Date: March 12, 2003
Bulletin No. 371
|Subject||Reporting Adjustments for Retroactive Earnings and Service Days to the New York State and Local Retirement Systems (ERS and PFRS)|
explain agency requirements for reporting retroactive days of service
and earnings to the retirement systems.
To ensure that payroll, personnel, fiscal, labor relations and legal services offices in state agencies are aware of the requirement to report service days and earnings to the retirement systems under certain circumstances.
who are members of the New York State and Local Employees' Retirement
System (ERS) or the New York State and Local Police and Fire Retirement
System (PFRS) and meet one or more of the following conditions:|
The Bureau of State Payroll Services reports employee earnings, service
days and contributions to the New York State and Local Retirement Systems
(ERS and PFRS) for each pay period. The file submitted to the retirement
systems includes all of the pensionable earnings received in the paycheck
and up to 10 days of service credit for each pay period reported.
Contributions, earnings and service days are not reported to the retirement systems until a retirement record has been added to the employee's record on the payroll system.
When an employee receives retroactive earnings, the earnings are reported to the retirement system as one payment for the pay end date, even though the salary may have been earned over a period of several months. For example, when an agency submits a time entry transaction on the payroll system for retroactive earnings, such as Regular Pay Salary Employee (RGS) or Extra Time (EXT), all of the pensionable earnings are reported to the retirement systems for the pay end date.
Retroactive earnings and service days for Workers' Compensation Awards are reported to the retirement system when they are paid through the payroll system. However, for all other earnings, ten days is the maximum number of service days reported to the retirement systems by the Bureau of State Payroll Services for each pay end date. When an agency submits a time entry transaction on the payroll system for retroactive days, such as Regular Pay Salary Employee (RGS) and the days added to the current days add up to more than ten, the agency must submit an adjustment report for the retroactive days that exceed the ten day maximum.
In addition, service days are not currently reported to the retirement system for Regular Pay Override (RGO) transactions.
As a general rule of thumb, the agency should review retroactive Regular Pay Salary (RGS), retroactive Extra Time (EXT) and current Regular Pay Override (RGO) transactions entered in time entry to determine if an RS2050 Adjustment Report is needed.
Example: An employee who works part-time at 80% is hired, and the transaction is submitted after the payroll closing date for the pay period. The employee receives eight (8) days of regular earnings (RGS), and the agency enters eight (8) days Regular Pay Salary (RGS) through Time Entry for the retroactive earnings due from the previous pay period. All of the earnings and only 10 of the16 days of service credits are reported to the retirement system. An adjustment report must be submitted for 6 days of service credit.
An Adjustment Report (RS2050) and the Adjustment Report Label (RS2050-A) should be submitted to the New York State and Local Retirement Systems under the following circumstances:
and Service Days are maintained by the Retirement Systems for the month
in which the pay period end date falls. A maximum of ten days service
credit can be credited per pay period.
|Instructions for Completing the RS2050 Form||
Refer to the instructions on the back of the form.
|Mandatory Retirement Enrollments||Membership is mandatory for certain employees. If a retirement record is not added to the payroll system in time for the employee's first paycheck, the retirement system will advise the agency by memo to start arrears payments. Service days are automatically updated as the arrears payments are made, and it is not necessary to submit an Adjustment Report for these employees.|
|Optional Retirement Enrollments||Previous temporary service prior to enrollment should not be submitted on an Adjustment Report. Employees must submit a request to the Retirement System to be credited with service credit and earnings prior to enrollment in the retirement system.|
|Employment in More Than One Agency||If an employee holds jobs in two or more agencies, a retirement record needs to be added for each employment record number.|
Four public queries are available for agency use:
To identify retroactive RGS transactions for the pay periods not archived:
Contact the Retirement Systems' Reporting Services Section
at 866-805-0990 or (518) 474-7736 for reporting instructions.
Questions regarding agency procedures for new employee membership enrollments in retirement systems and agency requirements for reporting retroactive earnings and service credits to the retirement systems may be directed to the Payroll Deducitons mailbox.
Attachment - Queries for Retroactive Earnings
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