Information Workshop Fall 2012 Bi weekly Pay Conversion.

Information WorkshopFall 2012

Biweekly Pay Conversion

What is biweekly pay? Why, who and when

How will this affect my pay? Preparing for the transition to biweekly pay Transition Assistance Program (TAP) Pay Cycle Calendar Time Reporting Leave Accruals Resources Additional Training for PPS and Time Reporting

Topics

A biweekly pay cycle consists of 10 working days (2 weeks), Sunday through Saturday

Employees receive pay every 2 weeks, on every other Wednesday

Pay includes time worked, leave time used, paid overtime earned, & other “ancillary” pay (shift differential, on-call, etc.)

Leave usage is reported in current pay period 26 paychecks per year

What is biweekly pay?

Biweekly Pay Cycle Sample

Paycheck is issued 11 days after the pay period ends (PPE)

Pay is every other week, NOT twice a (calendar) month

Actual pay dates will vary month to month Most months will have 2 paydays, but some will

have 3

Monthly & Biweekly Comparison

Monthly Pay Cycle Biweekly Pay CyclePay Cycle 1st to last day of the month

Pay day is currentSunday to Saturday, two-week periodPay day is 11 days later

Paychecks per Year

12 26

Paycheck Date

1st of the month Every other Wednesday

Pay for Overtime, Shift, On Call, Etc.

Paid one month after earned, or in a separate check

Paid in biweekly check when earned

Employees in Pay Cycle

Employees who ARE NOT eligible for overtime, shift, on call, etc.

Employees who ARE eligible for overtime, shift, on call, etc. and/or work variable hours

Leave Usage Reported one month in arrears

Reported in the current leave accrual cycle

Standardize payroll cycles across all UC locations as part of UCPath

More efficient and effective time reporting Reduction in manual adjustments Overtime payments will be more timely Vacation and sick leave balances will be current

Why move to biweekly pay?

Non-Exempt Employees Currently monthly-paid employees who are eligible for

overtime, shift, on-call pay Examples: Student Affairs Officer I, Analyst II, CNT II, etc.

Hourly-paid employees who report actual time worked Examples: (Staff) Student Assistant series, Limited

appointments

Transition to biweekly pay for exclusively represented employees is subject to collective bargaining. UC Path web site will provide updated information on the status of this decision pending discussions or negotiations with the exclusive representatives. http://www.pmo.ucsb.edu/projects/biweekly-pay-overview

Who will move to biweekly pay?

Academic Employees Exempt Staff Employees

Currently monthly-paid employees who are NOT eligible for overtime, shift, on-call pay Examples: Student Affairs Officer III, Analyst IV, etc.

Who will remain on monthly pay?

Sunday, January 20, 2013

When will the first biweekly cycle begin?

When will biweekly pay start?Paycheck Date Paycheck Pay Period

January 2, 2013 Last full monthly paycheck

December 1 - 31, 2012 (21 work days)

February 1, 2013 Last partial monthly paycheck

January 1 - 19, 2013 (14 work days)

February 13, 2013

First biweekly check

January 20 - February 2, 2013(10 work days)

Pay will be based on an hourly rate, rather than monthly

Hourly rate calculation Monthly rate divided by 174 (average work

hours/month), OR Annual rate divided by 2088 (total work hours/year) Examples

$3,000.00 per month ÷ 174 = $17.24 per hour $36,000.00 per year ÷ 2088 = $17.24 per hour

How will my pay be calculated?

Payroll deductions will change Percent-based deductions will be deducted from every

paycheck Examples: Taxes, retirement contributions, etc.

Flat-dollar deductions will be split across 2 biweekly paychecks Examples: Insurance premiums, parking, etc.

For months with 3 pay cycles, the 3rd paycheck (paid the following month) will have NO flat-dollar deductions (but will still contain percent-based deductions). This paycheck is referred to as a “benefit holiday” In 2013 there will be 2 benefit holiday paychecks:

April 10 September 11

How will the pay schedule change affect my paycheck?

Review your personal budget and determine your income needs based upon the biweekly pay cycle.

Review and make any changes to automatic payments or deductions you have scheduled. Adjust your automatic withdrawal or bill-pay dates to align with your new pay dates.

