To: Campus Unit Financial Leads, HR Officers and Secondary Contacts, University Business Managers
From: Walter Miller, Director of Payroll Services
The employer retirement contribution rates have been communicated to us by the North Carolina Teachers and State Retirement System (TSERS). Effective July 1, 2022, the TSERS employer contribution rate increased from 24.10% to 24.50% and the Optional Retirement Program (ORP) employer disability and retiree health contribution rate increase from 5.99% to 6.99%.
The new rates were implemented with payrolls beginning with Biweekly 02 (B02 payday July 28, 2022) and Monthly 01 (M01 payday July 29, 2022). The new rates were retroactively effective for Biweekly 26 and Biweekly 01. The retroactive adjustment was included on B02. This is an employer only adjustment and does not affect employee pay. More information can be found in the July 12, 2022 edition of Retirement Monitor, a newsletter for North Carolina’s public sector employees.
The retroactive charges will be distributed according to the employee’s current funding sources. If a biweekly employee is no longer at the University and funding sources are inactive, the charge will go to payroll suspense. A deduction and taxes only Payroll Accounting Adjustment Tool (PAAT) action can be initiated by a PAAT Advanced User to adjust the distribution sources. If the employee is terminated and the position has been abolished, please submit a ServiceNow request to reactivate the position first BEFORE submitting a PAAT.
If you have any questions about PAAT, please email CA_Payroll@unc.edu.