2004 - 2005 Revisions

2005

Date	Policy	Summary of Change
8/31/2005	PAY 004 Frequently Asked Questions (FAQ's)	Changed answer to Question #23.  New answer is "Your W-2 is mailed to your current mailing address by January 31st."
6/01/2005	Section 1100 Records Retention	Added Section 1100: Records Retention to Payroll manual.

2004

Date	Policy	Summary of Change
10/27/2004	Entire manual	Changed format and updated entire contents.

2007 Revisions

Date	Policy	Summary of Change
8/31/2007	PAY 004 FAQ	Swapped questions/answers for 6 and 7 for Department FAQ. Updated answer for question 6. Updated verbiage in Answer for Question 23 in Department. Added more information about completing the Labor Distribution Form in OSCAR. Updated link to Work Certificate Study in Answer 29 for Department FAQ.
	PAY 501 Classified Pay	Removed Coefficient Table and added pdf version.
	PAY 902 Awards	Removed the word "Operations" from Payroll Operations Manager.
	PAY 001 Introduction	Updated link to Payroll Office Personnel and Payroll Office website.
	PAY 403 Summer Session Appointment PAY 404 Summer Academic Pay PAY 002 Definitions	Changed verbiage and link to A Planning Guide for Summer Appointments to Summer Appointment Guide.
	PAY 401 Unclassified Appointment	Updated link to Academic Appointment Guidelines.
	PAY 300 Payment of Graduate Student Employees	Took out Summer Session Instructor column from Graduate Assistant - Summer Employment Types chart.
	PAY 301-01 Payment Process	Updated OSCAR link and directions in the Payment Process.
	PAY 301-02a Job Form	Updated OSCAR link and directions in the Job Form section.
	PAY 301-02b Labor Distribution Form	Updated OSCAR link and directions in the Labor Distribution Form section.
	PAY 301-03b Labor	Updated terms on Unit Pay. Graduate Salary Adjustment changed to $250.00 and is administered by Payroll Office.
	Entire Manual	Updated link for Payroll Calendar, OSCAR, and InfOSU.
	PAY 102 Pay Delivery Options	Removed acronym for Pay Delivery Authorization. Clarified location of Downloadable forms. Updated OSCAR link. Added information regarding statement viewing via Employee On-line Services (added link to Employee On-line Services.
	PAY 701-02 Underpayment/No Payments	Updated link for Payroll Office Personnel.
	PAY 802-02 Social Security and Medicare Tax	Updated link to Social Security Website.

2008 Revisions

Date	Policy	Summary of Change
11/12/2008	PAY 501-03 Pay Method - Default/Hourly Pay	Updated entire policy.
	PAY Ex3 Coefficient Table for Computing FLSA Overtime Premium Pay	Updated examples in exhibit.
10/21/2008	PAY 501-03 Pay Method - Default/Hourly Pay	Updated entire policy.
	PAY Ex1 Unclassified Appointment Information Matrix	Corrected acronym to FOAPAL.
	PAY Ex3 Coefficient Table for Computing FLSA Overtime Premium Pay	Updated exhibit to include two examples.
10/06/2008	PAY 801-03 Other Deductions	Updated deductions to include union dues and staff parking permits. Removed purchase of athletic tickets food drive donation and fee.
	PAY 802-02 Social Security and Medicare Tax	Updated Social Security and Medicare Tax to state annual maximums are set by the Social Security Administration.
09/05/2008	PAY 501-03 Pay Method - Default/Hourly Pay	Updated link to coefficient table under PAY 501-03c.
05/22/2008	PAY 401 Unclassified Appointment	Updated links to Academic Appointment Guidelines and Unclassified/Faculty Earn Codes.
2/04/2008	PAY 004 Frequently Asked Questions (FAQ's)	Updated links to Office of Human Resources website.

2010 - 2011 Revisions

2011

Date	Policy	Summary of Change
01/26/2011	PAY 407 Sabbatical	Included references for how the process works with the Business Centers and incorporated information relating to Sabbatical travel.
02/11/2011	PAY 606 Lost, Stolen or Destroyed Check	Updated text and section title
03/01/2011	PAY 001 Introduction	Updated text
03/23/2011	PAY 403: Sumer Session Appointment	Removed link to Summer Appointment Guide
03/23/2011	PAY 002: Definitions	Removed link to Summer Appointment Guide
04/11/2011	Ex1: Unclassified Appointment Information Matrix	Removed introduction text
04/11/2011	Ex2: Classified Appointment Information Matrix
04/11/2011	Ex4: OSU Program Codes	Added introduction text
08/17/2011	PAY 102: Pay Delivery Options	updated text throughout the entire section
08/17/2011	PAY 801: Voluntary Deductions	updated text throughout the entire section
08/17/2011	PAY 802: Mandatory Deductions	updated text throughout the entire section
08/17/2011	PAY 1000: Other Payroll Expenses (OPE)	updated text throughout the entire section
11/01/2011	PAY 004: Frequently Asked Questions	updated answer for Have questions regarding leaves, LWOP, LWP, unused vacations?
11/01/2011	PAY 103: Payment Methods	updated text throughout the entire section
12/27/2011	PAY 701: Payroll Errors	updated text throughout the entire section
12/27/2011	PAY 703: Leave w/out Pay	updated text throughout the entire section
12/27/2011	Pay 704: SAIF Loss-Time Payments	updated text throughout the entire section
12/27/2011	PAY 601: Early Release of Pay	updated text throughout the entire section
12/27/2011	PAY 602: Payroll Draws	updated text throughout the entire section
12/27/2011	PAY 603: Late Pay	updated text throughout the entire section
12/27/2011	PAY 501: Classified Pay	updated text throughout the entire section
12/27/2011	Pay 502: Temporary Pay	updated text throughout the entire section
12/27/2011	PAY 300: Payment of Graduate Student Employees	Divided the page into 3 sub pages
12/27/2011	PAY 301: Graduate Assistant Payments	updated text throughout the entire section
12/27/2011	PAY 302: Distribution of Tuition Remission Charges to Pay Indexes	updated text throughout the entire section
12/27/2011	PAY 303: Graduate Health Plans	updated text throughout the entire section

2010

Date	Policy	Summary of Change
01/26/2010	PAY 201-03b Pay Method - Default Pay	Updated link to Monthly Salaried Student Employees.

2012-2013 Revisions

2013

Date	Section	Summary of Change
March 27	1100: Payroll Records	fixed broken link and updated text
May 7	Ex 1: Unclassified Appointment Information Matrix	Added column for Unclassified Hourly - Teaching

2012

Date	Section	Summary of Change
Dec 27	002: Definitions 004-01: FAQ for Employee 004-02: FAQ for Department	Fixed and Added links to MyOSU througout the sections
Dec. 20	002: Definitions	Updated entire section
	004: Frequently Asked Questions	Updated content throughout entire section and divided into 2 pages; 004-01: FAQ for Employee; 004-02: FAQ for Department
Sept 11	603-01: Base Pay	Added Hourly Base Pay code UT
	Ex. 1: Unclassified Appointment Information Matrix	Added E-Class UT
	401-03a: Index & Account Code	Updated link for Unclassified/Faculty Earn Codes
June 4	203: Federal College Work Study Program Student Employees	Updated entire section
	1001: Charges for Other Payroll Expenses (OPE)	Updated text under bullet 10987
	202: Non-System Student Employees	Updated section 202-04
	201: Oregon University System (OUS) Students	Updated section 201-04
March 8	1002 Amounts	Updated link for Budgets OPE Tables
March 19	201: OUS Students	Updated entire section
March 19	401: Unclassified Appointment	Updated entire section
May 7	701-01b: Collection Action	Updated first paragraph

001: Introduction

Payroll Policy and Procedure Manual
Section 000: Introductory Material
Effective: 10/21/2004
Revised: 03/01/2011

The Payroll Policy and Procedure Manual (PAY) provides formal guidance for the processing and accounting of employee pay.  The PAY policies and procedures apply to all Oregon State University employees and Business Centers.  The PAY manual is managed by the Central Payroll Office, which is part of the Office of Business Affairs, a division of Finance and Administration. 

