Presentation on theme: "Kuali Budget Construction Training Catherine Maddaford KBC Administrator."— Presentation transcript:
Kuali Budget Construction Training Catherine Maddaford KBC Administrator
KBC FACULTY PAY Kuali Budget Construction
KBC to Workday It is important to make sure that the data that you enter in Kuali Budget Construction for faculty pay will translate correctly to Workday. There are several components required in Workday to generate the appropriate pay to faculty, and there are several components in KBC required to make sure the correct amounts are budgeted to support that pay. Paying close attention to the KBC setup will help make the transfer of data happen correctly. The KBC and WD teams will work together to convert any data that has to be converted, but we need the KBC users to enter it in a consistent manner to make sure we get consistent results.
Academic Enabled Pay Two comp plans in Workday are identified as Academic Enabled Pay plans. – Core Pay KBC: Salary Plan 6-21 KBC: Core Earnings, COREMOE – Sabbatical KBC: Salary Plan 6-55 KBC: Sabbatical Pay Earnings, SABERN Academic enabled pay can be spread over a period that is longer than the contract period, but applies only to contract lengths of 9 or more months.
AWP and DPP Both AWP and DPP are values imported from Workday into KBC. The AWP months, known Annual Work Period in Workday and as Work Months in KBC, represent the duration of the faculty contract for academic enabled core pay. The DPP months, known as Disbursement Pay Period in Workday and Pay Months in KBC, indicates the time during which the contract academic enabled pay is paid out.
AWP/DPP= 9/12 If AWP is 9 and DPP is 12, then… Workday and KBC use different monthly rates to calculate the same total pay for this situation. Workday – requires the 9-month monthly pay rate – Workday has built in tools to prorate and distribute academic enabled pay according to the AWP and DPP months, so in Workday you enter the full monthly amount that would be paid for nine months. KBC – requires the 12-month monthly pay rate – KBC bases its monthly rate for each funding line ONLY on the cost allocation dates, which spans 12 months. – This means a simple cost allocation of one account would require that 1/12 of the total pay for that comp plan is entered in the pay rate field for that line.
How to Enter in KBC Enter the 1/12 monthly pay rate in KBC. The conversion team will re-calculate the monthly pay rate from KBC before adding it to the Workday comp plan monthly rate for the academic enabled pay. Be sure to verify that this rate was correctly converted once that comp plan is visible in Workday for the new fiscal year. Comp plan dates should be 7/1/2014-6/30/2014 for this plan. Cost allocation dates should cover the full fiscal year period, or 7/1/2014-6/30/2014.
Rate conversion Understanding that these two systems handle the monthly pay rate differently for just this academic enabled pay, we will need to do some conversion of the rate AFTER you have finished KBC and BEFORE we load the data into Workday. To make sure that the conversion is accurate, please follow the instructions for KBC as outlined in these slides. Please be sure to review the data in Workday after the load is completed and make sure the rate is correct in Workday.
Example Core Pay 9/12 Academic Enabled pay comp plan, Core Pay - Salary Plan 6-21, Core Earnings, COREMOE. A faculty member’s contract for core pay is for $121,521 for the year, starting on 8/16/2014 and ending on 5/15/2015 (9 months.) Enter 7/1/2014-6/30/2015 for comp plan dates, because in Workday, AWP and DPP will be used to determine when pay is earned and when it is paid. – Every budget line in KBC for this same comp plan must have the same comp plan dates, because this is all being rolled over into one line in Workday. The faculty member chooses to spread this pay over the fiscal year, starting 7/1/2014 and ending 6/30/2015 (12 months.) – Cost allocation dates are 7/1/2014 to 6/30/2015. In KBC you divide $121,521 by 12, and you will enter $10, in the monthly pay rate field, if your cost allocation distribution percent is 100%. KBC calculates 12 X $10, to get your total allocated budget of $121,521. Verify after load into WD: Divide $121,521 by 9 and that will be the WD comp rate, $13, after it has been converted and loaded into WD. Check Workday in late June to verify that we converted the KBC to WD monthly rate correctly.
KBC Ex Sabbatical Academic Enabled pay Sabbatical comp plan, Salary Plan 6-55, Earning Sabbatical Pay, SABERN. 9/12, Semester sabbatical. The faculty member’s annual contract core pay is $121,521 for the year, starting on 8/16/2014 and ending on 5/15/2015 (9 months.) Since the faculty member is on sabbatical for the spring semester only, this pay will be split between two comp plans, first semester core pay, and second semester sabbatical pay. Enter 7/1/ /31/2014 for the first semester core pay comp plan dates, and 1/1/2015-6/30/2015 for the sabbatical pay comp plan. – In Workday, AWP and DPP will be used to determine when pay is earned and when it is paid for both of these comp plans, since they are both academic enabled pay. – Every budget line in KBC for this same comp plan must have the same comp plan dates, because this is all being rolled over into one line in Workday. The faculty member chooses to spread this pay over the fiscal year, starting 7/1/2014 and ending 6/30/2015 (12 months.) – Cost allocation dates are 7/1/2014 to 12/31/2014 and 1/1/ /30/2015, following the same split as the two sets of comp plan dates. In KBC you divide $121,521 by 12, and you will enter $10, in the monthly pay rate field, if your cost allocation distribution percent is 100%. This calculates 12 X $10, to get your total allocated budget of $121,521. The monthly rate is the same for each of these two comp plans. Verify after load into WD: Divide $121,521 by 9 and that will be the WD comp rate, $13, after it has been converted and loaded into WD. Check Workday in late June to verify that we converted the KBC to WD monthly rate correctly. Additional entry required for sabbaticals: Under Leave Request in the KBC Salary setting screen, select the correct sabbatical type from the drop down list. Enter the total allocated for the sabbatical pay only in the Amount field. This does not update anything in Workday, but provides total sabbatical amount for budget verification purposes. In Workday you need to complete the sabbatical leave request business process.
