|Changes to the Payroll System for the March 2009 RG1 pay cycle:|
New Federal Income Tax Tables
The Department of the Treasury has issued new federal income tax tables for wages paid after March 10, 2009. To view the new tax tables go to:http://www.payroll.wsu.edu/taxes/howto.htm
Updates to the Earnings Table
In March 2008 the Health Care Authority (HCA) directed higher education institutions to lower their monitoring threshold to 80 hours in 6 consecutive months (480 hours) for determining medical benefit eligibility. Their purpose was to: 1) bring more employees into coverage, and 2) avoid future lawsuits. Since 1999, the threshold for medical benefit eligibility had been anyone working at least halftime in each scheduled pay period for 6 consecutive months. HCA’s directive increased the number of WSU employees who were eligible. For the first time ever we had employees become benefit eligible in these earnings types: Faculty Hourly (FHR), Other Piecework (OPW), Hourly Piecework (HPW) and Extra Compensation (E/C). Benefits for these employees have been processed manually. We have now updated the system for these earnings types so their benefits will be processed automatically. The payroll system has an insurance eligibility indicator (Yes/No) on each earnings type. The following changes have been made:
From Yes to No: SAI, CHR, ADR, AWF, FCH, FLS, MOF, FDR, S/S, HOP
From No to Yes: FHR, HPW, OPW, E/C, P/W, PWD, ECF
The “Yes” indicator means if the employee is benefit eligible and works at least 8 hours in the month and is paid in an insurance eligible earnings type, the system will automatically create a health contribution. A “Yes” indicator also means that the medical contribution will be prorated based on the effort rendered. This may cause the medical contribution to be prorated among more than one account, but it is aligning the expense distribution with our rule of prorating expenses based on effort percent.
Please contact Alice Smethurst at (509) 335-1277 or email@example.com if there are any questions.