Next Review Date: TBD
Issuance Date: 06/30/1982
Issuing Office: General Accounting Division
REFERENCES & RELATED POLICIES*
G-6 Substantiation of Salary and Wage Charges to U.S. Government Contracts and Grants
IA-101 Internal Control Standards Departmental Payrolls
General Assistance Time Reporting
Employee Leave Records
Non-Payroll Expense Transfer
Timekeeping: Attendance Records
Timekeeping: Time Reporting to Payroll
Internal Control Standards for Departmental Payrolls
Vacation Accounting System
HU-109.5 Administrative Overtime Control Policies
HU-783.1A Overtime Timekeeping Procedures
HU-786.1A Time Clock: Time Card Procedures
HU-786.2A Employee Departmental Attendance Record (EDAR)
*See PPM 395-4.1 for other references and related policies
In compliance with University policies, adequate control must be maintained to ensure that only authorized payments have been recorded against departmental funds. One recommended procedure is to compare the monthly Distribution of Payroll Expense (DOPE), Exhibits A-1 and A-2, with 1) Payroll Time Records (PTR's) and 2) Automated Change in Employment Status (ACES). These two documents relate to time reported for pay purposes and/or fixed percentage of time paid to salary roll employees.
This section deals with the Distribution of Payroll Expense. The Distribution of Payroll Expense provides a detail of charges for the monthly General Ledger. The report includes for every employee the gross salary and staff benefit charges in detail for the month being reported, transactions resulting from earnings adjustment forms being processed and expense transfer transactions generated from the Payroll Expenditure Transfer, UPAY 646, Exhibit B-1 and B-2.
The Vacation Leave Liability Account Activity report, which also provides a detail of charges as a result of payroll activity for the monthly General Ledger, is addressed in Section 395-9, Vacation Accounting System. .IP \f3III.
For those individuals who are also responsible for reviewing payroll entries in the General Ledger, the pay activity entry from the Distribution of Payroll Expense is identified by the last three digits of the voucher number as a "D 10".
Salary Roll (subbudget 0 and subbudget 1) Time and/or Rate Factor.
Contact the Payroll Division immediately to determine if the error can be corrected by the Payroll Division.
General Assistance (subbudget 2) Time and/or Rate Factor
If the error is the result of an erroneous item either on an Employment Certification U1600 or an Automated Change in Employment Status (ACES), a correct form and correcting Payroll Time Record must be prepared by the department. If incorrect time was reported, only a correcting Payroll Time Record is required.
Employee Benefits Paid by the Funding Source
Any error in employee benefit assessments paid by the funding source (retirement, unemployment insurance, etc.) should be reported to the Payroll Division as soon as possible in order to ensure that corrective measures are initiated prior to the next scheduled payment to the employee.
Account and/or Fund Number
If an employee is associated incorrectly with an account and/or fund number on the Distribution of Payroll Expense, the department should investigate the reason for the error and determine the correct account and/or fund source. (The Payroll Division will assist if necessary). If the error is the result of an incorrect form U1600 or ACES, or Funding Change Only form, FO2128, (including key entry errors), then a correcting form and a Payroll Expenditure Transfer UPAY 646, Exhibit B, must be prepared. The Payroll Time Record must not be used to transfer payroll expense from one fund source to another. Refer to PPM 350-3 for special policy limitations established for all transfers of expense.
Justification of Retroactive Transfers (UPAY 646)
Original certification of charges against federal contracts and grants are considered by auditors to have been reviewed for appropriateness and to have been correct. When a retroactive Payroll Expenditure Transfer UPAY 646 is submitted, an explanation of how the error occurred and documentation of the appropriateness of the newly assigned fund source must be provided along with an Automated Change in Employment Status (ACES) form and a Personnel Activity Report (PAR) form. Transfers that affect contracts or grants must be signed by the principal investigator. On Federal Funds, payroll transfers must take place within 120 days after the original ledger month of entry in order to be considered timely. Once the transfer is over 120 days old the explanation must be expanded to include a credible reason for the delay. Clerical error in itself is not considered sufficient justification for tardiness.
