Agency Deduction Workshop July 26, 2004

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State of ConnecticutCore-CT Project HRMS / FIN
Workshop July 26, 2004
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Agency Deduction Workshop

• Welcome Mark Bissoni
• Purpose Mark Bissoni
• Deduction Codes Mark
  Bissoni
• Vendor Setup Mark Bissoni
• Employee Deduction Remittance Report Mark Bissoni
• Integration Overview Elaine
  Pelletier
• GIRO Deposits Elaine
  Pelletier
• Petty Cash Corrections
  Elaine Pelletier
• Workshop Mark Bissoni

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Purpose

• Define Agency recovery deduction codes (Y Z)
• Associate Agency deduction codes to employees
• Associate Agency deduction codes to vendors
• Review Vendor Setup
• Define the Employee Deduction Remittance Report
• Review Payroll Integration to Financials
• Coding for GIRO payments
• Coding a GIRO that should have been a Petty Cash
  Advance Recovery
• Identify the agencys new deduction codes, as
  required.

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Agency Recoveries

• Agency recoveries from employees pay are for
• Petty Cash Advances
• Recovery of State expenses
• Check / Advice Reversals
• Online checks
• Recoveries are coded as deductions from an
  employees pay

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What are Y and Z Deductions?

• Deduction codes for agency recoveries are Yxxx or
  Zxxx, where xxx is the agency acronym.
• Y Deductions are Agency Recoveries. The dollars
  associated with the deductions ultimately end up
  in the Agencies AR Business Unit as a GIRO
  Payment from OSCIP.
• Z Deductions are Agency Recoveries of Petty Cash
  Advances. The dollars associated with these
  deductions ultimately end up in your Agencys
  Bank Account via ACH.

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Y Deduction Employee Setup
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Z Deduction Employee Setup
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Configuration of Y Deduction (Link to Vendor Code)
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Configuration of Z Deduction (Link to Vendor Code)
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Vendor 28 for Y Deduction (Under Setid OSCIP)
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Vendor 28 for Y Deduction Remit to OSCM1 - MAIN
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OSCM1 is a separate Vendor under OSCIP
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OSCM1 for Y Deduction MAIN Location
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MAIN Location GIRO Payment
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Vendor 714 for Z Deduction (Under Setid OSCIP)
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Vendor 714 for Z Deduction Remit to OSCM1 - RPC
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OSCM1 is a separate Vendor under OSCIP
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OSCM1 for Z Deduction RPC Location
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RPC Location - ACH Payment
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Employee Deduction Remittance Report

• What is the Employee Deduction Remittance Report?
• It is a hard copy report that is created and
  distributed to agencies on a bi-weekly basis
  (as employees are being enrolled in deductions)
• It captures each distinct vendor id, all of the
  deduction codes reporting to that vendor id, all
  of the employees who are enrolled in each
  deduction code (under the distinct vendor id),
  and the corresponding amount (for each
  deduction)

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Employee Deduction Remittance Report

• Since agency recovery (Y deductions) and petty
  cash reimbursements
• (Z deductions) report to two distinct vendors
  (as you have seen with
• vendors 28 714) each agency should be
  receiving their
• corresponding reports on a bi-weekly basis
• Payroll folks please share this report with
  your financial offices!
• Who should I contact if I do not receive a
  report for a given cycle?
• Contact the Payroll Services Division (860)
  702-3453
•   or [phone] 
• Please be prepared to provide your vendor id and
  the check
• date's needed

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HRMS to Financials Integration - GL

• HRMS to GL files are sent to the Financials GL
  module to record the States payroll.
• The system sends the following accounting
  entries
• DR Payroll Expense
• DR Fringe Expense
• CR Payroll Liabilities
• CR Cash Payroll Net Pay

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HRMS to Financials Integration GL

• These accounting entries are the Generated into
  Journals. The system process of Journal
  Generation automatically summarizes all entries
  by unique chartfield combination.
• The Journals are generated by BU. We setup the
  accounting entries table with the Agency acronym
  in the BU field so that each agency has a
  separate GL journal for each payroll.

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HRMS to Financials Integration - AP

• HRMS to AP files are sent to the Financials AP
  module to effect the payment of all deductions
  from an employees pay.
• The Vouchers are created in a separate BU -
  OSCIP.
• The vendors for this BU are in a separate Setid -
  OSCIP
• The vouchers are recorded as follows
• DR Payroll Liability
• CR AP Liability

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HRMS to Financials Integration - AP

• The Pay Cycle that produces the payments for
  these vouchers is also called OSCIP.
• The Pay Cycle produces payments in all formats
• ACH - Tax other Vendors setup to receive ACH
• CHECK Vendor payments not by ACH
• Child Support Sent to a third-party
  administrator
• GIRO Internal payments
• Agency Recoveries
• Check/Advice Reversals
• Medical / Health deductions
• Savings Bond deductions
• The Pay Cycle combines payments within OSCIP by
  Vendor.

