December 12, 2018- Fiscal Payroll Reminder
Important Workday Update:
The move to Workday is prompting us to standardize our business processes among the three participating institutions: the University of New Orleans, Southeastern Louisiana University and Louisiana Tech. Two key areas we need to align with the other institutions are our payroll schedules and payroll frequencies. These important changes will only affect the employees who are currently paid on the semi-monthly Academic and Fiscal Payrolls. The Academic payroll conversion occurred this past August.
Non-Academic Non-Classified Employees (FIS):
Beginning December 22, 2018, all non-academic, non-classified employees currently paid on the Fiscal payroll (FIS) will transition to the biweekly payroll. Currently on the Fiscal payroll, employee's gross pay is calculated by dividing their annual salary by 24. After the transition to the Biweekly payroll, their annual salary will be divided by 26. While this transition will result in a lower net pay per pay period by approx. 7.7%, Fiscal employees will receive two additional pay checks during the course of the year. The first biweekly pay date for the fiscal employees is Friday January 11th, 2019 with subsequent pay dates occurring every other Friday thereafter. The new pay period begin, end and pay dates for the upcoming calendar year are defined below.
|Pay Period Begin:||Pay Period End:||Pay Date:|
|December 22, 2018||January 4, 2019||January 11, 2019|
|January 5, 2019||January 18, 2019||January 25, 2019|
|January 19, 2019||February 1, 2019||February 8, 2019|
|February 2, 2019||February 15, 2019||February 22, 2019|
|February 16, 2019||March 1, 2019||March 8, 2019|
|March 2, 2019||March 15, 2019||March 22, 2019|
|March 16, 2019||March 29, 2019||April 5, 2019|
|March 30, 2019||April 12, 2019||April 19, 2019|
|April 13, 2019||April 26, 2019||May 3, 2019|
|April 27, 2019||May 10, 2019||May 17, 2019|
|May 11, 2019||May 24, 2019||May 31, 2019|
|May 25, 2019||June 7, 2019||June 14, 2019|
|June 8, 2019||June 21, 2019||June 28, 2019|
|June 22, 2019||July 5, 2019||July 12, 2019|
|July 6, 2019||July 19, 2019||July 26, 2019|
|July 20, 2019||August 2, 2019||August 9, 2019|
|August 3, 2019||August 16, 2019||August 23, 2019|
|August 17, 2019||August 30, 2019||September 6, 2019|
|August 31, 2019||September 13, 2019||September 20, 2019|
|September 14, 2019||September 27, 2019||October 4, 2019|
|September 28, 2019||October 11, 2019||October 18, 2019|
|October 12, 2019||October 25, 2019||November 1, 2019|
|October 26, 2019||November 8, 2019||November 15, 2019|
|November 9, 2019||November 22, 2019||November 29, 2019|
|November 23, 2019||December 6, 2019||December 13, 2019|
|December 7, 2019||December 20, 2019||December 27, 2019|
|December 21, 2019||January 3, 2020||January 10, 2020|
* The last paycheck on the old semi-monthly frequency remains as scheduled on December 31, 2018. The first paycheck on the new biweekly frequency will be on January 11, 2019.
Fiscal Payroll Transition FAQ's:
- When is the change for non-academic, non-classified staff employees from the fiscal Semi-monthly payroll to the biweekly payroll occurring?
The first Fiscal Biweekly pay period will begin on Saturday December 22, 2018 and end on January 4th, 2019. The first pay date for the Fiscal Biweekly payroll will be on January 11th, 2019, with subsequent pay dates being every other Friday thereafter.
- How many paychecks will employees paid on the Fiscal Biweekly payroll receive?
Fiscal Employees with an open-ended appointment (no fixed appointment end date) will receive 26 pay checks during the year. The number of pay checks for Fiscal employees whose appointment is less than a year (Period of Appointments, Graduate Assistants) will vary depending upon the length of their appointment period. In most cases, the number of pay checks will coincide with the number of pay period within the appointment term.
- Will an employee's annual salary change?
No. An employee's annual salary will not change.
- Will the amount of my pay check be different?
While your annual salary will not change, it will be divided over 26 pay periods instead of 24. Because of this, your bi-weekly gross pay will be approximately 7.7% less than your semi-monthly pay. However, keep in mind, there will be two months in which employees will receive a third pay check. When this happens, the third paycheck of the month will be considered a "deduction holiday" and insurance and benefit deductions will not be withheld. However, retirement will always be withheld from all eligible wages earned.
- What months will I receive three pay checks?
All employees paid biweekly will receive a third check during the months of May and November during calendar year 2019.
- How does this conversion to bi-weekly pay frequency benefit me?
Employees will be paid every other Friday. More frequent and consistent payments will help from a financial planning perspective. Employees will no longer need to stretch paychecks over three weekends.
- Will the University notify my financial institution of the pay frequency change?
No, you are personally responsible for notifying your financial institution of any changes in pay dates, and ensuring there are funds in your account to allow for pre-authorized payments and other regular transactions.
- What should I do to prepare?
Review your personal budget and determine how to match your expenses with your new biweekly pay schedule. Request that creditors adjust your automatic withdrawal or bill-pay dates to align with your new pay schedule. Review your current direct deposit accounts and distributions, and make any adjustments you deem necessary.
- How will my tax withholdings be affected by this transition?
FICA taxes, consisting of Medicare and/or Social Security (AKA: Old Age Survivors, and Disability Insurance, OASDI) will continue to be calculated based on the taxable gross and the respective rate (Medicare = 1.45%, OASDI = 6.2%). Federal and State tax calculations will now be based upon biweekly rate tables published by the IRS and Louisiana Department of Revenue. Additional withholding amounts for Federal taxes (line 7 on 2018 form W-4) and/or state taxes (line 8 on Louisiana form L-4) will not change with this transition. Employees who elect to have additional taxes withheld should review their amounts and submit updated tax forms if a change is needed. If you are unsure if a change is needed or have any other tax related questions, please consult with your certified tax preparer, or the IRS at www.irs.gov or by calling 1-800-829-1040.
- How will this transition affect my general and benefit deductions?
On the Semi-monthly payroll all general and benefit deductions were withheld every pay period (24 deductions per year). Transitioning to the Fiscal Biweekly some deduction will be recalculated and withheld over the 26 pay periods, but other deductions will not. Below is a list of the most common deductions, how each is affected by the transition and if the employee can change the deduction amount. If you have questions about a deduction not shown below, please contact the payroll department at email@example.com or (504) 280-6480.