1. Salary and Additional Pay Encumbrances July 2, 2015

2. 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

3. 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 1 st 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 1 st 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

4. 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.

5. 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

6. 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. Main Menu UTZ Customization Commitment Accounting Reports Note: Data included in the custom reports are limited by role level security currently.

7. CommunicationsCommunications Budget Planning and Development Website http://www.utsa.edu/financialaffairs/budget/ Salary Encumbrance Communication - Revised June 23, 2015.pdf Salary Encumbrance Communication - Revised June 23, 2015.pdf Budget Planning and Development Website http://www.utsa.edu/financialaffairs/budget/ Salary Encumbrance Communication - Revised June 23, 2015.pdf Salary Encumbrance Communication - Revised June 23, 2015.pdf

8. 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? 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?