Payroll Management Services

CALCULATION OF PAY

FULL-TIME EMPLOYEES

If you are paid an annual salary and want to determine your bi-weekly gross, divide your annual salary by 365 days (number of days in a year that covers the City's current fiscal year July 1, 2000 through June 30, 2001) and multiply by 14 (days in a pay period).

If you are paid a daily rate (Trade Titles) and want to determine your bi-weekly gross, multiply your daily salary by 10 (number of workdays in a pay period).

Also, please keep in mind that calculations affecting your bi-weekly gross reflect the number of days in the year. In leap years the calculations are based on 366 days; in non-leap years these calculations are based on 365 days. Your annual salary remains the same regardless of whether it is a leap year or not. Your bi-weekly gross changes slightly in the first pay period of a leap year and the first pay period after the leap year ends due to the one day difference. The City's payroll system is based on the fiscal year covering the period July 1 through June 30. Fiscal Year 2001 beginning July 1, 2000 is a non-leap year. The City's last Fiscal Leap Year was 2000 which included February 29, 2000.

ADJUNCT FACULTY AND OVERLOADS AND CONTINUING EDUCATION TEACHERS

Employees in this group are paid utilizing what is referred to in the Payroll Management System as a "Daily Salary Amount" (DSA). The DSA is computed as follows:

DSA = Number of Hours in Semester x Hourly Rate
..................Number of Paychecks in Semester x 10

Under normal circumstances the gross of an employee's check will be equivalent to the DSA x 10 (the PMS system considers this to be the number of workdays in a bi-weekly pay period). When applicable, pay items such as substitution payments, deductions for excessive absences, and retroactive pay due to late pay start will affect the gross amount of a payroll check.

Information on Hours in Semester and Hourly Rate are obtained from the Personnel Data Form (PDF) which is received from the Office of the Dean of Faculty. The paydate schedule for Adjuncts and Overloads will be determined by the Academic Calendar for the semester and will be submitted to the CUNY Office of Faculty & Staff Relations for review. The paydate schedule for Continuing Education Teachers will be determined by the Human Resources Office based upon the class schedule submitted by the Office of Continuing Education.

Faculty who perform substitutions are paid by means of a One Time Payment. This payment may or may not be on a separate payroll check depending upon whether or not the faculty member is working a regular assignment during the course of the semester. Substitution payments are paid in approximately six to eight weeks from the date of the actual substitution.

In accordance with the Professional Staff Congress collective bargaining agreement, an Adjunct in a teaching or non-teaching title who on July 1, shall have worked six semesters over a period of the preceding three years and who has not received a movement within salary schedule during that period of time shall receive a movement within salary schedule to the next higher dollar amount. For purposes of determining eligibility for this movement within salary schedule at Kingsborough, a semester shall include winter and summer session. For eligible employees who work the Summer session retroactive monies dating back to July 1 are paid on the first scheduled payroll check of the Fall semester.

There are some items on the check stub which are not applicable for employees in this group. Due to the fact that the total amount due the employee for the semester is simply divided into equal installments and paid in accordance with the previously determined pay date schedule, the Pay Period appearing on the stub is not applicable. Also, the stub indicates that payment is for 10 units. This figure does not represent hours. As indicated above, the PMS System considers a bi-weekly pay period to contain 10 workdays. This figure is automatically printed on the check stubs, although it does not specifically pertain to this category of employees.

COLLEGE ASSISTANTS, TUTORS, STUDENT AIDES, STAFF NURSES (HOURLY), CUNY CUSTODIAL ASSISTANTS (HOURLY)

Employees working in these titles are paid only for the hours that have been included on time sheets and submitted to the Human Resources Office. Late submission of time sheets will result in late payment. In order to insure that you are paid on a timely basis time sheets are to be turned in to the Human Resources Office each Monday morning. Employees working in these titles are paid on a two-week lag.

Miscellaneous Pay Adjustments will be utilized to pay an employee for unused accrued Annual Leave at the end of the Fiscal Year. Miscellaneous Pay Adjustments may also be utilized for error correction purposes.

DIRECT DEPOSIT

More than 60% of employees paid by the New York City's Payroll Management System have their net pay electronically deposited directly into their bank accounts.

