PeopleSoft
Alternative Retirement System (ARS) Guide
Version 3.0 | Updated May 1, 2018 Contents
Overview ... 1
Definitions ... 1
Overview to Enrolling an Employee in an Alternative Retirement System (ARS) ... 1
Recommended Process Using PeopleSoft ... 2
1. ARS Eligibility ... 3
2. ARS Enrollment ... 5
3. Paysheet Adjustments (IF NECESSARY) ... 6
4. Audits and Inquiries ... 9
A. Audit Job Data and Enrollment Screen (M_BN_ARS_AUDIT query) ... 9
B. Review Deduction Balances (Review Self Service Paycheck Screen) ... 11
C. Review Deduction Balances (Periodic Payroll Events Screen) ... 12
D. Review Earnings Balances (Periodic Payroll Events Screen) ... 14
E. Audit Pay Period Employee Paid Contributions to the Vendor (Deduction Register) ... 16
F. Audit Pay Period Employer Paid Contributions to the Vendor (Employer Benefit Contributions) ... 18
P R E P A R E D B Y T H E S D C O E C U S T O M E R R E S O U R C E C E N T E R
Copyright ©2018, San Diego County Board of Education.
This document may be reproduced internally at the San Diego County Office of Education for the San Diego Board of Education. Except
Overview
Definitions
Alternative Retirement Systems (ARS) are an alternative to Social Security.
There are different programs that a district can elect as an alternative to Social Security, which include ARS, PARS, PEAR, APPLE, STRSCB, or other.
*STRSCB: Used by Grossmont High and MiraCosta College only.
**P-EPMC: Used by Poway Unified only.
Overview to Enrolling an Employee in an Alternative Retirement System (ARS)
Federal legislation requires that part-time, seasonal, and temporary employees participate in Social Security or an alternative plan established according to IRS guidelines. Alternative Retirement Systems are an alternative to Social Security. Some districts have elected to offer their employees an Alternative Retirement System in lieu of Social Security. There are different programs that an organization can elect as an alternative to Social Security, which include ARS, PARS, PEAR, APPLE, STRSCB* or other.
Employees are eligible to participate in an Alternative Retirement System if they are active temporary
employees and are ineligible to currently participate in PERS or STRS. Employee participation in an Alternative Retirement System, PERS or STRS eligibility, and determination of employee’s prior membership in PERS or STRS, and is coordinated with the Retirement Reporting Unit. Employees are subject on their date of hire into the position. Their Job Data and enrollment should be coded prior to their first payroll, even if employee has turned in Permissive Election form.
P-EPMC** is administered with the same process as an Alternative Retirement System.
Recommended Process Using PeopleSoft
This guide covers the setup of an Alternative Retirement System record in PeopleSoft for an individual employee. It explains how to adjust Employee and Employer deductions/contributions when necessary. It is recommended that you follow the steps to review and audit the data.
Required
You must complete Parts 1 and 2 to set up an individual employee for ARS. If both are not coded properly, ARS will not process.
1. Job Data: Enter the employee's Alternative Retirement System Eligibility. (p.3)
HR module (Job Data screen > Benefit Program Participation link)
Enter Elig Fld 2 and an effective date
Double check the FICA Status has been systematically updated to Medicare Only (Job Data Screen >
Payroll tab)
2. Benefits: Enroll the employee in the Retirement Plan. (p.5)
Benefits module (Retirement Plans screen)
Enter the ARS Plan Type and coverage information
NOTE: If there are multiple subject job records, you will have to do this multiple times
If Necessary
Complete Part 3 only if you need to make adjustments to Employee and Employer contributions.
3. Paysheet Adjustments (IF NECESSARY): Make adjustments to deductions and contributions. (p.6)
Payroll module (By Payline screen)
For Auditing
See Part 4 (A-F) for reviewing and auditing the data.
4. Other Actions
A. Audit Job Data to Ensure Elig Config 2 is Coded (M_BN_BEN_PROG_JOB_DATA query) (p.9)
B. Review Deduction Balances (Review Self Service Paycheck Screen) (p.11)
C. Review Deduction Balances (Periodic Payroll Events Screen) (p.12)
D. Review Earnings Balances (Periodic Payroll Events Screen) (p.14)
E. Audit Pay Period Employee Paid Contributions to the Vendor (Deduction Register) (p.16)
F. Audit Pay Period Employer Paid Contributions to the Vendor (Employer Benefit Contributions) (p.18)
1. ARS Eligibility
First, you need to enter the Alternative Retirement System Eligibility. Go to Job Data and enter Elig Fld 2.
If there are multiple subject employee records, each subject employee record will need to be coded in order for ARS to process. If earnings are received in an employee record not coded for ARS, ARS will not process.
Navigation: Main Menu > Workforce Administration > Job Information > Job Data (Benefit Program Participation link)
1. Navigate to Main Menu > Workforce Administration > Job Information > Job Data.
2. Search for and select the appropriate employee and Empl Record.
3. Add a row and input the effective date for the desired enrollment date into the Alternative Retirement System. Enter the effective date, normally the employee’s date of hire. Example: 10/15/2015
NOTE: If the desired date precedes the current row in job data, please contact the CRC.
