receiving a monthly retirement benefit.

Employees retired in the plan are eligible for a payout of their annual leave balance upon entering DROP.

Additionally, they receive a payout of a portion of their sick leave at increasing percentages on a yearly basis until their DROP participation period expires. The District typically pays these funds in August each year based the prior year's ending balance.

Employees enter the DROP program through Human Resources/Compensation Employees must elect by June 1st to be paid sick leave percentage for current fiscal year

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Yearly Sick Leave Payment processing After the conclusion of each fiscal year, Payroll runs a process to create the yearly DROP sick leave payouts based on the participant's vesting percentage and years of participation in the DROP program.

Vesting Schedule for Sick Leave Payouts:

• 0 - 5.99 years of service = 0%, • 6 - 6.99 years of service = 40%, • 7 - 9.99 years of service = 45%, • 10 - 11.99 years of service = 50%, and • 12+ years of service = 100%.

Annual percentage for DROP Sick Leave Payouts:

• First year = 20% of accumulated sick leave balance as of 6/30, • Second year = 25% of remaining sick leave balance as of 6/30, • Third year = 33.33% of remaining balance as of 6/30, • Fourth year = 50% of remaining balance as of 6/30, and • Fifth year = 100% of remaining balance.

Annual DROP Sick Leave Payouts are valued differently depending on the employee's bargaining unit. For PBA, AESOP, FPSU, Confidential and Miscellaneous employees, DROP Sick Leave Payouts are based on the number of hours available and at the hourly rate of pay as of each June 30th. For members as Principals, Assistant Principals and Staff employees, DROP Sick Leave payouts are valued on a per year basis as of 6/30/2004. Each year accumulates a value based on the hours and rate of pay effective each June 30th. The DROP Sick Leave payouts are made on a last-in, first-out basis.

Distribution of DROP Sick Leave payouts also depends on the employee's bargaining unit. CTA and non-bargaining unit members who have over 10 years of consecutive service with the District will have all or a portion of their DROP Sick Leave payouts sheltered with BENCOR Administrative Services in Cincinnati, Ohio. Employees may also wish to shelter all or a portion of their DROP Sick Leave payout in a 403(b). The Payroll Accountant verifies eligibility, vesting, valuation, account funding and BENCOR eligibility for all DROP Sick Leave payouts. At the completion of the payment process, a program is run to decrement the balances of those who received a DROP Sick Leave payout.

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Administrative Policies and Procedures

Category: Financial Management - Accounting Services/ Payroll

Subject: Voluntary Deductions and Garnishments

Overview

All payroll deductions, not required by law, shall have specific Board approval, pursuant to Board Policy 6.05 Employee Payroll Deductions. The Superintendent, who will also have the authority to determine the effective date of implementation, shall make recommendation for any such deduction. Such voluntary deductions include union or association dues, charitable contributions such as United Way or FFEA, Education Foundation, teacher's certification fees, fingerprint fees and any others which may be approved at a later date by the Board. Tax sheltered annuities (TSA) and tax sheltered mutual funds (TSM) are administered through Risk and Benefits Management as are any voluntary insurance deductions. Unions request, generally at fiscal year beginning, require an update to modify annual or monthly contract amount for member dues deduction.

Employees may be subject to one or more of the following garnishments/levies: bankruptcy, child support, Federal administrative garnishments, federal tax levies, student loans, state tax levies, local tax levies, and creditor garnishments. The district receives documentation from the courts/government agencies requesting that an employee have garnishments/levies applied against wages. There are different rules for disposable income, fee limits, percent of gross, etc. that are established by the courts in calculating and administering the deductions. This information is entered into the employee garnishment data pages and the payroll process uses these rules to calculate and distribute the garnishment or levy. The amounts withheld from the employee's checks are transferred to Accounts Payable for payment to the payee indicated in the garnishment/levy document.

Procedures and Processes

Garnishments Voluntary Deductions

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General

The Customer Service Unit manages the setup of voluntary and involuntary deductions received against the employee's disposable earnings and remits it to government agencies or a person or receiver to satisfy the employee's debt. This includes child or spousal support, student loans, bankruptcies, unpaid taxes or repayment of debt. As previously stated, employees may also request to have deducted from their pay items such as union/association dues, charitable contributions, and other voluntary deductions.