Other sabbaticals When you have a sabbatical that is shorter than the full year, you will be entering more than one comp plan and the appropriate cost allocations in KBC. Use the core academic pay comp plan for the portion being paid as core pay and use the sabbatical comp plan for the portion being paid as sabbatical. Be sure that the comp plan start and end dates cover the full year between the two plans, since they are both academic enabled pay and will be paid according to the AWP and DPP in Workday. Example: Spring Semester sabbatical: – Core pay comp plan and cost allocation 7/1/ /31/2104 – Sabbatical comp plan and cost allocation 1/1/2015-6/30/2015 – Rate of pay is the 12/month rate in KBC for both of these plans, since you are paying them the same rate on sabbatical as you are when they are not.
Core/Sabbatical 9/9 You must enter the academic enabled pay comp plans in the same way for 9/9 as you do for 9/12, because WD will correctly pay using the AWP and DPP. Your comp plan start and end dates and your cost allocation start and end dates should also be 7/1/ /30/2015. You will still be entering the 12-month rate in KBC even though your DPP is 9 months. This same method should be followed for any contract of 9 months or greater. This is necessary for consistent conversion for all academic enabled pay monthly rates.
Supplements/Stipends Only two comp plans for faculty are academic enabled pay comp plans. All other faculty pay comp plans must be PAID WHEN EARNED. This includes the following: – Core pay sponsored funds – All stipends – Faculty overloads – Faculty summer research – All faculty supplemental pay
Dates and Rates For pay that is NOT academic enabled, it is important that your comp plan start and end dates in KBC correctly reflect when the contracted pay should start and stop. Your cost allocation dates in KBC must ALSO correctly reflect those comp plan start and stop dates in order to correctly calculate the allocated budget amount for that comp plan. These monthly pay rates in KBC correctly reflect the earn rate for Workday, so the amount will not be altered. What we will convert is the cost allocation start and end dates, to make sure that Workday receives cost allocation dates that start and end at the beginning or the end of the month only. Example: If your cost allocation date starts 8/16/2014 in KBC, we will convert it to 8/1/2014 before we load to Workday. If your cost allocation date ends 5/15/2015 in KBC, we will convert it to 5/31/2015 before we load to Workday. By converting only the dates, we are leaving the rate intact to load to Workday, so you want to verify that you have used the correct effective dates to get the correct total and monthly rate.
Other Pay Example Add a teaching overload and an administrative stipend for a 9/12 faculty. Contract indicates the faculty teaching overload is expected for fall only. – The total overload to be paid is $10,000. – Comp plan and cost allocation dates are 8/15/ /31/2014. Monthly rate is $10,000/4.5, or $2, Contract indicates the administrative stipend is for spring only. – The total stipend is $8,000 – $1, per month, or $8,000/4.5. – Comp plan and cost allocation dates are 1/1/2015-5/15/2015. When we load this to Workday, the rates will remain as is, but the mid-month cost allocation dates will be changed from 8/15 to 8/1 and 5/15 to 5/31. No dollars will be converted in this case in KBC or in the budget or in Workday, just the dates.
Want to simplify? All of these dates and rates can make it very confusing when you are updating exempt faculty salaries in KBC, so here are some suggestions that might make it simpler. Faculty who receive part of their pay consistently from sponsored funds, but you change cost allocations monthly or frequently in Workday. – Enter these using one comp plan- core academic enabled pay, and use cost allocation in KBC to split the rate correctly to the correct distribution. – Instead of your 53-account, use your 22-account to represent the portion that usually comes from sponsored funds. – Enter the same cost allocation dates for all lines. (This best represents the cost allocation at the position level.) – Add the Core Pay Sponsored funds in Workday, if needed, and change your cost allocations, as needed, when you are ready to allocate costs to a specific sponsored account.
Simplified example For this example we are using the faculty member receiving $121,521 annually for core pay. This faculty member usually receives 80% of his pay from sponsored funds, so you wish to budget 20% of his pay to come from your school unrestricted fund budget. Each month or every few months he works on different projects, so his cost allocation accounts change frequently, and the distribution percent also changes frequently, requiring that the Workday cost allocation also changes frequently. In KBC you divided $121,521 by 12, so that $10, is the monthly pay rate for KBC, if your cost allocation distribution percent is 100%. You want to split the $10, to pay 80% from your 22-account (representing all sponsored fund sources) and 20% to pay from your 12- account (to represent your department budget contribution.) – Enter $8, on the line with your 22-account. – Enter $2, on the line with your 12-account. – The grand total allocated for this comp plan will be $121,521 for all accounts.
Summer pay in KBC Since some of the summer pay is earned starting on 5/16/2014, but can be paid from the new year budget, you have to do the following in KBC and in Workday: – Enter the comp plan and cost allocation directly in Workday, effective no earlier than 5/16/2014 and ending no later than 8/15/2014. – Enter funding in a pooled position in KBC to cover the amount that you have entered in Workday ONLY for the unrestricted accounts. – Use the correct comp plan and dates in your pooled position to make sure that the correct object code is budgeted.
Summer -when earned The following CANNOT be earned/paid from May 16 through August 15. – Core pay sponsored funds – Administrative Stipend The following CAN be earned/paid from May 16 through August 15. – Summer administrative stipend – Summer teaching overload – Faculty summer research supplement