Two-Semester Faculty Appointment

Salary Override Calculation Upon Separation

Determine Date of Separation

• Review academic calendar • Determine primary semesters• Determine date of separation• Determine semester in which last date worked • Determine total number of work days for the

semester (see Payout Schedule) • Determine total number of work days faculty

member completed in semester (see Payout Schedule)

Determine Base Salary

• Determine annual base salary

• Multiply annual base salary times 50% (to ascertain base salary for one primary semester)

2014-2015 AY Two-Semester Payoff Schedule

Semester Day Last Day Worked Day# Due *

Spring Mon 1/12/2015 1 1/73rd

Spring Tue 1/13/2015 2 2/73rd

Spring Wed 1/14/2015 3 3/73rd

Spring Thu 1/15/2015 4 4/73rd

Spring Fri 1/16/2015 5 5/73rd

Spring Mon 1/19/2015  HOLIDAY  HOLIDAY

Spring Tue 1/20/2015 6 6/73rd

Spring Wed 1/21/2015 7 7/73rd

Spring Thu 1/22/2015 8 8/73rd

Spring Fri 1/23/2015 9 9/73rd

Spring Mon 1/26/2015 10 10/73rd

Calculate Faculty Salary Override

• Divide annual base salary for one semester by total number of work days in that semester (see Payout Schedule) to determine daily rate

• Multiply daily rate times number of work days completed by faculty member

• Determine annual base salary received via paycheck(s) paid during semester and to date for the AY

Calculate Faculty Salary Override (cont’d)

• Subtract annual base salary paid to date in semester from total annual base salary for the semester plus any salary due from prior semester, if any

• The result is the amount of the faculty salary override

Sample CalculationExample 1

• Primary semesters – Fall and Spring

• Date of Separation – 01/01/2015

• AY base salary – $100,000.

• 76 work days – fall semester

• 76 days worked – fall semester

Sample CalculationExample 1(cont’d)

1. $100,000. * .50 = $50,000.

2. $50,000. / 76 days = $657.89 per day

3. $657.89 * 76 days worked = $50,000.

4. $100,000. / 12 mos = $8,333.33 per month

5. $8,333.33 * 3 mos = $24,999.99 paid Sept. through Nov.

Sample CalculationExample 1(cont’d)

6. Fall semester total salary due = $50,000. – $ 24,999.99 (salary paid Sept. through Nov.) = $25,000.01 (salary due for fall semester)

7. $25,000.01 faculty salary override in Dec.

Sample CalculationExample 2

• Primary semesters – Fall and Spring

• Date of Separation – 02/27/2015

• AY base salary – $100,000.

• 73 work days – spring semester

• 34 days worked – spring semester

Sample Calculation Example 2 (cont’d)

1. $100,000. * .50 = $50,000.

2. $50,000. / 73 days = $684.93 per day

3. $684.93 * 34 days worked = $23,287.62

4. $100,000. / 12 mos. = $8,333.33 per month

6. $8,333.33 * 5 mos. = $41,666.67 paid Sept. through Jan.

Sample Calculation Example 2 (cont’d)

6. Fall semester total salary due = $50,000. – $41,666.67 (salary paid Sept. through Jan.) = $8,333.33 (salary due for fall semester)

7. $8,333.33 + $23,287.62 = $32,620.95 faculty salary override

Process PCR

• Process PCR for the amount of the faculty salary override

• HR will enter amount listed on PCR

• Amount will appear on next paycheck

Taxability of Faculty Salary Override

• Faculty salary override will be taxed the same as any regular paycheck based on place of residence and work location

12-Month Faculty Appointment

• There is no need to calculate a faculty salary override for a faculty member on a 12-month appointment since their salary is earned and paid in the same month