Involuntary-Garnishments

• Bankruptcies received from the District's Legal Department • Other Court Ordered Garnishments received from the District’s Legal Department • Child Support • IRS Tax Levy • Student Loan Garnishments

Processing of Court Ordered Garnishments

• Legal department instructs Payroll when to begin the garnishment, where to send the funds and went to stop it.

• When court order comes directly to payroll it is placed in an interoffice envelope and is taken down to Paralegal in District's Legal Department.

• Legal Department will instruct Payroll through email to supply them with a completed wage data sheet on the employee, provided employee is active

• Paralegal in District's Legal Department will advise through email and will inform Payroll to begin a deduction of XX% of the employee's disposable income and place funds in pending account.

• When Legal Department receives a continuation of garnishment from the courts they notify Payroll where the funds are to be sent.

• If it is a new vendor copy of email is taken to Purchasing Department to set up a new garnishment vendor in system

• If it is an existing vendor, the garnishment is set up in system to begin sending funds directly to the vendor

• Any existing funds in pending account for this garnishment on behalf of this employee is manually added to the report for this pay period

Bankruptcy processing

Two types of bankruptcies:

Chapter 7 - dismiss all credits for creditors

Chapter 13- payment is made as credit to garnishment

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The Legal Department will only instruct Payroll to start garnishments for Chapter 13 bankruptcy orders

All orders sent to vendor, trustee Bankruptcy court Processing steps - • Check email daily for messages from Paralegal • Make sure employee is active • Enter the bankruptcy garnishment in system • Make folder and file with bankruptcies files • Send employee garnishment notice letter

Other court ordered garnishments

• Check emails daily for legal messages from Paralegal • Make sure employee is active • If new vendor give copy to Purchasing dept. to create new vendor number • Payroll will set garnishment up in system for employee deduction to be taken bi-

weekly • Send employee garnishment notice letter • Create folder and file

Pending Garnishments

• Legal Department will instruct payroll to supply them with a completed wage data

sheet on the employee if the employee is active • Paralegal in Legal Department will inform Payroll through email when to start the

deduction • When email from Legal Department instructs that funds are to be placed in pending

account, then set garnishment up in system with pending as vendor. • Legal will instruct Payroll which vendor to send the funds to at a later date or when

they receive the continuation of garnishment from the court. • Letter is sent to employee • Create pending file folder and file • Pending garnishment input and output is tracked through a spreadsheet to show

account activity monthly and is provided to Financial Accounting

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Child support/State of Florida • Child support notice received from the courts or an agency e.g. Florida

Department of Revenue. • Inquire in system if vendor exists and employee is active • Payroll sets up garnishment in system with deduction taken bi-weekly. • Payroll sends employee a notice of garnishment letter • The letter reflects if it's a new or changed garnishment • In the body of the letter it states the amount of the deduction and the date the

deduction will start as well as a contact number. • Payroll manager signs child support notice letters • Funds remitted on a bi-weekly basis to State of Florida disbursement unit through

ACH

Child support/other states or directly to custodial parent • Child support notice received from the courts or an agency e.g. Florida

Department of Revenue. • Inquire in system if vendor exists and employee is active • Payroll sets up garnishment in system with deduction taken bi-weekly. • Payroll sends employee a notice of garnishment letter • The letter reflects if it's a new or changed garnishment • In the body of the letter it states the amount of the deduction and the date the

deduction will start as well as a contact number. • Payroll manager signs child support notice letters • Funds remitted on a bi-weekly basis to State of Florida disbursement unit through

ACH

Student loans

• Student loan/garnishment comes from the student loan agency for example, Florida Department of Education.