When you enroll in direct deposit, your net pay is transferred electronically to your bank account. Your pay is available as cash on pay day. You don't have to worry about lost or stolen paychecks any more, and you don't have to stand in line to cash or deposit your check. With direct deposit, you can be confident that your pay is deposited into your account on time and correctly.

If you want to enroll, it's easy. You can obtain an enrollment form and pertinent instructions from our office at Room A-201. Simply complete your name, social security number, type of account-either savings or checking, the name(s) exactly as it appears on your bank account statement, your bank's ABA number, and your account number. The safest method for determining your bank's ABA number is to ask your bank representative to provide it to you.

Sign the form and submit it to the Human Resources Office along with the necessary supporting documentation. Dependent upon the type of account you will be utilizing for Direct Deposit purposes, you must attach a voided check, preprinted savings deposit slip, or header of a recent bank savings statement. Depending on when the form is processed, your direct deposit will probably start within one or two pay periods.

You are in control of your funds! You can change your financial institution, designate a different account, or cancel direct deposit at any time by using the same form used for enrollment.

Once you are enrolled in direct deposit, you will still receive a pay stub documenting your gross and net pay along with your tax withholding and other deductions. These pay stubs are available for distribution at the Kingsborough Payroll Distribution Office (Room A-206, Extension 5994).

Any questions related to your pay would continue to be answered directly by the Human Resources Office.

Click here for additional information regarding direct deposit.

PRE-TAX BENEFIT PROGRAMS

The City's Employee Benefits Program offers several pre-tax benefit programs that allow City employees to defer or reduce taxes. Find our more about these programs and how they affect your pay.

... .........Deferred Compensation Plan is a retirement savings plan that lets you save for the future with before-tax dollars through easy payroll.deductions.

.............Flexible Spending Accounts allow employees to pay for certain expenses with pre-tax dollars.

............. Health Care Flexible Spending Account (HCFSA)
..............Dependent Care Program (DeCAP)
..............MSC Premium Conversion

Program Health Benefits Buy-Out Wavier Program provides a cash incentive to City employees who are covered under another health insurance and waive their City coverage.

Pension Plans are offered to New York City employees through various pension systems.

The Office of Labor Relations administers the City's pre-tax benefit programs and has detailed information and enrollment forms.

FLEXIBLE SPENDING ACCOUNTS

Health Care Flexible Spending Account (HCFSA)

The City's Flexible Spending Accounts are allowable under IRS Code 125. Through the Health Care Flexible Spending Account (HCFSA), City employees can pay for out-of-pocket medical expenses, not covered by health insurance, with pretax dollars. By enrolling in HCFSA, deductions from your pay are put into a special account that is used to reimburse you for covered medical expenses up to $5,000 annually. Federal regulations require that you use the entire amount in your HCFSA account by the end of each Plan Year (December 31st). If you do not use the entire amount you allocate to your account, you forfeit the unused balance. Payroll deductions for HCFSA are shown in Box 14 of your W-2 Wage and Tax Statement.

Dependent Care Program (DeCAP)

The Dependent Care Assistance Program (DeCAP) works the same way with deductions from your pay going to a special account used to reimburse you for eligible dependent care expenses up to a maximum of $5,000 annually. Federal regulations require that you use the entire amount in your DeCAP account by the end of each plan year (December 31st). If you do not use the entire amount you allocate to your account, you forfeit the unused balance. Eligible dependent care expenses may include care for young children or elderly dependents by a licensed caregiver.

The advantage of each Flexible Spending Account (FSA) is that the deductions from your pay to these accounts reduce your gross income for federal income tax, social security, and Medicare tax purposes. The adjustments to your wages are reflected on your W-2. You still pay state and local taxes on FSA contributions. Payroll deductions for DeCAP are shown in Box 14 and Box 10 of your W-2 Wage and Tax Statement.

Health Benefits Buy-Out

The Health Benefits Buy-Out Waiver Program allows City employees who are covered under a health insurance plan through an employer other than the City of New York or through a spouse's plan to waive their City health insurance and receive a cash incentive. Employees waiving family coverage receive $1,000 annually, and employees waiving individual coverage receive $500 annually. Payments are made in two equal installments in June and December and are subject to tax. Payments for the Health Benefits Buy-Out Worker program are included in your taxable wages in Box 1 of your W-2.