4. Enter Action = Data Change and Reason = Other.
Enter the Effective Sequence. Example: Effective Sequence 1.
5. Use the link at the bottom of the screen to go to the Benefits Program Participation page.
6. Enter the district’s Alternative Retirement System in Elig Fld 2 on the Benefit Program Participation page. Example: 63ARS
NOTES:
Data entry: There are individual Empl Records on the Benefit Program Participation page. Ensure that you establish an Alternative Retirement System record for each Empl Record where the position is subject to an Alternative Retirement System. If there are multiple subject job records, you will have to do this multiple times.
P-EPMC (Poway): For P-EPMC, the employee must be in Union Code C31 on Job Labor tab of Job Data.
IMPORTANT: If the Benefit Program does not begin with your district number or PSX, please contact the CRC. Example: 63C or PSX
7. Click Save.
8. When an ARS plan has been added to Elig Config 2, the FICA status automatically updates to Medicare Only. If this employee is an exception, the FICA status should be manually updated to reflect the proper SS/MED taxability. Click OK.
2. ARS Enrollment
Second, you need to enroll the employee in the Alternative Retirement System. You will need to enter a plan type and coverage information for ARS.
Navigation: Main Menu > Benefits > Enroll In Benefits > Retirement Plans
1. Navigate to Main Menu > Benefits > Enroll In Benefits > Retirement Plans.
2. Search for and select the appropriate employee.
3. Enter the following on the Retirement Plans page:
Plan Type: Enter the Alternative Retirement System; 7A – ARS Alternative Retirement, 7C – STRS Cash Balance or 7E – PERS EPMC. Example: 7A - ARS Alternative Retirement.
Deduction Begin Date: Enter the deduction begin date, normally the employee’s Date of Hire.
Example: 10/15/2015
Participation Election: Select Elect (the default option).
Benefit Plan: Select the appropriate plan. Example: 99ARS
NOTES:
There are no Empl records on the Retirement Plans record.
The Election Date is the date that the elections were input into the system. Example: 10/15/2015
IMPORTANT: If the Benefit Record Number is not your district number or PSX, please contact the CRC.
4. Click Save.
3. Paysheet Adjustments (IF NECESSARY)
This section shows you how to make Paysheet adjustments for Alternative Retirement System contributions.
Navigation: Main Menu > Payroll for North America > Payroll Processing USA > Update Paysheets > By Payline
1. Navigate to Main Menu > Payroll for North America > Payroll Processing USA > Update Paysheets >
By Payline.
2. Search for and select the appropriate employee and Empl Record.
3. Add a row.
4. Enter the following on the By Payline page.
OK to Pay: The OK to Pay checkbox must be checked.
Reason: Select the appropriate adjustment reason; ARS Adjustment, PERS EPMC Adjustment or STRS Cash Balance Adjustment. Example: ARS Adjustment.
Earnings Begin/Earnings End: Enter the dates that the earnings begin and end. This is the Prior Service Periods for which the ARS adjustment is being made. Adjustments for each monthly service payroll period must be entered separately. Example: 10/15/2015 - 10/31/2015
Other Earnings Code: Enter the appropriate Earnings code; ASW for ARS Subject Wages, PEW for PERS EPMC Subject Wages or SCW for STRS Cash Balance Subject Wages. Example: ASW.
Hours: Enter hours. This is the total number of hours being adjusted during the earnings period.
The hours entered can be a positive value for collections or negative value for refunds. Example: 25
Amount: Enter an amount. This is the amount of prior period earnings (not prior
deductions/contributions) for which a positive or negative adjustment must be made. Example: 2500.00 NOTES:
If the employee is in a Monthly position, input the hours listed on the on the Review Paycheck for the pay period in which the adjustment needs to be made.
A positive or negative adjustment in ARS subject wages will result in the calculation of ARS deductions/contributions for both Employee and Employer. Adjustments to ARS subject wages will result in an adjustment in employee taxable income and tax withholding amounts. The timing of ARS adjustments should be coordinated with the Retirement Reporting Unit who will need to make the appropriate adjustments to FICA and PERS or STRS.
Adjustments do not show separately from the regular deduction on the employee’s pay check or on the vendor remittance report.
If employee has been enrolled into the wrong ARS plan, ARS must be refunded fully to the incorrect plan and charged to the correct plan using the steps above. Example, District 63 employee is coded with 16ARS. 16ARS must be fully refunded and charged to 63ARS.
5. Click Save.
4. Audits and Inquiries
A. Audit Job Data and Enrollment Screen (M_BN_ARS_AUDIT query)
Use the M_BN_ARS_AUDIT query to audit employees’ Job Data records to ensure Elig Config 2 and the Retirement Enrollment Screen is coded for ARS.