• Inquire in system if vendor exists and employee is active • If new vendor give copy of information to Purchasing Department and request

creation of new vendor • Payroll sets up garnishment up in system for deduction taken bi-weekly. • Payroll sends employee a notice of garnishment letter. • The letter reflects if it's a new or changed garnishment • In the body of the letter it states the amount of the deduction and the date the

deduction will start. • Payroll manager signs student loan notice letter • Check is remitted vendor on a bi-weekly basis

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Voluntary Deductions

Dues • CTA AESOP • Staff Association • SEIU - Fl. Public • Service Union School Administrators • School Police Staff Association • COPE Contributions SEIU/FPSU • FASA Florida Association of School Administrators • Professional Educators Network

Charitable Contributions

• United Way • Future Education Scholarship (FFEA) • Education Foundation • United Negro College Fund

Miscellaneous

• Fingerprint fees • Certification fees

Dues

Dues notices come from the respective agencies and are keyed in the same manner.

• Required letter from organization to start deduction • Required letter from organization to stop deduction

Employees must send all cancellations directly to the respective union/organization, if employee sends correspondence to payroll it is returned to employee with an attached letter for them to coordinate directly with the union.

CTA Dues Membership staff member at the CTA local office provides all correspondence to begin deductions or terminate deductions School Administrators Association Only principals or assistant principals may enroll and all correspondence to begin deductions or terminate deductions is received from the current president of the association. SEIU/ Florida Public Service Union All deductions and cancellations correspondence comes from membership coordinator at SEIU/ Florida Public Service Union office.

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Staff Association All deductions and cancellations correspondence comes from Treasurer for Staff Association.

Professional Educators Network (PEN) All deductions and cancellations correspondence comes direct from the union office. Association of Educational Secretaries, & Office Professionals {AESOP) All deductions and cancellations correspondence comes from membership chairperson with the association. FASA/Florida Association of School Administrators All deductions and cancellations correspondence comes from membership office in Tallahassee. Payroll issues letters periodically to employees who transfer jobs and thus change bargaining unit to inform that they may wish to stop deductions with former association. Generally a maximum of three attempts to notify are made.

Charitable Contributions

Charitable contribution campaign occurs in winter/spring of each year. Pledges are made through custom screen in Employee Self Service. At the conclusion of the campaign, pledge data is uploaded to payroll deduction screens for processing. While not frequent, employees may request periodically throughout the year to stop deductions and may do so in writing to Payroll.

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Administrative Policies and Procedures

Category: Financial Management - Accounting Services/ Payroll

Subject: Taxes

Overview

Tax rates W4 tax information J l VISA employees Quarterly returns Annual processing of W2's and exempt employees Imputed income

Tax rates

Tax rates are updated frequently within the Payroll system through tax update bundles provided under the District's contract with Oracle/PeopleSoft. Approximately 4 - 6 bundles are supplied per year. Garnishment rates are included as well as any other applicable tax information.

W-4 Tax Data

The W-4 is the designation of marital status and exemptions being claimed for the purposes of withholding taxes from an employee's pay check. Employees are strongly encouraged to make changes on line through Employee Self Service. Employees who do so, receive a confirming email documented changes made.

Foreign Employees Holding a J-1 Visa Human Resources staff members obtain information from the employee regarding country of origin and the appropriate status. Those with J-1 Visas are set up by Payroll as Single with 0 or 1 Allowance (depending on the employee's choice derived from a communication letter from Payroll) and have no FICA tax or Medicare tax deductions. The tax exemption data is input and monitored by the Payroll Accountant, based on the effective status dates input by HR.

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Quarterly Tax Return

The IRS Form 941 is filed quarterly with the IRS. Quarterly tax audit and error reports are generated and appropriate corrections made. The Form 941 is prepared by the Payroll Accountant, along with the accompanying Schedule B, based on system-generated quarterly tax reports. The completed Form 941 is validated by the Payroll Manager and then executed by the Accounting Director and mailed to the IRS prior to last day of the month following quarter-end. Changes to the Form 941 are filed with the IRS by completing Form 941X, as needed.

