Policy Approval Authority | President |
Responsible University Office | Human Resource Services |
Responsible Officer(s) | Chief Human Resources Officer |
Contact Person | John Acardo |
Primary Audience |
Faculty
Staff Student |
Status | Active |
Last Review Date | 04-01-2017 |
Policy Category/Categories |
Human Resources / Employment
|
All employees are paid on a semi-monthly basis with pay periods from the 1st to the 15th and the 16th to the last day of the month. Paydays are the 15th and last day of each month except when those days fall on either a Saturday, Sunday, or Banking Holiday. In that event payday will be on the last university business day preceding the normal payday.
Payroll checks and direct deposits of pay will not be released until the scheduled payday for each pay period.
All timsheets not properly completed may not be processed until the next payroll.
An employee may receive payment of sick leave for a time prior to or immediately following an approved vacation or holiday period if the supervisor specifically approves the sick leave hours on the employee’s timesheet. To be eligible for holiday pay, an employee must have worked or been on pay status the last scheduled work day prior to and following a holiday. Scheduled workdays are determined by the supervisor. Supervisors may withhold holiday pay from an employee who is absent immediately before or after a holiday (or holidays) when the absence is not excused by making a notation "unauthorized absence" on the employee’s timesheet.
Any unemployment correspondence received by any university department should be forwarded as soon as possible to Payroll. The university has ten working days to reply to the Unemployment Compensation office. It is university policy to challenge all unwarranted benefit claims.
Upon receipt of a claims application form, Payroll will complete the information requested from HRS computer files and consult the employee’s file folder if they are not a student employee. Consultation with the Employment Services area may be required.
Eligible non-exempt Civil Service, Supportive Professional Staff (SPS), and Graduate Assistants and student workers are paid overtime at the rate of time and one-half whenever they work in excess of 7.5 hours in a day or 37.5 hours in a week. The supervisor should approve any overtime prior to it being worked by the employee.
NOTE: Students are prohibited from working overtime. Non-exempt Civil Service employees may receive time and one-half or double time depending on contract coverage. Student employment will require documentation on any student being paid overtime, indicating the emergency reason that necessitated the overtime.
NOTE: Some Civil Service personnel under negotiated contracts must work in excess of 8 hours per day in order to be eligible for overtime pay.
An hourly paid employee in a status position (Supportive Professional Staff or Civil Service) is eligible for compensating time off in lieu of overtime payment at the rate of time and one-half for all time in excess of 7.5 hours per day or in excess of 8.0 hours in a day for those who work the 8 hour days, with mutual agreement of supervisor. The maximum amount of compensating time accrued may not exceed the equivalent of 120 hours (16 workdays) for those on a 37.5-hour work week or 120 hours (16 workdays) for those on a 40-hour work week. The employee will then note the use of compensatory time on the timesheet when applicable.
Employees who leave the university with accrued compensatory time will be paid in their last paycheck as is done with vacation pay. Such payments will be based on the employee’s earning rate as of the time of separation, or the average of the last three years, whichever is greater.
Salaried Employee Benefit Usage Reports are to be completed and returned to the supervisor at the completion of the pay period. The department time keeper will then report the usage via the payroll summary to payroll by the applicable payroll deadline.
Non-worked time other than vacation and sick leave is reported as follows:
No person’s names may be placed on a payroll without proper authorization on file with Human Resource Services. This includes faculty, supportive professional staff, civil service employees, extra help, student employees, and graduate assistantships.
NOTE: Employees should not begin working until authorization has been received from Human Resource Services.
Authorization for additional pay must be secured before payment can be made, regardless of the source of funds. Authorization is required for any individual who has been on a university payroll within the calendar year. It should be noted the honorariums are applicable only to persons not connected with the university and are paid through the Accounting Office.
Other compensation (such as reimbursement for moving expenses) paid through the Accounting Office will be reported to Payroll and included on the employee’s W-2 statement. The personal use of assigned university vehicles is taxable and will also be included on the employee’s W-2 statement. Employee tuition waivers, if pay taxable, will be included on the W-2 statement.
Electronic direct deposit is policy for all employees. Earnings statements will be sent to the employee’s department before payday when the direct deposit is imminent. An authorization form with a void check or void savings deposit form, if pay is to be deposited in a savings account, must be filed with Human Resource Services in order to begin the process. A Direct Deposit Form (Authorization agreement for automatic payment) may be found at on the Human Resource Services website.
