Archive for Wednesday, October 4, 1995

KU PAY CHANGES

October 4, 1995

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KU faculty and students will see changes in their paycheck distribution and health insurance premiums beginning in December.

About 900 Kansas University faculty and students who work ninth months a year will receive only half a paycheck amount on the last pay period in December this year.

But everyone who pays health insurance will save money overall with a change in how insurance premiums are paid, according to a plan outlined by officials in KU's human resources department.

Ola Faucher and Madi Vannaman, both assistant directors of human resources at KU, outlined changes in payroll schedules and insurance premiums Tuesday to members of the Senate Executive Committee.

Currently, faculty and student employees who work nine months of the year are on a pay period from the first to the last day of each month, Faucher said.

Because the state is changing to a bimonthly payment schedule beginning in January, and because there will be a two week delay between each pay period and the issuance of checks with that new system, affected faculty and students won't be paid for the last two weeks of December until Jan. 12.

They will receive a paycheck on Dec. 29 for the first two weeks of December.

Employees who work 12 months a year are on a pay period from the 18th of one month to the 17th of the next month. They will not be affected by switch to bimonthly pay.

The two-week delay between the end of pay periods and the issuance of checks under the new system will be caused by state processing, Faucher said.

Vannaman said that a change in the way health insurance premiums are paid will save all faculty and staff money.

Currently, faculty who work only nine months of the year are considered "on leave without pay but with benefits," Vannaman said. They can pay their summer premiums with deductions from their spring or fall checks, or in cash payments during the summer.

Under the new system, all faculty will be charged double premiums for six pay periods in the spring to cover the costs of their summer health insurance. If faculty work in the summer, they will receive increased take-home pay because insurance premiums already will have been deducted.

The new program will save money because premiums are deducted before taxes on payroll.

For a faculty member who makes $38,000 and has family coverage, the new system will add $102 in take-home pay and reduce federal taxable income by $244, Vannaman said.

A memo about the changes will be sent to affected faculty and students in a few weeks. People with questions may call 864-4946.

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