MSC Premium Conversion Program

The MSC Premium Conversion Program automatically increases take home pay to employees who have payroll deductions for health insurance premiums and optional riders since these payments are not subject to federal or FICA taxes. Employees can opt out of the program during the Health Benefits Transfer Period in October of each year. Payroll deductions for MSC are shown in Box 14 of your W-2 Wage and Tax Statement.

For more information on all of the City's Pretax Benefit Programs and enrollment forms, see the Office of Labor Relations web site at http://www.nyc.gov/html/olr/html/fsa/fsahome.html

FEDERAL AND/OR STATE TAX WITHHOLDING ISSUES

Change of Withholding Allowances

There may be valid reasons for changing your withholding allowances several times a year. If you submit four or more changes in a calendar year, the Kingsborough Human Resources Office is required to send your tax withholding forms to the New York City Office of Payroll Administration (OPA) which will then forward them to the IRS or NY State Department of Taxation and Finance for review.

Federal and State tax witholding forms may be obtained from the Human Resources Office (Room A-201). You may also download them from the Internet, web addresses as follows:

.....Federal Tax Withholding Forms: www.ustreas.gov

.....State Tax Withholding Forms: www.tax.state.ny.us

Number of withholding allowances permitted

You may file withholding certificates with as many allowances as are justified by your circumstances. If you claim more than ten withholding allowances on the federal W-4 form or more than 14 allowances on the state IT-2104 form, you must complete a Withholding Certificate Affirmation.

You can obtain a Withholding Certificate Affirmation from the Human Resources Office. This form must be completed by you and then notarized. In addition to the Withholding Certificate Affirmation you may, if you wish, supply supporting documentation. This may consist of the prior year's tax returns, proof of qualifying home mortgage interest, charitable contributions, state and local taxes (but not sales tax), medical expenses as stipulated in IRS guidelines, number of dependents, other qualifying miscellaneous deductions, or a letter from you to the agency stating your circumstances.

Copies of the unaltered withholding certificate and signed, unaltered affirmation, along with copies of any supporting documentation you choose to provide, will be sent to OPA. OPA forwards the documents to the IRS or NYS Dept of Taxation and Finance. In some cases, the IRS or NYS may instruct the City of New York to change your number of withholding allowances or marital status through Lock-in Letters.

Claiming tax-exempt status

The vast majority of employees of the City of New York are required to have taxes withheld; however, certain situations exist that entitle an employee to be tax exempt (federal tax exempt, NY State tax exempt, or both). No employees, including students, are automatically exempt from tax liability. To claim exempt status, you must meet certain conditions and submit a new tax withholding certificate and signed Withholding Certificate Affirmation each calendar year. You cannot claim exemption from federal withholding taxes for 2001:

.......If your income exceeds $750 and includes more than $250 of unearned income (interest and dividends) AND another person can claim you.as a dependent on his or her tax return.

If you are exempt from federal withholding taxes you must certify on the W-4 form that you meet both of the following conditions:

.......Last year you had a right to a refund of ALL federal income tax withholding because you had no tax liability AND this year you expect a refund of ALL federal income tax withheld because you expect to have no tax liability.

To claim exemption from New York State and City withholding taxes in 2001, you must be able to certify the following conditions in writing:

.......You are under age 18, a full-time student under age 25, OR over age 65;
.......You had no New York income tax liability for 2000; AND
.......You do not expect to have a New York tax liability in 2001.

If you meet the criteria for state exemption, you would file an IT-2104-E Certificate of Exemption from Withholding instead of the IT-2104 form.

Forms claiming full exemption from withholding expire each year. If your exempt status continues, you need to submit new forms annually. You must file a new W-4 form by February 16 to continue to claim full exemption from federal taxes and/or a new IT-2104-E form by April 30 to continue to claim full exemption from state and local taxes. You must submit the Withholding Certificate Affirmation with your withholding certificate each year.

If you do not submit new forms to your agency to continue to claim full exemption, taxes will be withheld as if you were single with zero allowances until new acceptable forms are submitted.