Overview

The Central Payroll Office has several key responsibilities.  One is to provide training and education to Business Center payroll staff to ensure they accurately process pay authorization documents that produce timely payroll payments.  Another is to oversee and audit the processing done by the Business Centers to maintain regulatory compliance to all applicable payroll related laws and regulations.   Finally, Central Payroll is responsible for the actual production and  distribution of employee payments..  Central Payroll abides by state and federal laws, labor agreements, Bureau of Labor standards, and the policies of Oregon University System (OUS) and Oregon State University (OSU) and the Business Centers are expected to do the same.  Central Payroll personnel are an important resource to use when in need of information or clarification on procedures.  A list of Payroll Office Personnel, areas of responsibility, and phone numbers along with other helpful information can be found on the Payroll Office website.

Structure of Payroll Manual

The PAY manual is divided into 10 sections.  To access a specific topic, simply find the correct section in the Table of Contests, and click on the appropriate link.

Sections are arranged as follows:

Section 100 provides general payroll information applicable to all employment types.
Sections 200 ~ 500 provide information relative to specific employment types.
Sections 600 ~ 1000 provide information applicable to various special payroll situations.

Questions regarding the policies cited in this manual or other corrections, changes, or suggestions should be sent to Steve Nash, Payroll Manager via email. 

In the event of any inconsistency or conflict, applicable law and the State Board of Higher Education's policies supersede University policies and University policies supersede college, Business Center, department or lower unit bylaws, policies, or guidelines.

The University reserves the right to add, amend, or revoke any of the contained rules, policies, regulations, and instructions or incorporate additional ones, with or without notice, as circumstances or the good of the University community may require.

A printout of this manual and each change to this manual is created from the original text source for the online version and retained permanently as an official record at University Archives.  Printouts of all revisions to online Policy & Procedure manuals are similarly available.

002: Definitions

Payroll Policy and Procedure Manual
Section 000: Introductory Material
Effective: 01/01/2001
Revised: 12/27/2012

A B C D

E F G H

I J K L

M N O P

Q R S T

U V W X

Y Z

A

1042-S Form

Form for Foreign Person’s U.S. Source Income Subject To Withholding issued to non-resident aliens for income received during a calendar year.

Academic Employee

A person employed in an Academic position.

Academic Position

Academic positions include teaching, research, and some administrative positions. Academic employment is specified by law to be unclassified and, in general, is governed by the Administrative Rules of the Oregon Board of Higher Education and by Oregon State University regulations.  These can be either 9 month (Academic Year) or 12 month appointments.

Academic Wage Appointment

See OHR website at  http://oregonstate.edu/admin/hr/jobs/PurposeAW.html

Academic Year

This refers to the 9 month academic period of Sept 16 through June 15.  It covers Fall, Winter and Spring terms.  These are also the dates used for 9 month appointment types who work the full academic year.

Account Code

The third element of a FOAPAL accounting string used to identify specific financial transactions.  Account codes define the type of activity taking place, such as academic pay, student pay, classified pay, and other payroll expenses.

Appworx

The reporting system whereby Banner processing and reports are submitted and generated.

Assignment

See Payroll Draw definition.

Top

B

Banner

The relational database used by the University for its Human Resource, Payroll, Finance and Student functions, records and processing.  Its parent company is now Ellucian.

Business Center

There are seven business centers at OSU that perform many HR/Payroll and Finance functions.  Every dept. and unit of the university is served in some manner by one of these seven centers.  Business Centers perform among other tasks, the hiring process for employees.  See http://oregonstate.edu/fa/bc/ for more information.

C

Calendar Year

January 1 through December 31.

Classified Employee

An employee whose position is determined to be in the classified bargaining unit represented by SEIU. 

Classified Position

Positions Classified by the Oregon University System (OUS).  Classified employment policies conform to the rules of the OUS.  Historically these positions are classified by the state Department of Administrative Services, Personnel and Labor Relations Division.  

Current Pay Period

The current pay period for hourly employees is the 16th of one month to the 15th of next.  For salaried employees it is the 1st through the last day of the month (1-31).

Top

D

Deadline

A scheduled dates on which pay authorization documents must be received and/or processed by Business Center HR or Payroll to be processed for a specific pay period.

Default Pay

This is a term that refers to salaried employees.  Their pay “default’s” into Banner so only any exception time is entered.

Deferred Pay

An IRS accountable plan whereby Unclassified employees on 9 month apppointments only, typically instructional faculty, are permitted to spread their pay over 12 months.  For 9 months 25% of their paycheck is set aside into a deferred pay account,  then paid back out to them over the summer months, July-Sept.

Department Delivery

One of three pay delivery options.  With this option an employee’s paycheck is routed to the employing department through campus mail.

Direct Deposit

One of three pay delivery options.  With this option an employee’s net pay is deposited via ACH to his/her checking or savings account.

Top

E

E-Class / ECLS 

Employment classification designated by a specific code. Defines employment as student, graduate student, classified or faculty, by pay type (hourly or salaried) and by appointment percentage.

Earn Code

A three letter code that describes the pay type, such as SAL for salary, OTM for overtime. Each earn code defaults to a corresponding account code.

Employment Registration

The human resources activities required to initiate a new employee to the University.  Activities include completion of certain forms by the employee and department, certification of eligibility to work in the United States, presentation of a social security card for review, and other tasks.  Contact the Office of Human Resources at 737-8300 for more information.

EvalS

The on-line performance evaluation system for all Classified, non-IT employee’s, available at MyOSU.

Top

F

FICA Subject/Exempt

FICA (Social Security and Medicare taxes).  Students enrolled at least half time within an OUS school are exempt from these taxes as are certain non-resident aliens.   Unless otherwise excluded by the IRS, everyone else is subject.

Fiscal Year

Financial period from July 1st through June 30th.

Top

G

Graduate Assistant

Academic rank, defined by ORS 580-020-0005, given to a graduate student performing duties as a degree requirement or in service to the University.

Top

H

I

Index

Identifies a unique combination of a fund, organization and program code.   When entered into the payroll system, it will default the correct fund, organization code, and program.

Top

J

K

L

Labor Distribution

Defines where an employee’s payroll expenses are to be charged, ie. a specific index, account code, and activity code with a corresponding percentage that must total 100%.

Top

M

Manual Pay/ Manual Check 

Off-cycle payroll processing to accommodate late or final pay including adjustments to an existing  payroll payment.

Mid-Month Cutoff

The date specified as the last working day of the month for employees paid from mid-month to mid-month. Currently, the mid-month cutoff is the 15th of the month.

MyOSU Portal

The University’s’ preferred method for students, administrators and employees to access university systems and seek information via a single sign-on structure. This self-sevice portal allows employees to submit address, telephone, and email changes; W-4 updates; and direct deposit changes.  Employees can also view direct deposit pay stubs, W-2s, etc. as well as access a host of employee related quick links such as Benefits, Parking, Dixon and campus life. (MyOSU Portal)

Top

N

Nolij

A web-based document imaging and storage tool for higher education institutions. It provides an automatic, integrated workflow process for document storage and retrieval, used by Business Centers and Central administration alike.

Non-System Student

A High School student, Home School student, Community College student, or other school student not enrolled in[w1]  the Oregon University System.  This includes Eastern Oregon University, Oregon Institute of Technology, Oregon State University, Portland State University, Southern Oregon University, University of Oregon, and Western Oregon University.  These student employees are subject to FICA taxes.

Nonresident Alien

A person who is not a U.S. citizen or resident alien.

Top

O

On-line Earning Statement

For employees on direct deposit, their pay statements are available to them on-line via the MyOSU Portal.

Online W-2

Web-based W-2 Wage and Tax Statement that is viewable and printable at via the MyOSU Portal.

OPE (Other Payroll Expense)

All other costs of employment in addition to wages that are charged to the department, ie. Health contributions, FICA tax, retirement, etc.

Opt Out

1) Direct depositors “Opt-out” of printed earning statements, instead taking advantage of the on line statement available to them via MyOSU.

