The Faculty Deferred Pay Plan provides a method for academic employees on 9-month appointments to spread their gross salary over a 12-month plan year from August 1st through July 31st.
Benefit deductions for mandatory retirement will be taken from the 10 academic year checks. However, benefit deductions for OGB products, such as medical, FSA, HSA, supplemental life and basic life insurance, and any supplemental benefits through Lion Advantage will be taken from all 12 monthly checks.
Summer salaries are separate from this program and payments will be in addition to any deferred payments made in June and July.
ENROLLMENT
To enroll in the plan an employee will sign and date a Faculty Deferred Pay Plan form. This form must be returned to the Human Resources Office by August 15th. Enrollment in the plan becomes effective at the beginning of the plan year (August 1st). This plan will continue from year to year until the employee or university cancels participation in writing.
TERMINATION
Election to participate in the plan is irrevocable during the plan year. Pay out prior to the standard distribution schedule may be made only in the event of the employeeâs termination from the university or death. If a participating employee dies, the money accumulated in the deferred account will be paid to the surviving spouse or children or to the estate, according to payroll policies and procedures.
WITHDRAWAL
To withdraw from the plan, the employee will sign and date a new Faculty Deferred Pay Plan form that will be effective at the end of the plan year (July 31st) and the employeeâs salary will revert back to a standard distribution (10 checks) effective at the beginning of the next plan year (August 1st).
If you have questions regarding the calculations, please call the Payroll Office at-985/549-3801, for other questions please call Human Resources at 985/549-2001.
The Faculty Deferred Pay Plan is a method for academic employees on 9-month appointments to spread their gross salary over a 12-month plan year from August 1st through July 31st .
Enrollment in the plan can be made anytime prior to August 15
th
of the plan year.
You do not need to re-enroll; this election would continue until you submit a new Faculty Deferred Pay Plan form to stop the election.
Benefit deductions for mandatory retirement will be taken from the 10 academic year checks. However, benefit deductions for OGB products, such as medical, FSA, HSA, supplemental life and basic life insurance, and any supplemental benefits through Lion Advantage will be taken from all 12 monthly checks.
Once you are enrolled you are required to continue for the full plan year (August 1st through July 31st )
To withdraw from the plan, you will sign and date a new Faculty Deferred Pay Plan form that will be effective at the end of the plan year (July 31st ) and your salary will revert back to a standard distribution (10 checks) effective at the beginning of the next plan year (August 1st ).
Any accumulated monies in the deferred account will be paid in a lump sum.
Summer salaries are separate from this program and payments will be in addition to any deferred payments made in June and July.
The University would hold your money for disbursement over the summer. You would not receive interest on the funds.
Your tax withholdings will continue to be based on the lasts W-4 on file and will be calculated on the amount of wages paid, not the earned amount. Your W-2 will reflect only the wages paid during the calendar year, not the wages earned or deferred. Based on the Percentage Method to calculate income tax withholding, employees who elect to receive their salary over 12 pay period will have less income tax withheld per pay period compared to salary received over 10 pay periods. The amount being withheld has no effect on the individualâs tax liability.
Automatically, yes. However, you may be able to request your bank to move money from one account to another as a way of saving money or set up an additional direct deposit through the payroll office. This would allow you to access the money earlier than summer in cases of emergencies.
Yes, all pay received from Southeastern will be directly deposited into the bank account on file. If you need to update your banking information, you would sign in to Workday and update your Payment Elections.
You may contact Payroll by phone at 985-549-3801, by email at [email protected] or Human Resources by phone at 985-549-2001 or by email at [email protected].
