The policy sets forth high-level Payroll roles and responsibilities for the Chancellor's Office and the Institutions.

Transcription

1 Rles and Respnsibilities - Payrll Sectin: Payrll Number: Title: Rles and Respnsibilities - Payrll POLICY Index.100 POLICY STATEMENT.110 POLICY RATIONALE.120 AUTHORITY.130 APPROVAL AND EFFECTIVE DATE OF POLICY.140 KNOWLEDGE OF THIS POLICY.150 DEFINITIONS.160 HIGH LEVEL ROLES AND RESPONSIBILITIES.690 CONTACT INFORMATION.695 HISTORY APPENDIX.710 TASKS AND RESPONSIBILITIES.995 HISTORY POLICY.100 POLICY STATEMENT The plicy sets frth high-level Payrll rles and respnsibilities fr the Chancellr's Office and the Institutins..110 POLICY RATIONALE OUS seeks t ensure that the high-level rles and respnsibilities f the Chancellr's Office and the Institutins related t Payrll are dcumented, cmmunicated, and clearly understd and applied.

2 .120 AUTHORITY ORS Duties and Pwers f Chancellr ORS Payment f Salaries r Cmpensatin; Payrll; Overpayment OAR Delegatin and Assignment f Respnsibility IMD Finance and Business Affairs Accunting Plicies - Assignment f Respnsibility IMD Finance and Business Affairs Accunting Plicies - Institutinal Respnsibility.130 APPROVAL AND EFFECTIVE DATE OF POLICY Apprved by the Budget and Finance Cmmittee f the Bard n 2/15/02 as part f the Fiscal Accuntability Framewrk Final Reprt. The effective date f the plicy is 3/1/ KNOWLEDGE OF THIS POLICY All Chancellr's Office and institutinal persnnel with payrll and related respnsibilities shuld be knwledgeable f this plicy..150 DEFINITIONS Nne..160 HIGH LEVEL ROLES AND RESPONSIBILITIES 6. CHANCELLOR'S OFFICE High level rles System-wide Payrll and Sftware Management Benefits Administratin (PEBB, Retirement, Tax Deferred Prgrams) Regulatry and Infrmatinal Regulatry Cmpliance High level respnsibilities Respnsible fr System-wide payrll prcesses, develpment f calendar, crdinates aggregate infrmatin, apprves system table changes and baseline sftware mdificatins. Prcesses frms and perfrms administrative functins related t all retirement, health, and tax-deferred savings prgrams. Develps cding and prgramming related t benefit changes. Perfrms centralized scanning and system updates. Mnitrs enrllment, eligibility, and annual limits where apprpriate. Prepares and submits IRS and DOR depsits and frms in cmpliance with reprting requirements. Submits Emplyment and Risk Management reprts. Respnds t external requests fr infrmatin. Prvides expertise related t regulatry issues: Nnresident Aliens, Scial Security, Mving Expenses, and

3 ther Fringe Benefits. Smetimes invlves filings and reprting. (NRA mailing, NRA filings, Frm 5500 benefit infrmatin, discriminatin testing). Year-end Prcessing Aggregates Direct Depsit infrmatin and sends file t State Treasury. Transfers funds in treasury accunts t cver direct depsits and paychecks. Perfrms check recnciliatin functin. Maintains utstanding check files. Vendr Payments Prcesses all payments except thse related t institutinal deductins and enters the crrespnding jurnal vuchers fr fund transfers between the campuses and the Cntrller's Divisin. Prcesses all garnishment ntificatins and payments. Calculates deductin amunts fr 5th site. 7. See Appendix.710 A fr mre specific Chancellr's Office payrll peratinal tasks and respnsibilities. 8. INSTITUTION High level rles High level respnsibilities Payrll Prcessing, Data Institutins create payments t emplyees. Beginning Verificatin, and Payrll with time cllectin and data entry, institutins run Certificatin distributed payrll sftware. At key intervals, data is audited. At the end f the payrll, the results are certified t the CO, pay distributed, and accunting infrmatin fed t the finance system. Perfrms adjustments, manual checks, and redistributins as needed. Benefit and Deductin Management Taxatin/Regulatry Issues Payrll Accunting Versin and Mdificatin Testing Manages institutinal deductins. Shares pen enrllment respnsibilities f frm cding, auditing, input with HR ffices. Mnitrs retirement eligibility. Prvides required frms t emplyees; perfrms "first line respnse" t emplyee inquiries. Obtains, inputs, and maintains W-4 frms, EIC frms, and NRA infrmatin. Inputs and mnitrs changes t Scial Security exempt status fr students. Cllects and inputs taxable fringe benefit infrmatin (tuitin reductins, mving expenses, car allwances, dmestic partners, cash awards/prizes). Recnciles feed f HR data t Finance systems, mnitrs/crrects encumbrances, recnciles all withhlding accunts, reviews OPE expense charges, and makes adjustments when necessary. Tests functinality f new sftware releases and system mdificatins. Entails detailed analysis using test