2) Opt Out also refers to those opting out of health Benefits. See OHR website http://oregonstate.edu/admin/hr/benefits/overview #6

Oregon University System (OUS)

Eastern Oregon University, Oregon Institute of Technology, Oregon State University, Portland State University, Southern Oregon University, University of Oregon, and Western Oregon University

OSCAR

Acronym for Oregon State Central Administrative Resource a secured access website of online tasks providing staff and faculty with fill-in forms and step-by-step instructions for a wide range of business purposes.

Top

P

Pay Period

The inclusive calendar dates for which pay is issued.  At OSU, pay periods are from the 1st through the 31^st of the month for salaried employees and from the 16th of the prior month through the 15th of the current month for hourly paid employees.

Payday

The day on which pay is issued to employees.  Payday is always the last working day of the month. 

Payroll Draw

An amount, not to exceed 60% (75% for hourly students) of pay already earned as of the date submitted but not yet paid for the current pay period, issued to an employee with appropriate approval. Draws are only available for emergencies or late pay situations and limited to 3 draws per rolling 12 month period..  See PAY 602: Payroll Draws

Payroll Payment

Net pay issued in the form of a check or Direct Deposit payment.

PYAHOUR

Banner online Time Entry form that allows monthly entry of hours for hourly employees, exception time for salaried employees, changes in time/labor distribution, and entry of leaves taken.

Q

R

Regular Payroll

The standard payroll used to process pay for all OSU employees. Pay is issued on the last workday of each month.

Top

S

SAIF (State Accident Insurance Fund)

The state’s self-insured carrier for workers’ compensation insurance for university employees.

Student Employee

An individual whose primary effort is directed toward receiving a formal education and whose work effort is part-time and secondary in nature.  A student employee may be enrolled in either a secondary or a post-secondary institution.

Summer Session Appointment

A teaching appointment during the summer session. Includes appointments for nine-month OSU faculty members and other OUS institution faculty members; Graduate Teaching Assistants appointed as instructors; and new faculty appointments. 

Summer Term Appointment

A non-teaching or research appointment given during the summer months (mid June – September.  The appointment dates are not necessarily tied to the Summer Session schedule.

System Student

Student enrolled at one of the 7 OUS universities (Eastern Oregon University, Oregon Institute of Technology, Oregon State University, Portland State University, Southern Oregon University, University of Oregon, and Western Oregon University, including dual enrollments.

Top

T

TDI

Tax Deferred Investments –for more information see OHR’s web page. http://oregonstate.edu/admin/hr/savingsopp.html

Termination

1)  Employment Term- End of all employment with OSU.  All of an employee’s records, jobs, deductions and employment records are terminated in the Banner system.

2) Job Term – Termination of an employee’s job record(s) (NBAJOBS) but not of their Banner employee record (PEAEMPL)

Time and Attendance Report Form (Time sheet)

Currently a paper document used to report an employee’s hours worked or leave taken. Use of leave without pay is also recorded. By itself, this document will not generate pay for an employee. OSU is moving away from paper to a new time and attendance system called EmpCenter.

Top

U

Unclassified Employee

An employee whose position falls within one of the following categories:

• Academic service, including teaching, research, or public service; and/or
• Unclassified service defined by OAR 580-020-0006.

Top

V

W

W-2 Form

IRS wage and tax statement form that summarizes an employee’s annual taxable wages and related compensation, income taxes, and certain payroll deductions in a calendar year.  See “Online W-2” above.  W-2’s are required to be mailed by January 31 of each year. 1042’s have a mid March deadline but are typically sent by early Feb.

W-4 Form

IRS form filed by an employee to claim withholding allowances for Federal and Oregon state income tax purposes.

Work Student Employment

Student who meets all Financial Aid award criteria and have been granted work-study funding via the Financial Aid Office, have obtained approved student employment and complied with all other employment requirements.

Top

X Y Z

003: List of Exhibits

004: Frequently Asked Questions (FAQ's)- Payroll

201: Oregon University System (OUS) Students

Payroll Policy and Procedure Manual
Section 200: Payment of Student Employees
Effective: 01/01/2001
Revised: 6/4/2012

• Definition
• Procedure
• 201 Oregon University System (OUS) Students
• 201-01 Payment Process
• 201-02 Job and Labor Distribution Tasks
• 201-03 Pay Method – Hourly / Default Pay
• 201-04 Social Security/Medicare (FICA) Exemption for Student Employees
• 201-05 Accounting for Labor Charges
• Additional Information

Definition

Oregon University System (OUS) Student Employees

These are students enrolled at an OUS school and employed by OSU.  Enrollment requirements and hiring procedures are available in the Student Employment Policy and Procedures Manual.

Top

Procedure

201-01 Payment Process

• After logging onto the Oregon State Central Administrative Resources (OSCAR) use the Job Tasks menu to initiate pay authorization for initial student hires or to change hourly pay rates.
• Each Business Center creates, routes and approves the Job Tasks via EPAF processing.
• Enter monthly timecard date in PYAHOUR for all hourly paid students.  See the HRIS time entry manual on the HRIS website.
• Archive a copy of the time sheet as specified by Archive Law.  Department / Business Center copy is the official copy of record .  See the Archives website for retention periods.

Top

201-02 Job and Labor Distribution Tasks

201-02a New Hire / Job Change Task

• The Job Tasks menu is used to authorize pay for initial appointments, and report hourly pay rate changes.
• After logging into the (OSCAR) website, go to Business Center Tasks and complete the appropriate online task.
• Each Business Center creates and routes the Job Tasks via EPAF processing.

201-02b Labor Distribution Task

• The Labor Distribution Task is used to report changes to prior, current, or future distributions.  
• To access this task, log onto OSCAR, click on "Payroll Changes" and click on "Job Labor Distribution Change" (excel format). It can also be found in the Downloadable Forms.
• Redistributions are entered by the Business Centers in PYAREDS and where the copy of record is kept.

Top

201-03 Pay Methods - Hourly Pay/Default

201-03a Hourly Pay

• Hourly pay is used for nearly all student pay.
• Pay is issued for the period from the 16th of the prior month through the 15th of the current month and identified as current month pay.
• Payroll data is entered in PYAHOUR during time entry each month.  Refer to the Payroll Calendar for specific dates.
• Refer to Undergraduate Student Earn Codes for the correct Earn Codes and Account Codes to use.

201-03b  Default Pay

• In very limited instances, Default pay is used to pay students a monthly salary.
• For help in calculating the correct rates and appointment percents to enter, see the Monthly Salaried Student Emloyees webpage on the Business Affairs website for additional information.
• Pay is issued for the period from the first of the month through the end of the month.

Top

201-04  Social Security/Medicare (FICA) Exemption

Student employees, enrolled in an Oregon University System (OUS) school at least half-time, are exempt from both Social Security and Medicare withholding tax, based on Federal Insurance Contributions Act (FICA). For FICA withholding purposes ONLY, half-time enrollment is defined as:

• Undergraduate Students ……6 credit hours per term
• Graduate level Students…….5 credit hours per term

Top

201-05  Accounting for Labor Charges

Labor is charged to specific indexes and account codes.  Use of activity codes is the choice of the department.

201-05a  Index

• Must be an open and valid index owned by the employing department.
• The index should remain open through the last day of the month pay is issued to the employee.  Otherwise, it may error out when posting to finance.
• Refer to Undergraduate Student Earn Codes for account code information.

202: Non-System Student Employees

Payroll Policy and Procedure Manual
Section 200: Payment of Student Employees
Effective: 01/01/2001
Revised: 06/04/2012

• Definition
• Procedure
• 202 Non-System Student employees
• 202-01 Payment Process
• 202-02 Job and Labor Distribution Tasks
• 202-03 Pay Method - Hourly Pay
• 202-04 OPE (Social Security & Retirement) for Non-System Student Employees
• 202-05 Accounting for Labor Charges
• Additional Information

Definition

Non-System Student Employees

Students enrolled at a non-OUS school and employed by OSU. Enrollment requirements and hiring procedures are available through the Student Employment Policy and Procedures Manual.

Top

Procedure

202: Non-System Students Employees

202-01 Payment Process

• After logging onto the Oregon State Central Administrative Resources (OSCAR) use the Job Tasks menu to initiate pay authorization for initial student hires or to change hourly pay rates.
• Each Business Center creates, routes and approves the Job Tasks via EPAF processing.
• Enter monthly timecard date in PYAHOUR for all hourly paid students.  See the HRIS time entry manual on the HRIS website.
• Archive a copy of the time sheet as specified by Archive Law.  The Department / Business Center copy is the official copy of record.  See the Archives website for retention periods.

