Transcript Salary Encumbrance Go-Live

Salary and Additional Pay
Encumbrances
July 2, 2015
What are salary encumbrances?




Salary encumbrances represent estimates on expected future salary expense
Primary purpose of tracking encumbrances is to avoid overspending a budget
Salary encumbrances are based on current job records and funding assignments
Changes in encumbrances are due to job changes or position funding changes
Who is encumbered and how often?
 Salary encumbrances are on all active salaried employees
 Includes recurring additional pay on active salaried employees
 Encumbered through the end of the Fiscal Year – August 31, 2015 or for
faculty on employment contracts through the end of their contract
 Updates to encumbrances will be nightly once an automation process is in
place
Formula for Encumbrance Calculations
 12 Month Employees (365 Days in a Year)
 (Annual Rate/365)*# of days left in the fiscal year = Projected Encumbrance
 # of days left in a fiscal year for projected encumbrance May 1st forward is 123
days
 Faculty – 9 Month Contract (273 Days September 1 through May 31)(Academic
Compensation Value/273)*# of days left in the academic year = Projected Encumbrance
 # of days left in academic year for projected encumbrance May 1st forward is 31
days
 Faculty – 4.5 Month Contract (136 Days for 4.5 Months – Fall or Spring)
 (Semester Compensation Value/136)*# of days left in the spring academic semester
= Projected Encumbrance
 # of days left in spring academic semester for projected encumbrance May 1st
forward is 31 days
Key Reminders
 For 9 month faculty that spread their salary over 12 months - after 5/31/2015
of any year, the portion of 9 month faculty salary that is spread and paid over
the summer months is not encumbered.
 If you think you see a discrepancy in the encumbrance value remember to
check changes in the following areas:




Job Records
Position Record
Funding Change
Look for Additional Pay
 Termination of an employee will unencumber salary the next time the nightly
process is run.
 Hourly Employees are not encumbered
 At the end of a fiscal year, the residual salary encumbrance will be removed.
A new baseline encumbrance will be posted for the new fiscal year based on
job records effective 9/1/20XX.
Custom Reports Currently Available
Payroll Liquidation
Budget Actuals to Encumbrance Details
Encumbrance Details by Employee ID and Salary
Access to these custom reports was given automatically to all Administrative Staff with the
PeopleSoft HCM Admin Role.
Access for others that have a job responsibility that includes budget reconciliations and currently
has access to the FMS Commitment Control Budget Overview function should use the following
form to request access.
http://www.utsa.edu/utshare/News/2015/Salary%20Encumbrances%20Announcement.html
Navigation to Custom Reports
Main Menu UTZ Customization
Commitment Accounting Reports
Note: Data included in the custom reports are
limited by role level security currently.
Communications
Budget Planning and Development Website
http://www.utsa.edu/financialaffairs/budget/
Salary Encumbrance Communication - Revised June 23,
2015.pdf
Fringe Benefit Encumbrance
Planned Go Live September 1, 2015
**********
Thank you for all your support as well as
the support of your staff.
We could not have done this so quickly
without you.
Questions?