4 systems and sample ppulatins. 9. See Appendix.710 B fr mre specific Institutinal payrll peratinal tasks and respnsibilities..690 CONTACT INFORMATION Direct questins abut this plicy t the fllwing ffices: Subject General questins frm institutinal persnnel General questins frm institutinal central administratin and Chancellr's Office persnnel Cntact Institutin Office f Business Affairs Chancellr's Office Cntrller's Divisin.695 HISTORY 10/15/03 - Refrmatted 2/15/02 - Apprved Plicy Last Updated: 10/15/03 APPENDIX.710 TASKS AND RESPONSIBILITIES The fllwing tables identify specific Chancellr's Office and Institutin payrll peratinal tasks and respnsibilities. Primary factrs influencing the divisin f duties are: statutry the manner in which the sftware functins distributed architectural mdel implemented 13. CHANCELLOR'S OFFICE Ref Task # Systemwide 1 Descriptin The Cntrller is respnsible fr preparatin f the OUS payrll. Integral t fulfilling this respnsibility is the

5 Payrll Sftware Management External Infrmatinal Federal Tax State Tax Emplyment Divisin PERS & TIAA-CREF Optinal Retirement Plan 9 Garnishments Vendr Payments Inter-institutinal Jurnal Vuchers accmplishment f institutinal distributed prcesses as well as central aggregatin prcesses. The Chancellr's Office will initiate all changes t the "Standards Tables". The Cntrller's Divisin (CD) respnds t requests frm the public, auditrs, DAS, legislatrs, unins, vendrs, and natinal higher educatin assciatins. The CD prepares and submits IRS Frms 941, quarterly reprts, W-2s, W-2c, W-3, 941c, 843, and 6559 in cmpliance with all tax-reprting requirements. The CD prepares and submits Oregn Department f Revenue Frms OQ and WR. The CD submits t the Emplyment Divisin a mnthly reprt f emplyee earnings. The CD cdes enrllments, annually transfers funds frm the PERS trust accunt t TIAA-CREF, and maintains recrds f participatin. The CD receives and transmits enrllment frms; wrks with ORP vendrs; prcesses payments; maintains frfeiture accunts; maintains permanent recrds f emplyee participatin; electins and terminatins; as well as crdinates annual perfrmance reviews and audits f the prgram. The CD will, fr all institutins, respnd t ntices, ntify emplyees, and submit payments accmpanied by required frms. The CD will calculate and enter payrll deductins fr 5 th site instances. T facilitate flexibility in payrll scheduling, OSU, PSU, UO will calculate and enter their wn payrll deductins. The CD will prcess all payments except thse related t the institutinal charitable fund drive. CD prcessed payments will include TDIs, Optinal Retirement Prgram, DVA, PERS, health insurances, Deferred Cmpensatin, DAS, Natinwide, mass transit, OPEU dues, fair share, legal, Wrkers' Cmp, Dependent Care, Uninflex. These payments are accmpanied by hard cpy r tape reprts f the items included. The CD initiates inter-institutinal jurnal vuchers fr selected deductins. 12 Cash Each institutin will have a separate accunt at the State Management Treasury. The CD will perfrm the required transfers. 13 Manage Each institutin will have a unique payrll accunt at the