Top

202-02 Job and Labor Distribution Tasks

202-02a New Hire / Job Change Tasks

• The Job Tasks menu is used to authorize pay for initial appointments and report hourly pay rate changes.
• After logging into the (OSCAR) website, go to Business Center Tasks and complete the appropriate online task.
• Each Business Center creates and routes the Job Tasks via EPAF processing.

Top

202-02b Labor Distribution Form

• The Labor Distribution Form is used to report changes to prior, current, or future distributions.
• To access this task, log onto OSCAR, click on "Payroll Changes" and click on "Job Labor Distribution Change" (excel format). It can also be found in the Downloadable Forms.
• Redistributions are entered by the Business Centers in PYAREDS and the record of copy is kept there.

Top

202-03 Pay Methods - Hourly Pay/Default

202-03a Hourly Pay

• Hourly pay is used for all non-system student pay.
• Pay is issued for the period from the 16th of the prior month through the 15th of the current month and identified as current month pay.
• Payroll data is entered in PYAHOUR during time entry each month.  Refer to the Payroll Calendar for specific dates.
• Refer to Undergraduate Student Earn Codes for the correct Earn Codes and Account Codes to use.

Top

202-04  OPE (Social Security & Retirement) for Non-System Student Employees

Non-system students are fully subject to Social Security and Medicare taxes and ineligible for the student Medicare and Social Security (FICA) exemption. Non-system students also become retirement eligible after working for 6 months and at least 600 hrs in a calendar year. 

Top

202-05  Accounting for Labor Charges

Labor is charged to specific indexes and account codes.  Use of activity codes is the choice of the department.

Top

202-05a  Index & Account Code

• Must be an open and valid index owned by the employing department.
• This index should remain open through the last day of the month pay is issued to the employee. Otherwise, it may error out when posting to finance.
• Refer to Undergraduate Student Earn Codes for account code information.

Top

Additional Information

The following chart provides a summary of data by student employment type.

Student Employment
Category	Paid Hourly	Work Study	Default Hours	Non-System
Position	C50XXX	C50XXX	C50XXX	C55XXX
Suffix	00	00	55	00
Earn Code	RST	RWS	REG	RST
Account Code	10501	10503	10501	10501
Employee E-Class	XA	XA	XA	XA
Job E-Class	XA	XA	XA	XA
Pay Schedule	Mid-Month	Mid-month	Monthly	Mid-Month

203: Federal College Work Study Program Student Employees

Payroll Policy and Procedure Manual
Section 200: Payment of Student Employees
Effective: 01/01/2001
Revised: 06/05/2012

• Definitions
• Procedure
• 203 Federal College Work Study Program Student Employees
  • 203-01 Work Study Payment Process
  • 203-02 Job and Labor Distribution Forms in OSCAR
  • 203-03 Pay Method is Always Hourly
  • 203-04 Social Security Exemption for Student Employees
  • 203-05 Accounting for Labor Charges
• Additional Information

Definitions

Federal College Work Study Program Student Employees

Students participating in the Federal College Work Study Program and employed by OSU or a participating Off-campus Agency. 

Work Study Limit

Work Study students are limited to working not more than 20 hours per week during enrollment. Work Study students will be allowed to work up to 40 hours per week during vacation periods. (Winter, Spring, and Summer vacations).

Top

Procedure

203: Federal College Work Study Program Student Employees

203-01 Payment Process

• Student must have a Work Study referral authorization from Financial Aid on file before they can be paid.  This form specifies the rate of pay and total amount the student can earn under this authorization.
• After logging in on the Oregon State Central Administrative Resources (OSCAR) website, complete the
• Business Center Tasks for hiring student employees.   Once submitted this will generate the appropriate action via EPAF (Electronic Personnel Action Form).
• Enter monthly timecard data in PYAHOUR.   Any earnings that exceed the authorization limit must be paid as system student wages.
• Archive a copy of the time sheet as specified by Archive Law.  Department/Business Center copy is the record copy.  See the Archives website for retention period. 

Top

203-02 Job and Labor Distribution Forms

• The Job Form authorizes the initial appointment or reports changes to the appointment, including termination It is created by the OSCAR task via the EPAF process.
• Use the Labor Distribution Form to report changes to prior, current month, or future labor distributions.
• To access this task, log into OSCAR, click on "Payroll Changes" and click on "Job Labor Distribution Change" (excel format). The form may also be found in the Downloadable Forms.
• Labor Distribution forms of Work Study are sent directly to the Payroll Office for data entry.

Top

203-03 Pay Method is Always Hourly

• Hourly pay is used for all Work Study students.
• Pay is issued for the period from the 16th of the prior month through the 15th of the current month and identified as current month pay.
• Hours worked are entered in PYAHOUR during time entry each month. Refer to the Payroll Calendar for specific dates.
• Refer to Student Earn Code Definitions for the correct Earn Codes and Account Codes to use.

203-04 Social Security Exemption for Student Employees

Student employees, enrolled in an Oregon University System (OUS) school at least half-time, are exempt from both Social Security and Medicare withholding tax, based on Federal regulations. For federal tax purposes ONLY, half-time enrollment is defined as:

• Undergraduate Students ……6 credit hours per term
• Graduate Students …………..5 credit hours per term

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203-05  Accounting for Labor Charges

Labor is charged to specific indexes and account codes. Use of activity codes is the choice of the department.

203-05a Index

• Work Study labor expenses are charged 25% to the department index, and 75% to a work study index. (Note: these percentages are subject to change on an annual basis.
• Department index must be an open index owned by the employing department.
• Department index must remain open through the last day of the month payment is received by the employee.
• The Work Study index is based on the Program code of the departmental index.  See the Choosing a Work Study Index webpage on the Business Affairs website.

203-05b Account Code

Refer to Student Earn Code Definitions for account code information.

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Additional Information

The following chart provides a summary of data by student employment type.

Student Employment
Category	Hourly Paid	Work Study	Default Hours	Non-System
Position	C50XXX	C50XXX	C50XXX	C55XXX
Suffix	00	00	55	00
Earn Code	RST	RWS	REG	RST
Account Code	10501	10503	10501	10501
Employee E-Class	XA	XA	XA	XA
Job E-Class	XA	XA	XA	XA
Pay Schedule	Mid-Month	Mid-month	Monthly	Mid-Month

301 Graduate Assistant Payments

Payroll Policy and Procedure Manual
Section 300: Payment of Graduate Student Employees
Effective: 01/01/2001
Revised: 12/27/2011

• 301-01 Payment Process
• 301-02 Job and Labor Distribution Forms
• 301-03 Pay Method - Default / Unit Pay
• 301-04 Social Security Exemption for Student Employees
• 301-05 Accounting for Labor Charges

 

To be eligible for a Graduate Assistantship appointment, students must meet specific eligibility requirements established by the Graduate School and monitored by the Office of Human Resources.  See OSU Graduate Assistantships on the Graduate School website for additional information.

Graduate assistant students may also work as student employees during summer session and the academic year in addition to their Graduate Assistantship.  If a graduate assistant on less than .49 FTE takes on extra duties, the total assistantship plus salary or hourly pay from any location within the Oregon University System shall not exceed the equivalent of .49 FTE for any term.  Doing so jeopardizes the student’s assistantship eligibility.

301a Other Specialized Graduate Employee Types

Clinical Fellows are found only in the Vet Med and Pharmacy Schools.  See the Health and Science Business Center for more information.

Postdoctoral Scholars are employed by all Business Centers.  Contact the Graduate School for any policy issues.

301-01 Payment Process

After logging in on the Oregon State Central Administrative Resources (OSCAR) website, scroll down to Recruit/Appoint, click on "Appoint - Graduate Assistant" (or Postdoctoral Scholar as appropriate) and complete the appropriate online tasks.