Annual W-2 Processing and Reporting

W-2's are generated and distributed to employees on or prior to January 31st of each year. Payroll transmits W-2 and W-3 information to the Social Security Administration. Year-end tax reports are generated, along with audit and error reports that are appropriately corrected prior to generating and distributing the W-2's. Form W-2C's are generated as necessary. Employee's claiming exempt status or 10 or more allowances are sent a correspondence and a Form W-4 to update the data for the upcoming tax year. Their tax records are reset to Single with no allowances if we do not receive their new W-4 information within a time certain deadline. If forms are not returned by the deadline determined by the RS guidelines, then tax status is reset to single with no allowances.

Imputed Income

The Superintendent or designee may assign certain employees the responsibility of driving a District-owned, operated or controlled vehicle to their residence after their duty day concludes. The employee shall only drive the vehicle between their residence and an approved work center during non-duty hours as a condition of employment. The value of personal use of an employer-provided vehicle, which includes commuting to and from work, is a taxable fringe benefit under the Federal Internal Revenue Code and the District must report that value as a taxable benefit to the employee. The District's Service Fleet Manager maintains a list of employees approved to drive District vehicles, including the first and last day of approved usage. Once a year, the list is transmitted to the Payroll Accountant, who produces a file to upload the taxable fringe benefit to the final payroll of the calendar year. The calculation of the taxable benefit is determined by IRS rules whether commuting mile based on lease value calculation. The District also imputes income for employees who do not properly substantiate flexible spending account expenses and the value over 20% of the child care discount for after care afforded to certain employee groups.

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Administrative Policies and Procedures

Category: Financial Management – Accounting Services/ Payroll

Subject: Miscellaneous Processes

Banking Procedures Overpayments

Records Retention

Employee Self Service

Overview

Payroll is responsible for other processes to include verifying bank transactions; processing direct deposit requests; processing reversals, cancellations, stop payments with our bank; notifying employees of overpayments and processing the overpayments within the system or record payments received; process payroll for summer sessions. Additionally Payroll is responsible for producing wage and payroll data verification: for verifications of earnings on behalf of employees to banks & mortgage companies, housing agencies, state and local assistance agencies; for 13 Week Wage statements issued to the District's third party administrator, FA Richard for injury or illness in the line of duty or for employees who have been in car accidents and are issued to insurance companies or attorneys at their request. Subpoenas and public records requests are received and responded to as required. Pursuant to District Records Retention requirements, Payroll maintains an association with IT/Records Management to ensure that all records required to be maintained for a period of time are done so on or off site in accordance with State Statute. Records Retention requirement documents are contained on the District website under 'Forms and Records'.

Procedures and Processes

Banking Procedures Processing Stop Payments Check Cancellation Direct Deposit Reversals Refunds (Manual Checks) Daily Cash Sheets Verification of Employment 13 Week Wage Statements Overpayments Employee Self Service

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General

Banking Procedures

Banking Procedures in the Customer Service Unit (CSU) of the Payroll section include managing ACH reports, processing the cancellation of paychecks, verifying cashed paychecks, and processing stop payments on lost or destroyed paychecks or those not received in the US Mail.

Process Steps Banking Procedures-

1) ACH Reports 2) Cancellation of Paychecks 3) Stop Payments of Paychecks

ACH Reports

• Staff signs in at the District bank website and reviews online reports • These reports will confirm any monies that have been returned to the

District after payday due to closed account, frozen account, etc. • District used a pre-note process to reduce errors and confirm bank

information • Reports provide data for employees who enter erroneous bank

information through employee self-service that requires correction.

Cancellation of Paychecks

• Staff signs in at the District bank website and selects Payments/services/reconciliation and "Cancel issues"

• Checks are then reversed in PeopleSoft and recorded on master spreadsheet for stop pays and reversals

Stop Payments of Paychecks

• CSU designee receives original notarized Stop Payment Affidavit form • Sign in at the District bank website and select Payments/ services and

"Place Stop Payment" and "release" • Wait 24 hours and sign in at the District bank website and select

Payments/ services and "View Stop Payment Confirmation History" • If Stop Payment is accepted follow Stop Payment Procedures • If Stop Payment is rejected contact employee and provide explanation • Check is then reversed in PeopleSoft and recorded on master

spreadsheet for stop pays and reversals

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Processing Stop Payments

• Employee: Informs Payroll Contact at location that an issued check has not been received or has been lost or damaged.