|1. Report Headings||
Standard heading information is printed in the first three lines of the report. The process month, page number, depart- mental name, location/account/fund number and fund description.
|2. Line Number||
A consecutive count of detail lines on each page.
|3. Employee Name||
The employee's last name followed by first name appears on only the initial line if more than one detail line is needed for the employee.
|4. Employee ID||
The University six digit identification number preceded by three zeros.
|5. Title Code||
Identifies the title under which the expense is being charged.
|6. Period End Date||
The six-digit pay period end date in MM/DD/YY format. Prior pay period adjust- ments will show the original pay period end date for the service.
|7. Object Code||
The four-digit code identifying the type of expenditures made; for example, 1000 = Academic Salaries.
Description of Service - a three-digit code which identifies the type of service the employee provided for payment. (See Exhibit C)
The pay period time in hours or in percent for which the payment was made. Time is not present on the report for by-agreement type payments.
|10.. Pay Rate||
The rate of pay used to calculate the payment.
An adjustment code to indicate if the
line item was one of the following
types of adjustments:
|12. Gross Earnings||
The amount of salary charged to the fund source for the employee's services during the pay period. A negative sign following the amount denotes a credit item.
An alpha code identifying the employee's
|14. Matching Contrib||
The amount of employer contribution to the employee's retirement plan.
|15. Special Contrib||
The amount of Special Regents' contribution for tax-deferred annuity for eligible employees.
The amount of employer contribution to FICA (Social Security) for eligible employees.
The combined amount of employer contributions for dental insurance, employee health insurance at the prevailing rate for the employee type of coverage and for health insurance for currently retired employees.
Premium for unemployment insurance for eligible employees.
|19. Workers Comp||
Premium for workers' compensation insurance for pay items subject to workers' compensation.
The combined amount of premiums for Term Life Insurance for employees who are UCRS members and for Non-industrial Disability Insurance for employees who are members of either UCRS or PERS.
|21. Total Benefits||
The sum of all benefit expenses on the line for the employee's payment item.
|The report contains for each sub-budget within an account/fund of gross earnings and benefit amounts. After each Location/Account/Fund departmental totals are printed and a listing of benefit charges by benefit object code.|
Space to indicate if multiple pages are being submitted.
|2. Department Name||
Name of the department where the form is originating.
|3. Date Prepared||
Date the form was prepared.
|4. Prepared By||
The name of the individual preparing the form.
The signature of the person who prepared the form and the telephone number where the person can be reached if a question should arise.
|6. Employee Name||
Name of the individual whose expenditure is to be transferred.
|7. Employee Number||
The employee's six-digit identification number.
|8. Dist of Pay Exp||
Identification of the transfer set by the month, year page, and line of the Distribution of Payroll Expense Report on which the original expense was recorded.
|9. Transfer From||
The thirteen-digit account number of the account/fund source to which the salary expense was originally charged.
|10. Transfer To||
The new thirteen-digit account number to be charged for the expense.
|11. Title Code||
The title under which this expense was charged.
|12. Pay Period End||
The pay period end date of the original expense.
|13. Desc Serv||
The Description of Service (DOS) code which describes the type of service for which the original expense was charged. (See Exhibit C)
The time in hours or percent for which the payment was made.
An indicator which defines the type of time reported in Item 14 above.
|16. Pay Rate||
The pay rate or amount for which payment was made.
The employee's retirement plan code.
|18. FICA Amount||
The amount of FICA (Social Security) if any associated with amount of transfer.
The combined amount of employer contribution for dental insurance, health insurance and anniutant health insurance associated with the expenditure to be transferred.
|20. Life/NDI Amount||
The combined amount of premiums for Term Life Insurance and Non-industrial Disability Insurance associated with the expenditure to be transferred.
Review the Distribution of Payroll Expense to ensure that correct payments are made to proper individuals.
Review time and rate factors on the Distribution of Payroll Expense with time reporting forms to check accuracy.
Report any errors to the Payroll Division as soon as possible.
Distribute payroll review documents, for example, Distribution of Payroll Expense, to departments.
Assist department administration in making corrections when necessary.