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301-02  Job and Labor Distribution Forms

301-02a  Job Form

• The Job Form is used to authorize pay for initial appointments, report changes of appointment %, and to report changes in contract length during the fiscal year.
• To obtain this form, log onto the Oregon State Central Administrative Resources OSCAR website, scroll down to Recruit/Appoint, click on "Appoint - Graduate Assistant" (or Postdoctoral Scholar and complete the appropriate online tasks.
• Job forms should be routed as normal within the Business Centers.

301-02b Labor Distribution Form

• The Labor Distribution Form is used to report changes to prior, current, or future distributions
• To obtain this form, go to OSCAR, scroll down to "Payroll Changes," scroll to and click on "Job Labor Distribution Change" (excel format).
• Labor Distribution forms should be entered and archived by Business Center personnel.

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301-03 Pay Method - Default/Unit Pay

301-03a  Default Pay

Pay is issued for the period from the 1st of the month through the end of the month.  Refer to Graduate Student Earn Codes for the correct Earn Codes and Account Codes to use.

301-03b  Unit Based Pay

For Fall, Winter and Spring only, eligible Graduate Assistants are granted a Graduate Salary Adjustment as determined per contract.  This is administered by the Payroll Office.  

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301-04  Social Security Exemption for Student Employees

Student employees, enrolled in an Oregon University System (OUS) school at least half-time, are exempt from both Social Security and Medicare withholding tax, (FICA) based on Federal regulations.  Half-time enrollment is defined as:

• Undergraduate Students – 6 credit hours per term
• Graduate Students – 5 credit hours per term

Generally, Clinical Fellows and Postdoctoral Scholars are full time employees and ineligible for the student FICA exemption.

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301-05  Accounting for Labor Charges

Labor is charged to specific indexes and account codes.  Use of activity codes is the choice of the department.

301-05a  Index  

• Department/Grant index must be an open index owned by the employing department.
• Department/grant index must remain open through the last day of the month payment is received by the employee.
• Redistributions of payroll charges should also include redistributions of tuition remissions.

301-05b  Account Code

Refer to Graduate Student Earn Codes for account code information.  

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302 Distribution of Tuition Remission Charges to Pay Indexes

Payroll Policy and Procedure Manual
Section 300: Payment of Graduate Student Employees
Effective: 01/01/2001
Revised: 12/27/2011

• 302-01 Graduate School Requirements to receive Tuition Remission
• 302-02 Student Accounting Tuition Remission Process
• 302-03 Payroll Process for Distributing Tuition Remission

Eligibility requirements for tuition remissions are established by the Provost's Tuition Remission Policy and by the collective bargaining agreement between OSU, OUS and the Coalition of Graduate Employees (CGE).  See the Graduate School web site for additional information.  Student accounting processes tuition remissions and charges the expense to a clearing fund.  It is Payroll’s responsibility to distribute those charges from the clearing fund to the appropriate department and/or grant funds.

302-01  Eligibility Requirements to Receive Tuition Remission

• Be a regularly admitted, conditionally admitted, or provisionally admitted graduate degree-seeking student at Oregon State University.
• Enrollment in a minimum of 12 credit hours each term of the appointment during the academic year, 9 credit hours during summer session (see Graduate School website for additional information). Graduate assistants who are members of the Coalition of Graduate Employees, American Federation of Teachers, Local 6069 must enroll for a minimum of 12 graduate credits each term of the appointment during the academic year, and 9 graduate credits during summer session.  Audit registrations and enrollment in OSU Extended Campus and other self-support programs may not be used to satisfy enrollment requirements for graduate assistant salary/stipend, tuition remission, or health and wellness benefits. 
• Assistantship appointment per 13-week term of at least 20% and not more than 49%.
• A graduate assistant on less than .49 FTE may take on extra duties; however, the total stipend plus salary from the Oregon University System shall not exceed the equivalent of .49 FTE for any term.

302-02  Student Accounting Tuition Remission Process

• Graduate Assistant Job forms are completed by Business Center or employing department.
• Job forms are reviewed and approved by Business Ctr HR, then forwarded to BC Payroll.
• BC Payroll processes Job forms and completes data entry in Banner.
• Student Accounting runs a process that verifies the student’s enrollment and posts the tuition remission to the student’s account.  This process charges the cost of the tuition remission to a clearing fund.

302-03 Payroll Process for Distributing Tuition Remission

• Set up position C69999 with a job suffix of FR for the Graduate.
• Process a non-cash earn code, “AGF” that allows an employer deduction to process.  This deduction credits the clearing fund and debits the fund used to issue pay.
• If pay index is not prohibited from paying the tuition remission, that index is charged, using account code 10951.
• If the pay index is prohibited from paying the tuition remission, a cost share index is charged, using account code 10952.

303 Graduate Health Plans

Payroll Policy and Procedure Manual
Section 300: Payment of Graduate Student Employees
Effective: 01/01/2001
Revised: 12/27/2011

 

Beginning Fall 2004, graduate assistants with at least 0.2 FTE are required to enroll in the mandatory health insurance plan, unless they can properly secure a waiver. The health insurance plan is administered by OSU Student Health Services.  For more information, please see the Student Health Services website for Graduate Assistance Insurance.

Additional Information

• Pharmacy Interns, Residents, and Trainees, DVM Clinicians and Postdoctoral Scholars while not considered graduate students or graduate assistants, are eligible for health insurance administered through OSU Student Health Services.
• Graduate students are prohibited from holding faculty rank (OAR 580-20-005).  Individuals seeking exception to this rule should review the Graduate School web site.

401: Unclassified Appointment

Payroll Policy and Procedure Manual
Section 400: Payment of Unclassified Employees
Effective: 01/01/2001
Revised: 09/11/2012

• 401 Unclassified Appointment
• 401-01 Job and Labor Distribution Tasks
• 401-02 Pay Methods - Default / Hourly Pay
• 401-03 Accounting for Labor Charges

Background Information

Unclassified salary is paid to regular fixed-term, tenure track, or tenured faculty members who have been hired to meet ongoing university missions of teaching, research, extension, and service. 

Unclassified positions include professorial, research, and instructor positions as well as unclassified administrative appointments.  For a complete list and definitions see the Academic Appointment Guidelines on the Human Resources website.  

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Procedure

401: Unclassified Appointment

401-01 Job and Labor Distribution Tasks

401-01a New Hire / Job Change Tasks

• Use the Job Tasks menu in the Oregon State Central Administrative Resources (OSCAR) website to authorize pay for initial appointments, report changes of appointment %, and to report changes in contract length during the fiscal year.
• To obtain this form,  After logging in (OSCAR) website, go to Business Center Tasks and complete the appropriate online tasks.
• Each Business Center creates, routes and approves the Job Tasks via EPAF processing.

401-01b Labor DistributionTask

• Use the Labor Distribution Task to report changes to prior, current, or future distributions.
• To access this task, log onto OSCAR, click on "Online Tasks" - "Payroll Changes" and click on "Job Labor Distribution Change form" (excel format).  It is also found in the Downloadable Forms.
• Each Business Center enters their own Labor Distribution tasks/forms.   Only redistributions crossing fiscal years or redistributions on grants going back more than 3 months need to be approved by the Office of Post Award Administration (OPAA).;

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401-02 Pay Methods - Default/Hourly Pay

401-02a  Default Pay

• Default pay is used for all regular academic appointments, ie. Salaried unclassified employees.
• Pay issued covers the period from the first of the month through the end of the month.

401-02b Hourly Pay

• Hourly pay is used for additional other academic pay, academic Sea Pay differential, overtime for any overtime-eligible employees and vacation payouts.
• Hourly pay is used for overtime on any overtime-eligible employees, academic sea pay differential and other academic pay. and in processing vacation payout's.
• Payroll data is entered in PYAHOUR during time entry each month.  Refer to the Payroll Calendar for specific dates.
• Refer to Unclassified/Faculty Earn Codes for the correct Earn Codes and Account Codes to use.

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401-03  Accounting for Labor Charges

Labor is charged to specific indexes and account codes.  Use of activity codes is generally at the discretion the department.

401-03a  Index & Account Code

• Must be an open and valid index owned by the employing department.
• The index should must remain open through the last day of the month payment issued to the employee.  Otherwise it may error out when posted to finance.
• Refer to Unclassified/Faculty Earn Codes for account code information.