• Payroll Contact: Informs their Payroll Processor a check has not been received and needs to be reissued.

• Payroll Analyst: The check that needs to be stopped will be printed from the Check History in PeopleSoft. Initial and date the Check History and record on it: NOT RECEIVED PLEASE STOP. The document will be taken to the payroll designee for processing.

• Payroll Designee: A stop payment affidavit will be generated for the missing check. The affidavit is given to the Payroll Accountant for review.

• Payroll Accountant: Review and approve the affidavit for stopping payment and return the approved affidavit to the payroll designee.

• Payroll Designee: The cleared status of the check number on the affidavit will be confirmed online with the bank. If the check is outstanding, the affidavit will be faxed/ponied to a location where the Payroll Contact/employee can retrieve it. If the check has cleared, the payroll designee will record on the Stop Payment Affidavit to not reissue the check and the date the check cleared and return a copy of the affidavit to the Payroll Processor. The Payroll Processor will notify the Payroll Contact that the check has cleared.

• Employee: The employee will get the affidavit notarized and return the original signed affidavit to the Payroll Department.

• Payroll Designee: The cleared status of the check number on the notarized affidavit will be confirmed online with the bank and reconfirmed 24 hours later. Initial and date the affidavit and record on it: CHECK STOPPED OK TO REISSUE. Give the affidavit to the Payroll Processor.

• Payroll Analyst: Complete two Payroll Processing Forms: one to process the stop payment on the original check and one to reissue the check. If replacing an employee's primary wages or a special circumstance approved by the Payroll Manager, process as an emergency check. Give processing forms to Customer Service Unit Supervisor for approval and data input.

• Payroll Analyst: Contact the locations Payroll Contact/employee that the stopped check has been reissued.

Check Cancellation Check cancellations are a process done by Payroll upon the return of a paycheck by a location and /or employee. This may be due to the paycheck being out dated, the employee is overpaid, the paycheck is defaced and not able to be cashed, or the employee is not due a paycheck.

• Payroll Analyst notifies location and/or employee • Payroll Analyst prepares Payroll Processing form and attaches paycheck • Processing form is then given to Customer Service Unit (CSU) designee • CSU designee will process the reversal of the paycheck in PeopleSoft

when permitted

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• CSU designee logs on District bank and cancels check • CSU designee updates reversal recorded on master spreadsheet for stop pays and

reversals

Direct Deposit Reversal Procedure

Reversals are processed by Payroll to cancel direct deposits due to errors in payroll processing or returned funds from bank due to closed accounts. Reversal Types-

1) Initiated by Analyst 2) Account Closed- funds returned by the District bank

Initiated by Payroll Analyst • Payroll Analyst prepares Payroll Processing form • Indicate if check will be reissued • Payroll Analyst notifies location and/or employee • Payroll Analyst gives processing form to Customer Service Unit (CSU) • Payroll Analyst has up to five business days to make this request. • CSU designee fills out "ACH Reversal/Deletion Request Form" and

faxes to District bank. • CSU designee waits five business days and if there is no negative

response from the District bank regarding the reversal request then an email is sent to the Payroll Analyst notifying them that the reversal is complete and they may reissue the paycheck.

• CSU designee will process the reversal of the paycheck in PeopleSoft when permitted.

• Payroll Analyst will also be notified if reversal was returned to CSU under "insufficient funds" from the District bank. This would indicate that the employee has used the funds and has now caused an overpayment situation.

Account Closed-funds returned from the District bank

• CSU designee logs into District bank and retrieves ACH report that lists any monies returned for employees due to closed accounts. This may also include "split accounts" where one account is closed and one remains open and are given to Accounts Payable by the Payroll Analyst to process.

• CSU designee prepares Payroll Processing form and gives to Payroll Analyst for that employee

• Payroll Analyst notifies location/employee and produces an "On Demand" paycheck for employee.