An employee may authorize the withholding of a portion of their salary for the purpose specified in the State Salary and Annuity Withholding Act, (III. Rev. Stat. Ch. 127, secs. 351-60). In accordance with the provisions of said Act, no portion of an employee’s salary may be withheld to pay premiums on life or accident and health insurance policies issued by one insurance company unless a minimum of 100 university employees insured by such company have authorized such withholding. Withholding from salaries for other purposes authorized by the Act shall be governed by the regulations of the Board of Trustees. All withholding authorizations must be on forms prescribed by the university and must conform to all of the requirements of the State Salary and Annuity Withholding Act.
The following rules would apply:
Currently, deductions are authorized for group insurance, group medical, term life, dental insurance, savings bonds, union dues, credit union, charity, dependent care, medical care, NIU Foundation, and NIU Athletic Association.
This coverage has a fixed premium to be deducted each pay period. The State of Illinois pays a portion of this premium. The premium varies according to the marital status, number, and ages of the participants. Additional information and the necessary forms are available in the Insurance and Employee Benefits Office.
Any information concerning union dues, deductions, policies, or procedures should be addressed to the local chapter president or union steward.
Various charity deductions are available. Employees interested in payroll deduction can utilize the Start - Stop Payroll Deduction Authorization Form available from the Human Resource Services website. http://www.hr.niu.edu/resources/forms.cfm
Arrangements for credit union deductions should be made at the Credit Union Office.
Employees may pay membership fees to campus exercise programs via payroll deduction. Contact the Office of Campus Recreation.
Campus parking permit fees paid via payroll deduction are pre-tax and not included in taxable gross on the W-2 statement. Contact the Campus Parking Office for details.
Employees may receive a discount for membership and have the fee paid via payroll deduction. Contact the Kishwaukee Family YMCA for information 815-756-9577.
The State of Illinois and the Board of Trustees authorize several different investment companies for payroll salary reduction. By having salary reduction, an individual’s taxes are calculated on the gross dollars less the annuity amount. Also, the gross dollars earned on the employee’s W-2 form are the gross dollars earned less the annuity amount, or the taxable gross.
Employees eligible and participating in the State Universities Retirement System are required to contribute a percentage of their gross pay. Payroll makes this employee contribution automatically. The retirement contribution is considered to be "picked-up" by the employer and is not taxable income for the purpose of calculating withholding taxes or W-2 wages.
Except for registered students, all employees who begin employment after March 31, 1986 are subject to a deduction for the Medicare portion of social security (FICA) taxes, and effective July 1, 1991 some employees not eligible for SURS may be subject to full social security taxes. Students working during the summer but not taking classes will be subject to full social security taxes.
Federal income tax will be withheld on a graduated basis to a greater or lesser degree dependent on the marital status and number of exemptions claimed by the individual on the W-4 form filed in Payroll. An NIU W-4 form is available from payroll or may be downloaded from the HRS website.
Based on a substantial presence test, employees from other countries are determined to be either in a resident or non-resident alien tax status. Appropriate withholding of taxes is then applied based on the relevant tax status.
Any earnings due an employee at the time of death will be paid to the employee’s estate. Certified death certificate and small estate affidavit (where no estate is opened) or letter of administration or testamentary (where payee decedent's personal representatives) must be presented at Payroll to secure this payment. Benefits due from the retirement system (if the employee was an eligible participant) will be paid upon presenting the same proof documents to the State Universities Retirement System.
Employees can access each payroll advice in the MyNIU PeopleSoft system since July 2001 or their first pay period.
If a paycheck has been lost, stolen, or destroyed, this fact should be reported to Payroll immediately. Payroll will arrange for a stop payment on the original check. A duplicate check will be written as soon as verification has been received from the bank that the original check has not been cashed and an affidavit has been signed by the employee stating that if the original check is found it will be returned to Payroll.
There are no payroll advances for persons currently on a payroll. State law prohibits payments being made before the completion of a pay period.
Changes of rate, classification, source of pay and working location must be processed through Employment Services. Changes of name and address are processed through Employment Services. Social security number, marital status, number of exemptions, withholding tax, deductions, and check distribution are processed through Payroll.
Deadlines for changes and placing new employees on a payroll is published on the Human Resources Services payroll calendar.
Policy Library
815-753-5560
policy-library@niu.edu
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