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Additional Information

See PAY-Ex1: Unclassified Employee Information Matrix for additional information.

402: Academic Wage Appointment

403: Summer Session Appointment

404: Summer Academic Pay

405: Stipend

406: Overload

 

407: Sabbatical

Payroll Policy and Procedure Manual
Section 400: Payment of Unclassified Employees
Effective: 01/01/2001
Revised: 01/28/2011

• 407 Sabbatical
• 407-01 Payment Process
• 407-02 Leave and Labor Distribution Forms
• 407-03 Pay Methods
• 407-04 Social Security Exemption
• 407-05 Accounting for Labor Charges 

407 Sabbatical

Sabbaticals are intended to assist the University in improvement of its instruction, research, and service missions. Application forms may be obtained from Employee Records & Information, Office of Human Resources. The Sabbatical Leave Policy and Procedures are located on the Human Resources website (http://oregonstate.edu/admin/hr/).

Authorized employees may travel while on sabbatical leave for official university business.  Reimbursement for expenses incurred during sabbatical or other types of leave are warranted only in exceptional circumstances.  These costs must be pre-approved by the department head before the leave is taken.  A Travel Reimbursement Request form will be used to request a reimbursement for out-of-pocket expenses.  Prior approval from the Office of Post Award Administration is required for sabbatical travel charged to grant funds.  Refer to the OSU Grant, Contract & Gift Accounting Manual, GCG 209-01A Sabbatical Leave for additional information.

407-01 Payment Process

Please complete the Sabbatical Information and Labor Distribution sections of the Leave form with the assistance of your Business Center.

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407-02 Leave and Labor Distribution Forms

The Leave form is used both to put the primary position/suffix on leave-without-pay status and to establish pay on the position using a sabbatical suffix.

The Labor Distribution Form is used to report changes to prior, current, or future distributions. To obtain this form, log onto OSCAR, click on "Payroll Changes" and then scroll to "Job Labor Distribution Change".

Labor Distribution forms are handled within the Business Centers.  If the labor distribution crosses a fiscal year, it should be forwarded directly to the Office of Post Award Administration (OPAA) for approval.

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407-03 Pay Methods

Default Pay is used for all monthly stipend payments. Pay is issued for the period from the first of the month through the end of the month.

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407-04 Social Security Exemption

All employees are subject to Social Security and Medicare withholding unless they qualify for a non-resident alien exemption.

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407-05 Accounting for Labor Charges

Labor is charged to specific indexes and account codes.  Use of activity codes is the choice of the unit. The index must be open through the last day of the month in which payment is issued to the employee and the index must be owned by the employing unit.

Refer to Unclassified/Faculty Earn Codes for account code information.

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Additional Information

See PAY-Ex1: Unclassified Appointment Information Matrix.

501: Classified Pay

502: Temporary Pay

601 Early Release of Pay

Payroll Policy and Procedure Manual
Section 600: Special Payment Situations
Effective: 01/01/2001
Revised: 12/27/2011

 

Employees who are not scheduled to work on the regular payday may receive their paychecks one day prior to the regular payday, if in fact there is a check for them.   This service is redundant to direct depositors.

601-01  Requirements

• Contact the Central Payroll Office a minimum of two days before payday to arrange for an early release.  A Request for Early Release of Payroll Check form will be prepared and approved or disapproved by Payroll.
• The day before payday, the employee must come to the Payroll window if the request has been approved.  The employee must sign the form at the payroll window before receiving the check either:
  • at the payroll window, if the employee has the payroll window delivery, or
  • if the employee does not have the payroll window delivery, the employee must take the approved request form to Printing & Mailing Services to pick up the check.
• The check must be picked up before noon; otherwise it may be unavailable for early release.
• Despite the early release to the employee, the check cannot be cashed or deposited to his/her bank account until payday. 
• Early Release forms are completed only by Central Payroll.

602: Payroll Draws

Payroll Policy and Procedure Manual
Section 600: Special Payment Situations
Effective: 01/01/2001
Revised: 12/27/2011

An employee may request a payroll draw for up to 60 percent of gross wages earned but not yet paid.  An hourly student employee (XA) may request up to 75 percent of gross wages earned.  All employment categories are eligible to receive this privilege; however, pay authorization must be on file in the Payroll Office before a draw can be issued.  Pay draws will be deducted from the employee’s next check. There are two types of payroll draws:

• Late Pay Draw
• Emergency Pay Draw on Current Pay

 

• 602-01 Late Pay Draw
• 602-02 Emergency Draw on Current Pay
• 602-03 Issuing Pay Draws
• 602-04 Repayment

 

602-01  Late Pay Draw

• A draw may be taken against pay that is due but not issued on the regular payday.  This is most common in the case of new employees whose paperwork did not go through the system in time to meet the first regular payday.
• The employee must be on the Payroll system, or paperwork must be on file in Nolij, before the draw can be issued.
• The Business Center or department must complete the Payroll Disbursement Request and their portion of the Payroll Emergency Draw Form.  The employee and their supervisor must also complete portions of the Draw form.  Both of these forms are available in OSCAR’s downloaded forms section.

 

602-02 Emergency Draw on Current Pay

• An employee may request an emergency payroll draw against their current month’s earnings to date.  This type of draw is for emergency situations only.  An emergency situation shall be defined as an unusual, unforeseen event or condition that requires immediate financial attention by the employee.
• Emergencies include, but are not limited to the following circumstances:
  
  • Accident or illness
  • Automobile accident (loss of vehicle use)
  • Death in the family
  • Destruction of or major damage to home
  • Major vehicle repairs
  • Moving - due to transfer or promotion
  • Theft of funds
  • New employee lack of funds (maximum – one draw)
• The employee must complete and submit a Request for Emergency Payroll Draw form to their Business Center.  The Business Center completes their portion of the form and a Disbursement Request form.  The Payroll Draw form must be signed by the employees supervisor who must attest whether the employee has fiscal duties or not and then must be approved in Central Payroll.

Employees may request no more than three (3) Emergency Draws during a rolling twelve-month period.  Abuse of this privilege or requests above the limit of three may be denied.

 

602-03  Issuing Pay Draws

• Pay draws are disbursed at the Payroll window (number 18) in the Kerr Administration Building
• Approved requests that are received in Payroll by 4:00 p.m. will be processed and a check ready for pick up at noon the following workday.

 

602-04  Repayment

• The draw amount will be deducted from the employee’s next paycheck.
• The draw will be identified on the earnings statement or pay stub as a “draw recovery.”

  NOTE: The draw does not replace the regular paycheck the employee should receive.  The employee’s time must still be entered into time entry so the draw can be recovered as a deduction.

• If a draw request is made after payroll processes have advanced beyond deduction entry time, a personal, post-dated check will be required from the employee as repayment for the draw.  The personal check will be held until Payday and then and deposited.

603: Late Pay

Payroll Policy and Procedure Manual
Section 600: Special Payment Situations
Effective: 01/01/2001
Revised: 9/11/2012

• 603-01 Base Pay
• 603-02 Other Late Pay
• 603-03 Processing Late Pay
• 603-04 Request For Employment Payment

If paperwork is not processed in a manner timely enough to permit payment when due, late pay will be processed as follows:

603-01  Base Pay

• Default Pay: Base pay (including stipends) for the following E-classes is paid as default (forecast) pay: CA, CB, UA, UB, UC, UD, UE, UF, UG, UH, UV, UX, UY, XB, XA (monthly).  When paperwork is received for these employees, payroll staff will process any prior month's pay from the job forms.  Do not enter prior month’s salary in PYAHOUR.
• Hourly Base Pay: Pay for the following E-classes is hourly: CD, CE, UT, UW, TS, and XA (hourly). When paperwork is late for these employees, it should be accompanied by a Request for Employee Payment to process their base pay. The Request for Employee Payment is located on the Oregon State Central Administrative Resource (OSCAR) website. 

603-02  Other Late Pay

Late pays for overtime, shift differential, etc. should be entered on the next regular pay run (PYAHOUR).

