700 Payroll Corrections/Adjustments

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

701: Payroll Errors

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

 

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

  • Pay reallocations or labor redistributions must be made using a Labor Distribution form.
  • To obtain this form, log onto OSCAR, click on "Online Tasks" - "Payroll Changes" scroll to "Miscellaneous" - "Labor Distribution form" (excel format).
  • Redistributions must be received in Payroll by the deadline to be reflected in the next accounting period.

OPE charges will redistributed automatically. OPE charges relative to taxable fringe benefits can be redistributed by redistributing the non-cash earnings. Non-cash fringe benefit earn codes begin with “F”.

Prior fiscal year redistributions will be referred to the Office of Post Award Administration (OPAA) for approval.

702-01  Redistribution

Federal, state and private agency policies and audit guidelines reflect strict standards regarding cost transfers between grant and contract programs. The Office of Management and Budget Circular A-21, which incorporates federal cost accounting standards and federal regulations that govern expenditure of sponsored agreement funds, makes the following statement:

“Any cost allocable to a particular sponsored agreement... may not be shifted to other sponsored agreements in order to meet deficiencies caused by overruns or other fund considerations, to avoid restrictions imposed by law or by terms of the sponsored agreement, or for other reasons of convenience.”

Violation of guidelines set forth in OMB Circular A-21 carries a severe penalty with loss of funds; therefore, Oregon State University must exercise careful stewardship of all funds.  Part of that responsibility is ensuring that payroll cost transfers are processed according to federal guidelines and are applied consistently to all sponsored agreements.  Diligence must be exercised when processing retroactive payroll transfers.  Clear documentation must support such transfers so redistributions are not made for reasons of convenience.   Redistributions are subject to review by the Payroll Office and OPAA.  See also GCG 209-08: Cost Transfers/Redistribution and FIS 801-06: Closing the Books - Payroll for additional redistribution information.

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

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.