Consider adjusting your 403(b) or 457(b) contributions temporarily during the transition period.

Use the paycheck calculator at:www.pmo.ucsb.edu/projects/biweekly-pay-overview

How do I prepare for the transition?

What if after my review I find that I may not be able to

meet my financial obligations during the transition?

Personal Loan Vacation Cash Out

* At this time, non-represented employees (99) who meet the eligibility criteria for the Biweekly Pay Transition Assistance Program may utilize the program.  Participation of exclusively represented employees is subject to collective bargaining.  This information will be updated pending discussions or negotiations with the exclusive representatives of affected employees.

Transition Assistance Program (TAP)*

Any non-exempt employee converting to Biweekly pay cycle Includes probationary and non-probationary Career,

Contract, Limited and Per Diem employees Active Status Appointment of 50% or more On payroll as of November 1, 2012 No known separation date prior to August 18, 2013

Who is eligible for TAP?

Short-term, interest-free personal loan from the University Minimum of $100 Maximum of $1,000 To be included in February 1, 2013 paycheck Repayment in 12 equal installments (thru regular

paychecks) First repayment deduction will be in March 13, 2013

paycheck No pre-payment penalty if paid back earlier If employee separates from University during repayment

period, remaining loan balance is due and payable from final paycheck

Personal Loan

Cash out up to 80 hours of accrued vacation Whole hour increments To be included in February 1, 2013 paycheck No repayment – cash out only

Vacation Cash Out

Applications are available onlinewww.pmo.ucsb.edu/projects/biweekly-pay-overview

Application window Opens November 13, 2012 Closes 4:00 p.m., January 10, 2013

Submit applications to: Edna Arellano in Human Resources

Mail Code 3160 Email [email protected] Phone ext. 4048

How to apply

Key TAP DatesEvent Date

Opening date for requesting Vacation Cash Out and/or Personal Loan

November 13, 2012

Closing date for requesting Vacation Cash Out and/or Personal Loan

January 10, 2013

Vacation Cash Out &/or Personal Loan - Payment

February 1, 2013

First Loan Repayment Deduction (1st of 12 installments)

March 13, 2013

Time reporting will be done in hours A pay period will consist of 2 weeks, Sunday through

Saturday Paper timecards KRONOS electronic timekeeping system

Time Reporting

Transition from table to factor accrual Table: Earn vacation and sick leave in full hours Factor: Earn vacation and sick based on a multiplier

Leave Accrual (vacation, sick leave)

Factor Accrual Chart

Leave Accrual Code

Vacation Table

Accrual Rate

(hours/month)

Vacation Factor Accrual

Rate

Sick Leave Table

Accrual Rate(hours/month)

Sick Leave Factor Accrual

Rate

A, G 10 .057692 8 .046154

B, H 12 .069231 8 .046154

C, J 14 .080769 8 .046154

D, K 16 .092308 8 .046154

E 16 .092308 0 0

F 0 0 8 .046154

Accrual CalculationsTable Hours Earned

per Month

Total Table Hours

Earned for 12 Months

(1 year)

Factor Accrual Rate

Factor Hours Earned for 2

Biweekly Cycles

(≈ 1 “month”)

Total Factor Hours Earned

for 26 Biweekly Cycles

(1 year)

Vacation

10 120 .057692 9.230720 119.999360

12 144 .069231 11.076960 144.001000

14 168 .080769 12.923040 167.999520

16 192 .092308 14.769280 192.000640

Sick Leave

8 96 .046154 7.384640 96.000320

Biweekly Pay Websitewww.pmo.ucsb.edu/projects/biweekly-pay-overview Background and Information Q & A – Questions and Answers News and Updates 2013 Biweekly Pay Calendar Compensation Calculator TAP Information and Applications Project Team Members

D-list Campus Announcements PPS Listserv Notices

Resources

To take place December 2012 and January 2013 Will cover:

Data Change Implementation in PPS Employee DataBase (EDB)

Timekeeping Timecards KRONOS

Time Reporting Leave Accrual and Reporting Moving forward…to UCPath

PPS & Time Reporting Training

Questions?

Coni EdickHuman [email protected]