6 Withhlding Accunts 14 Check Recnciliatin 15 ACH Prcessing Recnciliatin f YTD t Payrll Nn-Resident Alien Cmpliance Crrected W-2s and Assciated Filings 19 W-2s 20 Duplicate W-2s 21 SSA Verificatin 14. INSTITUTIONS State Treasury. The CD will make necessary transfers between accunts at the State Treasurer. The CD recnciles the payrll checking accunt and maintains the utstanding check file. Institutinal Autmated Clearinghuse (ACH) files will be sent t the CD, cnslidated, and sent t the State Treasury. The CD will recncile YTD W-2 data frm the aggregate payrll warehuse t the institutinal payrll instances. IRS requirements include annual mailings, determinatin f substantial presence status and treaty exemptins. The CD will perfrms these functins and maintains related files. The CD perfrms all crrected W-2s and assciated filings. This includes entries t the payrll system t cincide with adjusted W-2 data. The CD submits W-2 files using a single tax-payer ID fr OUS. The CD will als assure that an emplyee wh has wrked at mre than ne institutin during the calendar year will receive nly ne W-2. The CD will prcess requests fr W-2s which are tw, r mre, years ld; this will be perfrmed manually by the CD. The CD, using the aggregate instance, will submit t the Scial Security Administratin an annual reprt. The SSA cmpares it t their files, the CD receives an errr listing and wrks with the institutins reslving differences. Ref Task # Payrll 1 Certificatin 2 Data Entry Descriptin The Cntrller's Divisin (CD) verifies the accuracy f each payrll prir t release f the ACH tape and checks. Significant reliance will be placed n wrk dne by the institutins. As a part f each Banner payrll, institutinally distributed prcesses will be certified by the institutinal Payrll Manager. This certificatin will include cmpletin f a checklist established by the Cntrller and will be submitted at the same time the direct depsit file is transmitted t the Cntrller's Divisin. Institutins will establish time lines and cutffs, as well as perfrm the physical data entry.

7 Payrll Prcessing Audit Exceptin Reprts 5 Payrll Testing Finance Psting Recnciliatin Recnciliatin f Withhlding Funds Paycheck & Earnings Statements Payrll Check Stck Inventry Bank Numbers n ACH Table 11 Benefit Management 12 Open Enrllment 13 PERS 14 Tax Deferred Investments Institutins will run the prcesses t mve emplyees thrugh the varius stages. The CD will prvide a baseline set f audits fr checking database entries and payrll results. The institutins will run these scripts t generate audit reprts and may add additinal audits fr institutin specific data as they deem necessary. The institutins payrll staff will review reprts and data at specific intervals thrughut the payrll prcess. The institutins may als develp GQL reprts t audit persnnel data. The payrll system will generate the institutinal feed t the finance system. Payrll and Business Offices will recncile payrll data t finance data making sure transactins pst and balance. The institutins will have withhlding funds fr each payrll deductin. All institutinal funds will be recnciled at the institutins. The institutins will print the payrll checks. This will include develpment f necessary security prcedures and prcesses. Earnings statements will als be printed at the institutins. The check stck is rdered, received, issued, inventried and cntrlled by the institutins. Check stck specificatins are mandated by the State Treasury; OUS requirements are established by the CD. The bank table used fr designating banks fr bth direct depsit and deductins will be initially ppulated by the CD and then it will be maintained by the institutins. This is a simple prcess f entering the bank ruting number and the bank name and address. The CD will maintain and develp "Standards" deductins. Institutins will develp and maintain their wn institutinal deductins. The CD will make payments, balance and recncile the emplyer cntributins with PERS and act as a liaisn fr all OUS institutins. The institutins will develp GQL reprts fr eligibility, tracking new emplyees and running scripts fr ntices f appintment and separatin.

8 15 Earned Incme Credit 16 FICA Changes 17 Temprary SSNs 18 Duplicate Emplyees 19 Mving Expenses 20 Tuitin Reductin 21 GQL The IRS requires annual ntificatins t emplyees f the earned incme credit. The institutins will perfrm this ntificatin (earnings statement stuffer, individual letters, etc.). The institutins will mnitr changes t FICA cding, mve emplyees (including students) int and ut f exempt status, prcess refunds, and set up receivables. This includes perfrming annual mass changes t change student cding, mnitr emplyee status changes and make apprpriate refunds and cllectins. The institutins will assign temprary numbers and track temprary numbers. The OUS has ne taxpayer ID number fr all tax reprting. This means that OUS must assure accurate taxatin and benefit reprting fr emplyees wrking at mre than ne institutin. The CD will maintain an aggregate SSN/name/birth date database. This will be used by the institutins t mnitr emplyees being paid by mre than ne campus. The CD and the institutins wrk tgether t cllect data frm the FIS accunts payable system fr input int the payrll system t be included n the emplyee's W-2 (the taxable prtin f mving expenses must be reprted n the emplyee's W-2). The institutins will cllect data n emplyees taking curses at OUS staff rates, prcess the time cards and cntact the emplyees. The CD will prvide reprts frm the aggregate warehuse where applicable. The institutins will generate sme payrll reprts frm Banner Standard Reprts, ad hc (GQL), and 5 th site scripts..995 HISTORY 10/15/03 - Refrmatted 7/24/98 - Apprved Appendix Last Updated: 10/15/03