Semi-monthly Pay Schedule Change
Frequently Asked Questions
When will this change occur?
At the end of the 2011 calendar year, biweekly exempt employees are scheduled to be paid on Friday, December 30th for the two weeks ended Saturday, December 24th. Scheduling this change for the new year will result in these employees being paid for three weeks on Friday, December 30th. Federal, state and local taxes and your 403 (b) reduction will be withheld based upon your actual annual pay as of December 31st. Voluntary deductions in this check will not change.
Why is this pay schedule change necessary?
Currently, some exempt are being paid semi-monthly while others are being paid bi-weekly. The change is occurring so that all exempt staff will be paid according to the same schedule resulting in improved processing and system efficiency. Pay and withholdings under the new pay schedule will occur at the beginning of the 2012 calendar year. Because tax withholdings and most voluntary deductions are calendar year based, transitioning employees from one payroll schedule to another at the beginning of the calendar year is best practice and makes good sense.
On what days are the semi-monthly payroll paid?
The semi-monthly payroll is paid twice per month; on the 15th and final day of the month. When the normal scheduled payday falls on a weekend or holiday, payment is made on the business day preceding that normal scheduled payday. Please see the posted pay schedule for the 2011-2012 fiscal year on the Payroll webpage.
How much will my new scheduled pay be?
On a biweekly basis, you were paid 1/26 of your annual pay every two weeks. On a semi-monthly basis, you will be paid 1/24 of your annual pay on the 15th and last business day of the month.
You can calculate your new gross regular earnings by looking at your most recent paystub, on line via Connections (Click here for access instructions). Take the "Gross Pay" for your current position (under "Position/Earnings Summary" at the bottom of the electronic paystub), multiply by 26 and divide by 24. Likewise, your one time pay for the three-week period can be calculated by taking the same number dividing by 2 and multiplying by 3.
How will my tax withholdings and deductions be impacted?
The system will automatically adjust your tax withholdings and 403(b) contributions based upon your earnings amount and pay schedule. Most voluntary deductions are scheduled twice a month and will not be impacted. However, special voluntary deductions, i.e., United Way, Webster donations, etc. will need to be adjusted to accommodate your new pay schedule. Additionally, if you recently enrolled in the Flexible Spending Account for the new-year, you will still have an even distribution of your annual election over each pay period.
How will this change impact my net pay?
Moving to a semi-monthly pay will provide you with a higher, less fluctuating net pay on a per pay basis offset by two fewer payments.
I routinely set money aside, i.e., similar to a "Christmas fund," by instructing my bank to automatically transfer a standard amount from my account on a biweekly basis. My bank cannot accommodate this semi-monthly schedule.
Using the University's direct deposit functionality, you can direct standard amounts from your net paycheck to multiple bank checking and savings accounts. Download a direct deposit form located under the "Forms" tab on the left side of the Payroll webpage or contact payroll, email@example.com, for further details concerning your options.
Will this change have any impact on my vacation, sick and personal leave?
There will be no change in the award, schedule or use of vacation, sick, and personal leave time. This time is awarded based upon your length of service and Human Resource policies. Scheduling and use of this time is approved by your supervisor and reported monthly on the Monthly Vacation, Sick and/or Leave Reporting Form. This form is also available under the "Forms" tab on the left side of the Payroll webpage.
Who can I talk to if I have questions regarding this change?
Contact your supervisor first. If additional questions, reach out to Parvin Nadimi, Director, Payroll, at 314-246-7944 or firstname.lastname@example.org, or Cheryl Fritz, Manager, Benefits & Compensation at 314-246-7055 or email@example.com.