603-03  Processing Late Pay

Late pays are processed as part of weekly manual runs.  Manual checks are processed and available:

• each Tuesday and Friday,
• on payday, and
• on the first working day after payday

Manual runs only generate checks, so a direct depositors will receive a check whenever paid via a manual run. Business Center personnel will be notified when manual checks are ready for pickup at Central Payroll. Only authorized payroll personnel can pick up manual checks. Employees may not pick up manual checks themselves at the payroll window. When the authorized payroll personnel pick up the manual checks, they will sign for the receipt of the checks. Manual checks are not sent via campus mail or the U.S. mail.

603-04  Request For Employee Pay

• Complete an Employee Pay Request on OSCAR and submit it directly to Payroll Office to request payment due for periods earlier than the last month or other situations approved by Central Payroll.
• Checks processed on the same schedule as processing late pay (see PAY 603-03: Processing Late Pay).

604: Final Pay

Payroll Policy and Procedure Manual
Section 600: Special Payment Situations
Effective: 01/01/2001
Revised: 12/27/2011

• Purpose
• Background Information
• Policy
• Procedure
• Additional Information

 

Purpose

To comply with Oregon Revised Statute 652.140.

Background Information

Oregon law requires that all earned wages be paid to employees who are separating from employment within specific time periods.  Which time period applies depends on how the separation of employment occurs and if a collective bargaining agreement is involved.

Policy

All wages earned will be paid to employees whose employment is ending according to the schedule shown below.  This includes student employees whose employment has ended and have left OSU.

Payroll will issue a special check for a terminating employee’s final pay.  The check will be made available in accordance with the provisions of Oregon law:

• Employee quits with less than 48 hours notice
  Payment is due in 5 days, exclusive of weekends and holidays.
• Employee gives 48 hours notice
  Payment is due on the final work day.
• Employee is discharged
  Payment is due immediately.
• Layoff
  Payment may be made on the next regular payroll.

Procedure

Request for Final Pay

Responsible Party

Action

Business Ctr /Dept

Complete a Termination Pay Request (Dept 003) to report a termination.  After logging onto the Oregon State Central Administrative Resources (OSCAR) website, click on "Online Tasks" - "Payroll Changes" scroll to "Request Payment" - "Termination Pay" and complete the form.  Report all pay due (include default pay, prorate as needed and any leave pay due) Be sure to include all specified attachments. Route the form directly to Central Payroll. Prepare other paperwork for employment termination and route as usual. The Business Center is responsible for terminating the employees job(s). Deliver the Termination Pay Request form to Central Payroll a minimum of one day before the check is required.  To expedite the process, you may fax requests to Payroll at (541) 737-9490.  Follow up by delivering or mailing the properly signed and completed original form to Payroll with a notation, "previously faxed."

 

Delivery of the Final Check

• Direct deposit is not available for the final check.
• Termination checks must be picked up at Central Payroll.  Business Center personnel will be asked to sign for receipt of check.

Additional Information

Bureau of Labor and Industries (BOLI) website.

605: Payment of Deceased Employee's Wages

606: Lost, Stolen or Destroyed Check

701: Payroll Errors

Payroll Policy and Procedure Manual
Section 700: Payroll Corrections/Adjustments
Effective: 01/01/2001
Revised: 5/7/2012

• 701 Payroll Errors
• 701-01 Overpayments and Collections
• 701-02 Underpayments/No Payments
• 701-03 Other Errors

 

701 Payroll Errors

Payroll errors may be due to incorrect data, late paperwork, or input errors. Employing departments should advise their employees to report paycheck errors promptly. An examination of the following forms will help ensure that employee wages are being charged appropriately:

• HRIS Data Warehouse reports
• Employee Earnings Statement
• Financial Reports
• HRIS BC Payroll Screens 
• Nolij Documents

701-01 Overpayments and Collections

701-01a  Reporting Overpayments

• All overpayments must be reported by completing the Overpayment Notice (PAYROLL/DEPT005/5-25-2011))
• After logging onto the Oregon State Central Administrative Resources (OSCAR) website, click on "Online Tasks" - "Payroll Changes" scroll to "Miscellaneous" - "Overpayment Notice" and complete the form. It is also available in the downloadable forms.
• The completed notice is sent directly to Central Payroll.  Depending on the Business Center this may be done by either BC HR or Payroll staff.
• Job changes are handled within the Business Centers, but any delays may prevent timely processing of overpayments. Therefore it is recommended that BC HR and Payroll staff communicate directly on these actions.
• The Job form is required to confirm the overpayment for employees on Default Pay.

701-01b Collection Action

An overpayment notice is sent to the employee.  If the employee is still working for OSU and has regularly scheduled pay they may authorize Central Payroll to deduct it from future pay or they can pay it back directly. If the employee is no longer working at OSU, a letter will be sent requesting repayment. If Payroll is unsuccessful recouping the overpayment,  this may be sent to Collections who will charge a collection fee and monthly interest.

Note: Overpayments to classified employees will be collected in accordance with SEIU contract language.

701-02  Underpayments/No Payments

Employees should notify their Business Center if this occurs.  If a pay request was submitted by the Business Center and the employee is still underpaid or received no pay, the Business Center should notify Central Payroll. 

701-03  Other Errors

Business Centers should instruct employees to notify them immediately if an error has been made in an employee’s name, Social Security number, address, pay delivery, authorized deductions, tax withholdings, etc.  If it’s a correction outside of the Business Center’s ability to make, contact Central Payroll to determine appropriate action.

702: Adjustments

Payroll Policy and Procedure Manual
Section 700: Payroll Corrections/Adjustments
Effective: 01/01/2001
Revised: 08/31/2007

• 702 Adjustments
• 702-01 Redistribution

 

703: Leave Without Pay

Payroll Policy and Procedure Manual
Section 700: Payroll Corrections/Adjustments
Effective: 01/01/2001
Revised: 12/27/2011

• 703-01 Payroll Notification
• 703-02 Processing Leave-Without-Pay Deductions

 

703-01 Payroll Notification

• Leave without pay must be reported on the monthly OSU Time Sheet by logging onto OSCAR, click on "Online Tasks" - "Payroll Changes" scroll to "Time Reporting" and complete form.  The leave without pay will be prorated and deducted from the employee's pay the following month. If, for any reason, it is anticipated that an employee will have insufficient pay or in low pay status in the following month to cover LWOP, the  LWOP must be reported to Payroll in the current month.  This can be done by submitting the Classified/Unclassified LWOP Form (OSCAR) or submitting an estimated time sheet.  These documents must be received in Payroll no later than two days following time entry.
• If an employee is going to be on leave for an extended length of time, his/her position should be put on leave status.  Log onto OSCAR, click on "Online Tasks" - "Payroll Changes" scroll to "Employee Leave" - Place Job on Leave Without Pay and complete form.  This form must be completed before the leave begins.  If the return date is unknown, it may be left blank.

Human Resources will forward a copy of any report showing leave without pay to the Payroll Office. The leave without pay is deducted from the employee’s paycheck.

 

703-02 Processing Leave-Without-Pay Deductions

If the Leave Without Pay Notice is received by the deadline, the leave without pay will be deducted from the employees pay the month following the month in which it is taken.

Procedures for calculating the leave-without-pay amounts are available on the Paying Extra Hours To Part-Time Classified Employees webpage and How Payroll Calculates Leave-Without-Pay webpage, which are located on the Business Affairs website.

A Job Form changing an employee to hourly pay should be completed if an employee continues to have leave without pay every month.

704: SAIF Loss-Time Payments

Payroll Policy and Procedure Manual
Section 700: Payroll Corrections/Adjustments
Effective: 01/01/2001
Revised: 12/27/2011

• Purpose
• Policy
• Procedure

Purpose

To avoid double payment of paid leave taken by an employee.

Policy

Employees receiving loss-time payments from SAIF for leave time covered by paid leave will be required to repay an amount of salary equal to the amount SAIF paid to the employee.  The sum an employee is required to repay will be substantially reduced if the time loss is properly reported on the time sheet.

Procedure

SAIF Loss-Time Payments

More detailed information and guidance is available online at http://oregonstate.edu/admin/hr/benefits/wc.

