Bridging - Fringe Redirects

Description of the decision to be made

The legacy process of posting fringes involves a complex multi-table code base that will determine if the fringe charge should be charged to the salary account or to another account.  This process is called the fringe redirect process. 

Workday’s process works differently. Workday always assigns the fringe charges to the same account as the salary. Workday does not support redirects. After presenting this information to Darrell Bazzell, he decided that we should have a simpler approach for fringe redirects.

There will be 2 types of redirects with the Workday implementation, and they will both be handled in the legacy side (since Workday does not have functionality to accommodate that). 

• The first will be to redirect fringe to another account where the salary account is not allowed to have any fringe charges.  There are only a few accounts that have this restriction and these exceptions will be maintained by the central Payroll Office. 
• The second will be to redirect fringes for the grant accounts (26 accounts).  The rationale for redirecting fringe for grant accounts was based on the high risk of modifying the grant billing system.  Changes to the billing system could result in the loss of funding and increased accounts receivable balances.   The general rule for the grant redirects will be if the salary subaccount ends in 11 then the fringe would be paid from the subaccount for the same budget group ending in 15 and if the salary subaccount ends in 12 then the fringe would be paid from the subaccount for the same budget group ending in 14.  If the 14/15 subaccount doesn’t exist then the fringe would be charged to the salary account.  There will be exceptions to this general rule and these exceptions will be handled by the grants area on a case by case basis.   

Concerns/Feedback/Outstanding from subcommittee

None.

Recommendation from subcommittee on July 26, 2017

Move forward with the fringe redirect process explained herein.

Timeframe

Present at the August 2, 2017 steering committee meeting. 

Recommended decision maker

ASMP Steering Committee based on recommendation from ASMP Bridging Subcommittee

Recommended Campus Stakeholders to Engage

ASMP Bridging Team (includes payroll, accounting, budget, sponsored projects)

ASMP Bridging Subcommittee

Action items