ACR 30014 – USPS System Change
ACR 30029 – SPRS System Change
June 1, 2011
Introduction
ACR 30014 modifies the Uniform Statewide Payroll/Personnel System (USPS), and ACR 30029 modifies the Standardized Payroll/Personnel Reporting System (SPRS) to improve the 401(k) process effective June 1, 2011.
Issue
The Employees Retirement System (ERS) requested changes to how 401(k) deduction and 401(k) loan repayment deduction payroll documents are transmitted to the Texa$aver vendor/administrator. The USPS and SPRS ACRs will reduce the number of funds that must be reconciled, and the payments will go to the 401(k) vendor/administrator’s financial institution on the payment date rather than remaining in Fund 0942 until the end of the month as current processing requires. The Comptroller’s office will also make a number of process changes that will not affect agency operations.
Solution
With the migration of these ACRs, when the 401(k) deduction or 401(k) loan repayment deduction is made from the agency payroll, the 401(k) amount will no longer be held in the Uniform Statewide Accounting System (USAS) Holding Fund 0942. Instead, the 401(k) amount will be processed exactly like the current processing of 457 and 457 loan deductions. This means that the payment will go to the Texa$aver vendor/administrator on the payday associated with the payroll document. For instance:
| If the document pays on the... | Then 401(k) or 401(k) loan deduction payment date will be the... | And the payment will be at the Texa$aver vendor/administrator’s financial institution on... |
|---|---|---|
| First workday of a month | First of that month | Payday |
| Fifth of the month (for a lump sum payment) | Fifth of the month | Following the direct deposit rules |
What Agencies Need to Know
- This change will cause 401(k) and 401(k) loan repayment negative adjustments to be held on the USAS IT file until another positive payment is processed by the agency that incurred the negative adjustment. This is exactly what occurs with 457 negative adjustments.
- The transactions in Fund 0942 will be swept and sent to the Texa$aver vendor/administrator on June 1, 2011. 401(k) or 401(k) loan deduction payments included in final payrolls processed on or after June 1, 2011, will be sent to Texa$aver on the designated payment date, unless the transaction is negative.
- If the transaction processing on or after June 1 is negative, it will remain on the USAS IT file until the agency submits another final payroll with 401(k) and 401(k) loan deductions greater than the negative amount.
For More Information
If you have questions about this process, please contact your USPS or SPRS representative.