Responsible Party	Action
SAIF	Notifies the OSU Benefits Office of all loss-time payments and the period for which the payment was issued.
Business Ctr /Dept	Contacts the Benefits Office to determine the effective date of the time-loss claim, which is the date SAIF starts time-loss benefits. If the employee has leave available to cover the absence, the time and attendance record should show 2/3 of the time off as leave without pay and 1/3 of the time off as paid leave. A notation stating the effective date of the SAIF claim should be included in the remarks section of the time sheet. Example: An eight-hour day would be shown as 5.34 hrs. LWOP and 2.66 hrs. sick leave. If a claim is questioned by SAIF and the effective date of the claim is not established until after a time sheet has been submitted, a corrected time sheet should be completed. Estimated current month timesheets may be needed for salary employees as well.
Payroll Office	Enters the prorated leave without pay for salary, or correct hours owed for hourly based on the 1/3 leave and 2/3 leave without pay for the times SAIF has paid the employee.  Computes the amount of the overpayment, if any, based on time and attendance information.
Business Ctr /Dept	If the employee is overpaid because he/she was paid more than 1/3 of the base salary by the University during the time-loss period, paid leave used should be restored. The Department should work with their Human Resources contact to restore the employee's leave.

801 Voluntary Deductions

Payroll Policy and Procedure Manual
Section 800: Payroll Deductions - Employee Paid
Effective: 01/01/2001
Revised: 08/17/2011

Voluntary deductions are those deductions not required by law, but authorized by the employee.  State statues dictate what the university may and may not deduct from employee paychecks.  Among the deductions that are permitted:

• Benefit Package deductions including Life & Disability, Dental & Medical Insurance. These are administered through the OSU Employee Benefits Office.
• Certain tax deferred investments and retirements.
• Philanthropic deductions such as the Food Drive or Charitable Fund Drive (United Way).   
• Other voluntary items include union dues & related deductions, staff parking permits etc.

Many, but not all, voluntary deductions require annual re-authorization, depending on the specific deduction involved.   

802 Mandatory Deductions

Payroll Policy and Procedure Manual
Section 800: Payroll Deductions - Employee Paid
Effective: 01/01/2001
Revised: 08/17/2011

Mandatory deductions are those required by State and Federal laws.  Without these specific deductions in place, an employee cannot be paid in Banner.   These deductions include:

• State and Federal income tax
• Social Security and Medicare tax
• Workers' Compensation Insurance and State Accident Insurance Fund
• Transit Tax
• Unemployment tax

802-01 State and Federal Income Tax Withholding

Deductions are determined by the filing status provided by the employee on his/her W-4. If no W-4 is filed, per IRS policy, an employee's withholding is defaulted to a status of  Single with Zero exemptions. Tax withholding is determined by graduated tax tables provided by State and Federal governments.

Ø  Current annual assessment rates for the following can be found on the Banner Fringe Budgeting Rule Form NTRFRNG under the TSS, TME, TSF, TWC and TT1 Benefit codes. These deductions are system calculated and all are OPE related deductions.  See 1000 Other Payroll Expenses (OPE)

802-02 Social Security and Medicare Tax

Deductions for Social Security and Medicare tax are based on certain percentage rates set by the Federal government. Annual maximum withholding is set by the Social Security Administration for Social Security subject wages.  Medicare Tax has no income limit. Once the maximum amount has been withheld, no further Social Security deduction is taken until the next tax year beginning in January.  The percentages for Social Security and Medicare taxes may vary from year to year. Both the rates and the maximum amounts are on the online Fact Sheet available at the Social Security Website.

Students enrolled at least halftime (6 hours for undergraduates and 5 hours for graduates) in an OUS school are exempt from Social Security and Medicare tax on OSU wages while they are enrolled at the university; however, during any term the student employee is not enrolled at least halftime, typically summer break, these taxes will be deducted from their paycheck.  Non-system students (enrolled or not at non-OUS institutions) are fully subject to Social Security and Medicare Taxes.

802-03 SAIF & Workers' Compensation

SAIF (State Accident Insurance Fund) is an insurance premium charged to employers to cover injured worker claims. It provides insurance to covered employers against liability for employee injury or illness arising out of or in the course of employment.

Workers Compensation assessment is based on the number of hours worked.  Employees and employers alike are required to pay an assessment by payroll deduction for each full or partial hour of work. Overtime hours are included in the number of hours reported.  This provides the funding of programs that assist injured workers.

802-04 Transit Tax

Mass transit district taxes are charged to employers on any employee physically working in an area with a mass transit system.   The two largest in the state are Tri-Met (Portland Metro Area) and LTD (Lane County)  but there are several other districts including Klamath Basin, Clatsop County, Hood River, Lincoln County, South Clackamas, Tillamook County, Rouge Valley and Salem.   While this deduction’s setup is required on all employees, departments are charged only for those whose work locations are within the boundaries of a given transit district.

802-05 Unemployment Tax

Unemployment tax is a mandatory tax requirement for all but student positions.  Students are eligible for student positions based upon their student status and as such, unemployment taxes are not paid on their behalf. 

1001 Charges for Other Payroll Expenses (OPE)

Payroll Policy and Procedure Manual
Section 1000: Other Payroll Expenses (OPE)
Effective: 01/01/2001
Revised: 06/04/2012

All employing units must pay Other Payroll Expenses (OPE).  OPE is the cost to the department of an employee in addition to the gross pay.  OPE is charged proportionately to each index an employee is paid from.  OPE costs can include any of the following items:

• Employment Relations Board (Classified employees only)
• Health Insurance
• Medicare
• Retirements
• State Accident Insurance Fund
• Social Security
• Mass Transit Taxing Districts
• Unemployment Insurance
• Workers Compensation

Effective 7/01/2007,  OPE account codes (109xx) were further defined by type of pay and category of OPE: Medical, Retirement, Other.  The Other category encompasses employer paid taxes such as FICA, SAIF and Workers Compensation.

• 10964 OPE Uncl Health/Life
• 10967 OPE Uncl Retirement
• 10968 OPE Uncl Other
•  
• 10974 OPE Class Health/Life
• 10977 OPE Class Retirement
• 10978 OPE Class Other
  • Temporary classified employees “Temps” use these account codes also.

• 10987 OPE Student Retirement (for non-system student employees) Note: student does not become eligible until they’ve been employed at least 6 months and work a minimum 600 hrs in a calendar year.
• 10988 OPE Student Other

• 10994 OPE Grad Assist Health/Life
• 10998 OPE Grad Assist Other
  • 10951-10952 Graduate Tuition Remission.   While Tuition Remission is not technically OPE, it is a deduction expense charged to the employing dept.   See PAY 302: Distribution of Tuition Remission Charges to Pay Indexes.

1002 Amounts

Payroll Policy and Procedure Manual
Section 1000: Other Payroll Expenses (OPE)
Effective: 01/01/2001
Revised: 03/09/2012

The amount of OPE paid for each employee is based upon their employment type, gross pay amounts, retirement eligibility, benefits and even job location.  OPE Rates can be found by accessing Banner form NTRFRNG.  OPE estimates can also be calculated via the Budgets OPE Tables calculator.  Certain OPE rates may change as frequently as every quarter, such as Unemployment, but these are typically minor amounts.

1002-01 OPE charges based on percentage of pay:

• Social Security
• Medicare
• Retirement
• SAIF
• Unemployment Insurance

1002-02 OPE at fixed rates:

• Health Insurance – a fixed amount subject to change each year or when the contract is renegotiated as part of a new benefit package.
• Workers Compensation – based on number of hours worked with a cap.  It is a fixed amount at the cap for full-time, salaried employees.
• Employee Relations Board – (Classified employees only) fixed monthly amount.

1003 Redistributions of OPE

Payroll Policy and Procedure Manual
Section 1000: Other Payroll Expenses (OPE)
Effective: 01/01/2001
Revised: 08/17/2011

• When labor charges are re-distributed, OPE will follow the transaction at the current month rates. If an OPE rate has changed between the initial payment and the redistribution, some tiny OPE amounts may be left on the old labor.
• OPE related to Non-cash earnings such as earn code FAN (non-cash awards) can be redistributed by redistributing the amount of that particular earn code.   As an example, the labor distribution form should specify only the earn code (FAN in this example) and should also indicate that the redistribution applies only to the month(s) and year for which the employee received the non-cash award.