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  4. Manual Adjustments for Healthcare Premiums - Transfer Different Agency - On the 1st of the Month

Manual Adjustments for Healthcare Premiums - Transfer Different Agency - On the 1st of the Month

Procedure Updated: 
08/10/2022

Use this procedure to assist with manual adjustments for healthcare premiums for employees who transfer between agencies on the 1st of the month.

Tips: 

Before beginning with this procedure, you should have already completed the following identification procedures:

The identification procedures will assist in determining which manual adjustments will be required for the employee.

When an employee who is eligible for health benefits transfers on the 1st of the month, entries must be made on the Additional Payments (0015) infotype to allow payroll to process correctly for health care premiums for the (10th) pay date. When an employee transfers between agencies on the 1st of the month, the gaining agency is responsible for benefit amounts on the 10th paycheck. Because the system is processing the previous period (16th through the 31st), manual health adjustments are required. The following adjustments should be made to avoid JVs between agencies.

All employee adjusting wage types must be keyed in the current period; adjusting wage types should not be entered retroactively.

If adjustments are missed, the gaining agency should key only the employer adjustments as indicated in this procedure. Employee adjustments will not retro. Agencies will need to work together to JV appropriate amounts:

  • Losing agency JV employee portion(s) to gaining agency

For all transfers, no matter the day of the month, do not adjust Employee contributions to their Health Savings Account (HSA). These funds process directly through HCA to the Health Savings Account so adjustments are not needed.

  1. Step 1

    For the losing agency, the manual adjustments should be entered into HRMS by creating Additional Payments (0015) infotype records using NEGATIVE amounts dated the last day of the previous month. (Example: If the employee transfers to a new agency effective March 1, 2022, the losing agency will create the following adjustments using an effective date of February 28, 2022.)

    Create a separate Additional Payment (0015) infotype record for each of the wage types you have pre-determined to be necessary.

    The following manual adjustments are standard:

    • Employee Health Premium Adjustments
      • Wage Type 2983 - Health Adjustment Pretax, or
      • Wage Type 2984 - Health Adjustment Posttax
    • Employer Share Health Premium Adjustment
      • Wage Type 2550 - PEBB Funding Rate
    • Provider Cost of Medical & Dental (records premiums on W2)
      • Wage Type 2575 - Health – Provider

    The following Additional Payments are conditional:

    • Employer Share of HSA Account
      • Wage Type 2255 - HSA ER Contribution
    • Employee Spousal Surcharge
      • Wage Type 2583 - Spouse/DP Pretax Adj, or
      • Wage Type 2579 - Spouse/DP HP Post tax Adj
    • Employee Tobacco Surcharge
      • Wage Type 2582 - Tobacco Use Pretax Adj, or
      • Wage Type 2578 - Tobacco Use Post tax Adj
    TIPS:
  2. Step 2

    For the gaining agency, the manual adjustments should be entered into HRMS by creating an Additional Payments (0015) infotype record using a POSITIVE amount dated the first day of the current month. (Example:  If the employee transfers to a new agency effective March 1, 2022, the gaining agency will create the following adjustments using effective date March 1, 2022.)

    Create a separate Additional Payment (0015) infotype record for each of the wage type you have pre-determined to be necessary.

    The following manual adjustments are standard:

    • Employee Health Premium Adjustments
      • Wage Type 2983 - Health Adjustment Pretax, or
      • Wage Type 2984 - Health Adjustment Posttax
    • Employer Share Health Premium Adjustment
      • Wage Type 2550 - PEBB Funding Rate
    • Provider Cost of Medical & Dental (records premiums on W2)
      • Wage Type 2575 - Health – Provider

    The following Additional Payments are conditional:

    • Employer Share of HSA Account
      • Wage Type 2255 - HSA ER Contribution
    • Employee Spousal Surcharge
      • Wage Type 2583 - Spouse/DP Pretax Adj, or
      • Wage Type 2579 - Spouse/DP HP Post tax Adj
    • Employee Tobacco Surcharge
      • Wage Type 2582 - Tobacco Use Pretax Adj, or
      • Wage Type 2578 - Tobacco Use Post tax Adj
    TIPS:
    Related Resources 
  1. Health Care Authority (HCA) - Fuze