PERS – Active members – Fees for missing payroll data

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Active PERS Members CalPERS charging fees for members with Active appointments and no payroll earnings reported
In 2017, the California Public Employees’ Retirement System (CalPERS) introduced new functionality in their my|CalPERS system to track members with active appointments and no payroll earnings reported. Appointment dates tell CalPERS when to expect the reporting of compensation and deposit of contributions for a member and when reporting and contributions will end.
Every month, CalPERS expects the reporting of compensation and deposit of contributions for individuals with active appointment dates until the district inputs an ending appointment date in the my|CalPERS system. When there is an active appointment with no earnings reported, CalPERS considers this a “Missing Payroll” for the member and will assess a $200 fee for each month compensation data is not reported and contributions are not deposited.
* Active appointments with no payroll earnings reported often applies to:
* Employees on-leave but not identified as such in the my|CalPERS system * Substitutes, intermittent workers
* Please open the attached CalPERS Circular Letter, my|CalPERS Projected Contributions Detail Report. Within this letter are links to other documents that provide details and instructions on how to monitor and respond to member records that have active appointments with no earnings. Please use the links to review and use the additional information.
* CalPERS has features in their my|CalPERS system that allow districts to run reports for reviewing open-ended appointments with no earnings. Prior to this, the School Business Advisory Services Payroll Team was downloading and sending reporting information to districts for the district to resolve discrepancies. Resolution includes inputting an end appointment date or verifying no reportable earnings for the pay period for the member.
* The Payroll Team is available to help districts navigate within my|CalPERS system to locate and run the new Projected Contributions Detail Report to reconcile “Missing Payroll” data. Districts may use this report or go to the Retirement Appointment Reconciliation screen in the my|CalPERS system to address issues. We recommend districts reconcile potential “Missing Payroll” information prior to Submitting Payroll for the month to avoid CalPERS imposed fees of $200 for each occurrence.

* Attached is the updated Payroll Processing Overview document which outlines routine steps to complete a payroll with an added reminder to reconcile “Missing Payroll” data in the my|CalPERS system.

* For information about retirees, please refer to SBAS Communications email message “PERS – Retirees – Fees for non-compliant reporting.”
On June 26, 2020, CalPERS began permanently separating retirement appointments that meet certain criteria. Appointments that meet one of the following criteria will be permanently separated through a CalPERS monthly automated process:
* Employees with an active appointment with the start date of six months or greater with no payroll ever reported

* Employees with an active appointment who have not had payroll reported and posted within the last six months
* Employees who have retired and have an appointment that is active or on leave
LEAs will have the ability to correct or delete these permanent separations if necessary. Please refer to the CalPERS Circular 200-036-20 attached for further details.
For questions and assistance on how to access the reports or screens in the my|CalPERS system, please contact:
* Myron Porter mporter@sbceo.org<mailto:mporter@sbceo.org> 805-964-4711 x 5280
* Staci Hunter shunter@sbceo.org<mailto:shunter@sbceo.org> 805-964-4711 x 5254
Regards, School Business Advisory Services Team Santa Barbara County Education Office
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