Non-Budgeted Benefits
Introduction
The purpose of the state funded employee benefits program is to ensure that sufficient funds are budgeted and available to cover the ongoing employee benefit costs associated with positions budgeted on State funds. For employee benefit costs incurred as a result of payroll from non-budgeted salary activity, departments are responsible for providing benefits funding to the central benefits pool. The state funded benefits policy PPM 380-6 was revised effective March 1, 2003 to include a section on non-budgeted salary activity. The following procedure describes how to calculate those costs.
Procedure
This procedure applies to central benefits pool funds 19000A, 19900Z, 19906A, and 19924A. Departments should prepare an On Line Transfer of Funds (OLTF) after the close of each fiscal year to fund current year benefits to the central benefits pool on non-budgeted salary activity in subs 1 and 2 (actual salary expense greater than permanently budgeted salaries). Transfers should be completed by the September OLTF cut off date for the previous fiscal year activity.
NOTE: Academic (Sub 0) activity is managed centrally by Vice Chancellor. Please contact your VC regarding any academic salary activity.
Preparing the On-Line Transfer of Funds (OLTF):
- The OLTF description should read "to fund benefits on non-budgeted salary activity for FY___”.
- Use sub account 660000 when crediting the central benefits pool.
- Use the reference table to determine the appropriate Central Benefits Pool index based on the non-budgeted salary activity.