Contact information for questions about Federal or State taxes:

IRS by calling 1-800-829-1040 or click here for the IRS web site
NYS by calling 1-800-CALL-TAX (225-5829) or click here for the NYS TAX web site

ADVANCED EARNED INCOME CREDIT

Earned Income Credit (EIC) is a tax credit for certain employees who have a qualifying child living with them and expect to earn less than $28,281 in 2001. These employees may choose to receive up to $1,457.00 of the basic credit in advance with their regular paychecks instead of waiting until they file their 2001 Federal income tax return. However, the amount received in advance is limited to the basic earned income credit amount for families with one qualifying child. Employees who are eligible for the larger credit have to wait until they file their tax returns to get the benefit of those extra credit amounts.

To make the Advance Earned Income Credit (EIC) program more accessible to New York City employees, the City's Payroll Management System can be used to automatically provide EIC payments with an employee's bi-weekly paycheck. An employee may be able to claim the Advance Earned Income Credit for 2001 if he/she works and meets all of the following requirements:

1. employee expects that 2001 earned income and adjusted gross income will be less than $28,281.00 (including spouse's income if employee expects to file a joint return);

2. employee has a qualifying child living with him/her;

3. employee expects to be able to claim the EIC for 2001:

4. if married, employee expects to file a joint tax return for 2001;

5. employee is not a qualifying child of another person;

6. employee does not expect that 2001 investment income will be more than $2,450.

If you think you qualify and wish to claim the Advance EIC for 2001, you may obtain the IRS form W-5 from the Office of Human Resources in Room A-201. Carefully read the instructions for the IRS form W-5, complete the form and submit it to the Office of Human Resources for implementation on the payroll system. Note that the W-5 certificate is effective for the current calendar year only. A new W-5 form must be submitted each calendar year in order to continue to participate in the Advance EIC program.

If your situation changes after you give Form W-5 to your employer, it will probably be necessary for you to file a new W-5. You should file a new W-5 if you no longer have a qualifying child, you no longer expect to be able to claim EIC this year, you no longer want advance payments, or your spouse files a W-5 with his or her employer.

If you would like more information on the EIC, you may call the IRS toll-free at 1-800-829-3676 and order IRS Publication 596, Earned Income Credit. The W-5 Form may also be obtained at http://www.ustreas.gov/

PAYROLL SCHEDULES

PAYDATES FOR ADJUNCTS AND OVERLOAD FACULTY FOR SUMMER 2002 SEMESTER

PAYDATES FOR COLLABORATIVE PROGRAMS ADJUNCTS FOR SPRING 2001 SEMESTER

PAYDATES FOR CONTINUING EDUCATION TEACHERS FOR SPRING 2001 SEMESTER

Please be advised that it is essential that all required paperwork (i.e. teaching schedules) be submitted to your department on schedule in order to be paid on time. It is required that I-9 documentation (i.e. proofs of identification) and completed tax withholding forms be submitted to the Human Resources Office within three days of starting to work. Also, please be aware that the Human Resources Office is unable to place an employee on the New York City Payroll Management System (PMS) if the employee has not presented an original Social Security card.

Our ability to adhere to these payroll schedules is dependent upon receipt of Personnel Data Forms (PDF's) from either the Office of the Dean of Faculty or the Office of Continuing Education prior to predetermined payroll submission deadlines. If the PDF's are not received in the Human Resources Office by the designated deadlines, then the first pay date of employees will, unfortunately, be delayed.

PAY LAG INFORMATION

All Kingsborough employees are paid on a biweekly basis. There are currently three pay lag classifications being utilized at Kingsborough. Indicated below are the three categories:

A pay lag affects most employees and is the reason why it appears that your pay was withheld when you started working. When you leave City service, you receive pay one or two weeks after your last day worked because of the lag from your last pay period.

The Human Resources Office will be happy to answer any questions you may have regarding pay lags.

MISCELLANEOUS ITEMS OF INTEREST

CONTACTING THE NEW YORK CITY OFFICE OF PAYROLL ADMINISTRATION

College employees may call the Office of Payroll Administration at (212) 669-8555. OPA will respond to employee inquiries regarding payroll related matters including such items as: garnishments, child support payments, tax levies, the Dr.'s Council FICA Refund Claims, etc. A recorded menu of options will direct the employee to the appropriate party for assistance.