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Viewing GIRO Payments from Y Deductions
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What if I made a mistake?

• If the payment should have gone to the Agencys
  Petty Cash account, the deposit should be
  directly journalled using the funds awaiting
  distribution coding.
• Fund 34003
• SID 42350
• Account 20920
• Enter all other required chartfields as normal
  including Program and Project.
• This allows the Deposit to be recorded and
  completed in the AR module.

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What if I made a mistake?

• To actually fund the Petty Cash account, a
  voucher needs to be entered.
• Please refer to the Core-CT Financials Daily Mail
  dated 2/13/2004 that contains detail instructions
  - the following is an excerpt
• Process a non-PO voucher for Petty Cash
  Replenishment.
• 2. Select the Agency Vendor value for your agency
  for Petty Cash Replenishments.
• 3. Ensure that you enter Vendor Location - RPC on
  the Invoice Information Page.
• 4. Validate the Payment Method is ACH or CHECK,
  NOT GIRO on the Payments Tab.
• 5. The coding on the voucher should be the EXACT
  coding used on the Direct Journal of the Deposit
  from OSCIP. Do not code the voucher as a normal
  Petty Cash Replenishment voucher.

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Recording Agency Recoveries

• To record a deposit of non-petty cash advances,
  it must first be determined what the recovery is
  for.
• Recovery of Lost or Damaged State Property - An
  expenditure was incurred by the agency due to an
  employees action and the expenditure is to be
  recovered. The agency initiated the recovery of
  State funds from an employee.
• Recoveries initiated by Central Payroll
• 1) Record an off-cycle, online replacement check
• 2) To reverse an employees original pay check.

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Recovery of Lost or Damaged State Property

• Recording Miscellaneous Recoveries
• A credit to a revenue account
• Use the budgeted fund, SID 18010, Account 44331
• Refund of Current Year Expenditure The deposit
  should be recorded as
• A credit to the Expense
• Use the same coding as the original expenditure
• Refund of Prior Year Expenditure
• When the expense was recorded to a continuing
  appropriation
• Use the same coding as the original expenditure
• When the expense was recorded to a lapsing
  appropriation
• Use Original budgeted fund, SID 18010, Account
  44410

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Recoveries initiated by Central Payroll

• Agency Recovery deductions (Y deductions) should
  be included on the form when requesting a
  replacement check to compensate for the
  deductions that cannot be reversed (CSE credit
  union, garnishment(s), or Savings Bonds)
• For example, an employee has the following
  deductions
• Garnishment (100.00),
• Savings bond (100.00)
• CSE credit union (100.00) on the original check,
  
• The replacement check request form should include
  an agency recovery for the total amount of
  300.00 with a description of each of the
  non-reversible deductions.
• The following is an excerpt from the actual petty
  cash form capturing the process if an OSC
  employee had a garnishment, CSE Credit Union, and
  a Savings Bond deduction
• Deductions

Deduction Code Deduction
Description
Deduction Amount YOSC
Agcy Recovery for GARNSH, CUCSE, SAVBND
300.00
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Recoveries initiated by Central Payroll

• A 300.00 voucher will be created to the agencys
  Y deduction vendor when a replacement check is
  issued.
• The original check will then be reversed by
  Central Payroll.
• During the reversal process, deductions for CSE
  Credit Union, Garnishment, and Savings Bonds are
  coded to the agencys Y deduction, because the
  original deduction cannot be recaptured from the
  vendor.
• A -300.00 voucher will then be created to the
  agencys Y deduction vendor. This offsets the Y
  deduction created in the replacement check
  process.

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Recoveries initiated by Central Payroll

• Reversals are not always processed in the same
  pay period as the replacement check.
• The Reversals create the negative deduction
  vouchers.
• Negative vouchers are not processed unless there
  are positive vouchers to offset the amounts.
• If the replacement checks deductions are
  processed immediately, the reversal will not be
  processed until there are positive vouchers to
  offset it.
• Agency recoveries may not appear in AR until the
  net amount is positive.
• If there is no replacement for one that is
  reversed, there will only be a negative voucher.
  The agency must manually recover the money from
  the employee and notify Central Payroll when the
  funds are recovered to eliminate the outstanding
  voucher.

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Questions Answers
Any Questions?
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Agency Deduction Workshop

• Core-CT Question Now that you know what the
  deduction codes allow and do for you, who wants
  to set up new deduction codes?
• Agency Answer I do! I do!

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Agency Deduction Workshop

• See Nancy Ribes to setup individual Y and Z
  deductions codes for your agency.

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Agency Deduction Workshop

• Thank you for attending todays presentation.
• Your feedback is welcomed.

THE END