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Manual Checks-Refunds

Manual checks are a process performed by Payroll in the event that an employee is returning funds to the District. Funds being returned are generally due to the employee being overpaid.

• Employee responds to overpayment letter by refunding monies to District in the form of a check or Money Order.

• Check or Money Order is given to Payroll Analyst • Sr. Payroll Analyst prepares Payroll Processing form and gives to Payroll Accountant along

with the check or money order • Sr. Payroll Analyst makes copy of check or money order and gives original to designee to be

logged for remittance transmittal • The process is verified by validating that the refund is correct in PeopleSoft under the "Review

Paycheck" screen

Daily Cash Sheet

Daily financial transactions from School Food Service, Payroll, and Accounts Payable are recorded on the daily cash sheet. The cash sheet is routed from Payroll to Financial Accounting (who inputs the SFS figures) to Accounts Payable to Treasury, who uses the information to help determine the daily cash needs of the District's various funds, including the General Fund and Food Service Fund.

The process begins in Payroll, where the Payroll Accountant begins the cash sheet for the next day in the late afternoon. The items included in the Payroll section of the cash sheet include:

1) Funding the net amount of on-demand checks on a daily basis, including reversals as of specific biweekly

2) Funding the cash and direct deposit amounts and Florida child support for on-cycle payrolls on the day before the check date, as well as noting the confirmation numbers of the wire transfers, which are communicated to Payroll by Treasury,

3) Funding IRS wires for on-cycle payrolls on the day before the check date, 4) Funding FRS retirement contributions on the fifth business day of each

month, 5) Funding other deduction products as needed 6) Funding off-cycle payroll as needed, in accordance with the above, as

applicable.

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Verifications of Employment

Within this capacity, responsibilities include completing all employment verifications consisting of salary and wage information for past and present job functions on behalf of all School District employees and staff. Requests range from mortgage and automobile companies to Social Security Administration, Internal Revenue Service, state agencies, and state assistance agencies to others not named.

• Collect and provide total year end salary and wage information for employees • List all posts or job functions • Calculate and provide all overtime, bonus and shift differential amounts • Calculate and provide percentage of annual salary increase(s) within requested

timeframes • Indicate the amounts deducted from salary for medical insurance, union dues,

garnishments etc. as requested • Provide any break in employment due to sick leave, summer vacation and or

lay-off • State if employee is 22 or 26 pay • Complete processing of verifications within three to five business day

turnaround timeframe via • United States mail service or fax • Retain for 90 days, then purged

Thirteen week wage statements

The District creates thirteen week wage statements to be used for workers compensation, insurance claims, and other areas where there is a need to know the prior earnings history for an employee. The thirteen weeks preceding the date of the occurrence, is actually a period of 91 consecutive days preceding the date of the accident or injury. If an employee does not have thirteen weeks of wage history, a similar (same job classification) employee's wage history can be used as an estimate. Florida Stature 440.14 mandates the creation of these statements. A custom report(s) is generated to meet the requirements for generating data for Annual Salary, Bargaining Unit, Hourly Rate, Work Location, Attendance for ninety days prior to accident date, fringe benefits data.

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Overpayments

Overpayment of wages and supplemental payments to the District occur through the payroll process on an ongoing basis. These overpayments occur for various reasons including: clerical errors, resignation/retirement/terminations dates are entered by personnel after paychecks have been received, late submission of attendance from a school or department, employees placed on unpaid leave and backdated, salary decreases or adjustments backdated, worker's compensation issues, and notification of an error of a submission of payment by a school or department that has been discovered. Every effort is made upon discovery or notification of the overpayment, to recover all the funds owed to the District.

Employee Self Service

Employees will enter and receive much of their information through Employee Self Service in PeopleSoft. Access to the system is secure through the District portal and employees must use a user ID and password to enter the system. The self-service pages in Payroll are used for the following:

Enroll or change direct deposit

View/Print Paycheck

Form W-4

View W-2/W-2c Forms

Consent to on line W-2’s

View Reported and Payable Time

One Giving Campaign – Charitable Contributions

Other areas –

Enroll in Benefits

Address Changes

View Compensation History