CHECK REPLACEMENT FOR LOST OR STOLEN CHECKS

If you have lost a payroll check or if it has been stolen, please contact the Kingsborough Payroll Distribution Office at extension 5994 (Room A-206). A brief written statement informing the College of the loss or theft of the check will be required in order to initiate the process of replacing the check. The Payroll Distribution Office will be able to provide you with more detailed information regarding this procedure.

UPDATING OF STALE PAYROLL CHECKS

Payroll checks are good for a period of 180 days. If you have not cashed a payroll check prior to the 180 day period, it will be necessary for you to take that payroll check to the Kingsborough Payroll Distribution Office (Room A-206) so that it can be updated. The Payroll Distribution Office will have to send the payroll check to the New York City Office of Payroll Administration for the actual updating. For more information regarding this procedure, please call the Payroll Distribution Office at extension 5994.

TAXABLE STATUS OF GRADUATE TUITION WAIVERS

Tuition waived on behalf of employees who are engaged in graduate coursework will be considered taxable wages on the W-2 Wage and Tax Statement if the graduate courses are deemed to be unrelated to the job of the employee. It is essential that employees who receive Graduate Tuition Waivers submit a Bursar receipt and a completed Management Certification Form signed by his or her supervisor indicating the taxable status of the graduate course being taken to the Human Resources Office.

PARTICIPATION IN THE U.S. SAVINGS BOND PROGRAM

Employees wishing to have payroll deductions for U.S. Savings Bonds may contact Mickie Driscoll at extension 6125, Room P-203 to obtain further information and enrollment forms. You can obtain more information regarding US Savings Bonds at http://www.publicdebt.treas.gov/.

PARTICIPATION IN THE MUNICIPAL CREDIT UNION (MCU)

The Municipal Credit Union (MCU) is a full service financial institution which offers its members a wide range of services which include checking and savings accounts, VISA cards, mortgages, loans, ATM access, money market accounts, and individual retirement accounts. If you are an employee of The City of New York and are interested in joining the MCU, you can obtain more information about the MCU and access the on-line Membership Request Form at the MCU web site at www.nymcu.org.

PARTICIPATION IN THE PSC/CUNY FEDERAL CREDIT UNION

The PSC/CUNY Federal Credit Union offers instructional staff members a wide range of banking services which include checking and savings accounts, VISA cards, loans, mortgages, ATM access, etc. If you are an instructional staff member of CUNY interested in joining the PSC/CUNY Federal Credit Union, you can obtain more information and access the on-line Membership Application form at http://www.psccunyfcu.org/.

W-2 WAGE AND TAX STATEMENT W-2

Forms are mailed directly by the City of New York to employees' homes. If you do not receive your W-2 Form a request may be submitted to the Human Resources Office (Room A-201, Ext. 5436) for a duplicate. The Human Resources Office then submits your request to the New York City Office of Payroll Administration (OPA). A replacement form will be mailed by OPA to your home in approximately 10 business days. If upon reviewing your W-2 Form, you believe there is an error in the figures indicated, please contact the Human Resources Office. A member of the Payroll Management Unit will be happy to discuss the matter with you and review your W-2 figures.

CHECK CASHING FOR EMPLOYEES WHO DO NOT HAVE A BANK ACCOUNT

The City of New York provides payroll check cashing services to employees paid by the Payroll Management System (PMS), through a contractor, at seven locations on biweekly paydays. A small fee is charged.

The seven facilities are open on the City's pay day Fridays (see business hours below). Your City of New York paycheck for that payday will be cashed as long as you present a valid City-issued identification or badge.

If your net pay is $191 or more, a fee of $2.10 will be charged. If your net pay is less than $191, you will be charged a fee equivalent to 1.1%, but in no case lower than $0.60. These fees will be in effect through February 2001. City of New York paychecks up to $2500 will be cashed.

Appearing below is a list of the names and addresses of the seven locations, as well as their business hours:

OPA has arranged for Check Cashers displaying the "PAYNET" sign to offer a 10% discount on regular check cashing fees to employees paid by the City's Payroll Management System. This discount is available during each Check Casher's normal business hours. There are more than 500 participating Check Cashers in the City offering the discount. You can call the PAYNET Customer Hotline at 800 4-PAYNET.