To: University Business Managers, Campus Unit Finance Leads, HR Officers and Secondary Contacts
From: Walter Miller, Director, Payroll Services
This memorandum is an annual notice explaining the method used to calculate biweekly regular pay for SHRA Permanent Staff. While biweekly pay is based on an employee’s annual salary for the fiscal year (July 1 to June 30), the 26 biweekly payrolls cover a different time period than the University’s fiscal year.
Biweekly regular pay for each fiscal year is dependent on the number of workdays in that fiscal year. Each biweekly pay period represents 80 work hours, which typically represents 8 hours a day for 10 workdays. The 26 biweekly payrolls provide payment for a total of 260 workdays. There are 262 workdays in the 2019-2020 fiscal year, which represent 2096 work hours (262 workdays / 8 hours a day). For example, fiscal year 2019 ends on a Sunday and fiscal year 2020 ends on a Tuesday so the Monday and Tuesday represent these two additional work days.
Since SHRA staff members are paid for 260 work days within the fiscal year, the full annual salaries for SHRA staff are paid over the 26 biweekly pay periods plus one or two days in the very next biweekly.
The number of workdays and work hours for the next three fiscal years are displayed below:
| Fiscal Year | Work Days | Work Hours |
|---|---|---|
| 2019-2020 | 262 | 2096 |
| 2020-2021 | 261 | 2088 |
| 2021-2022 | 261 | 2088 |
Fiscal year 2019-2020 contains 26 biweekly payrolls. Biweekly payrolls 01 through 26 in fiscal year 2019-2020 will provide pay for the pay periods from June 24, 2019, through June 21, 2020. Therefore, while their total annual salaries will remain the same, the biweekly pay amount for SPA permanent employees will be slightly decreased because of the increased number of total work hours.
Biweekly regular salary will be calculated as in prior years. Employee annual salary is divided by the number of hours in the fiscal year (2096 hours for 2019-2020) and multiplied by the 80 hours in the biweekly pay period.
For your information, SHRA employees will be sent the notice below with their pay notification for July 19, 2019.