Navigation: Main Menu > Reporting Tools > Query > Query Viewer 1. Navigate to Main Menu > Reporting Tools > Query > Query Viewer.
2. Enter M_BN_ARS_AUDIT, then click Search.
3. Click the HTML link to run the query onscreen.
4. Use the lookup tool to select your district or organization number.
5. Click the View Results button.
6. You have the option to download to excel by clicking the Excel SpreadSheet link or view the Elig Fld 2 data directly on the screen.
Elig Fld 2: The field in which ARS eligibility is coded in Job Data. This field is also use by the Retirement Reporting unit to code retirement eligibility.
Plan Typ: The plan type on the Retirement Plans enrollment screen.
Plan: The benefit plan on the Retirement Plans enrollment screen.
7. Once the data has been downloaded to excel, use filters to manage the audit.
B. Review Deduction Balances (Review Self Service Paycheck Screen)
You can review the current period and year to date balances on the employee’s paystub using the Review Self- Service Paycheck screen.
Navigation: Main Menu > Payroll for North America > Payroll Processing USA > Produce Payroll > Review Self Service Paycheck
1. Navigate to Main Menu > Payroll for North America > Payroll Processing USA > Produce Payroll >
Review Self Service Paycheck.
2. Search for and select the appropriate employee.
3. Click the View Paycheck link for the pay period you are interested in viewing the balances as of.
4. On the paycheck, the balances are listed in the deductions area as follows:
a. Current (Before Tax Deductions): The employee’s ARS contribution in this payroll processing.
b. YTD (Before Tax Deductions): The employee’s calendar year to date ARS contribution.
c. Current (Employer Paid Benefits): The employer’s ARS contribution in this payroll processing.
d. YTD (Employer Paid Benefits): The employer’s calendar year to date ARS contribution.
C. Review Deduction Balances (Periodic Payroll Events Screen)
You can review the employee’s deduction balances on the Periodic Payroll Events screen. This screen allows you to view the balances broken down by different criteria and time periods.
Navigation: Main Menu > Payroll for North America > Periodic Payroll Events USA > Balance Reviews >
Deductions
1. Navigate to Main Menu > Payroll for North America > Periodic Payroll Events USA > Balance Reviews
> Deductions.
2. Search for and select the appropriate employee.
3. Use the forward arrows to identify the Balance ID and Year you would like to review.
4. Once the desired Balance ID and Year are selected, use the forward arrow in the Balance Details area to identify the deduction and period of interest.
5. Once you have navigated to the appropriate Balance Details row, the deductions balance will be reflected.
Example: In this screenshot it is the employee contribution to ARS.
6. See how the Balance Reviews screen matches the employee’s self-service paystub.
Example: $72.12 month-to-date and $826.51 year-to-date.
D. Review Earnings Balances (Periodic Payroll Events Screen)
You can review the employee’s subject wage balances on the Periodic Payroll Events screen. This screen allows you to view the balances broken down by different criteria and time periods.
Navigation: Main Menu > Payroll for North America > Periodic Payroll Events USA > Balance Reviews >
Earnings
1. Navigate to Main Menu > Payroll for North America > Periodic Payroll Events USA > Balance Reviews
> Earnings.
2. Search for and select the appropriate employee.
3. Use the forward arrows to identify the Balance ID and Year you would like to review.
4. Once the desired Balance ID and Year are selected, use the forward arrow in the Balance Details area to identify the deduction and period of interest.
5. Once you have navigated to the appropriate Balance Details row, the hours and earnings balances will be reflected.
E. Audit Pay Period Employee Paid Contributions to the Vendor (Deduction Register)
Follow these steps to audit the employee contribution to ARS on a per pay period basis.
Navigation: Main Menu > Payroll for North America > Payroll Processing USA > Pay Period Reports >
Deduction Register
1. Navigate to Main Menu > Payroll for North America > Payroll Processing USA > Pay Period Reports >
Deduction Register.
2. Enter the parameters of your search period by Pay Run ID, Company and Payroll Cycle, and then click Run.
3. Select Type = Web and Format = PDF. Then click OK.
4. Once the report has run, on the Administration tab of the Report Manager click the Deductions Register hyperlink to open the report.
5. The report returns the current payroll contribution and contributions from different time periods.
F. Audit Pay Period Employer Paid Contributions to the Vendor (Employer Benefit Contributions)
This section shows you how to audit the employer contribution to ARS on a per pay period basis.
Navigation: Main Menu > Payroll for North America > Payroll Processing USA > Pay Period Reports >
Employer Benefit Contributions
1. Navigate to Main Menu > Payroll for North America > Payroll Processing USA > Pay Period Reports >
Employer Benefit Contributions.
2. Enter the parameters of your search period by Pay Run ID, Company and Payroll Cycle, and then click Run.
6. Select Type = Web and Format = PDF. Then click OK.
3. Once the report has run, on the Administration tab of the Report Manager click the Employer Benefit Contribution hyperlink to open the report.
4. The report returns the current payroll contribution, the calculation base and contributions from different time periods.
