Additional Overpayment Situations and Information
Certain overpayment situations require specific or unique handling. The following situations should be noted and handled appropriately.
Tax Deferred Supplemental Retirement Plan Contributions
When UPB credits deductions from the overpayment, the Tax Deferred Annuity (403B) deductions may not be fully recaptured. Shortages may occur due to market fluctuations that result in a reduced market value for the contribution originally invested. When this happens, the department will be responsible for any shortages that transpire.
State Funds Crossing Fiscal Years
If an overpayment occurs in one fiscal year and the repaid funds are received from the employee in a new fiscal year, the funds will be credited to the department's account for the current fiscal year. Funds on state accounts lapse and will not be credited if received from the employee in a new fiscal year, unless they are received prior to the end of the lapse accounting processing period. The funds will revert to the state if received after the lapse processing period. It is recommended that the unit redistribute the payment to another fund prior to submitting the overpayment adjustment in ANA to ensure proper credit when the amount is repaid.
Over/Underpayment
In certain situations the employee may be overpaid on one position, but is underpaid the same amount or more on a new position. UPB will apply underpaid funds to the overpayment by adjusting transactions in Banner. Since the employee effectively does not receive more money than they were due, these transactions will not incur an overpayment service fee.
An over/underpayment can be performed with the following conditions:
- Both the overpayment and the underpayment occur on the same pay period.
- The underpayment is greater than or equal to the overpayment.
- An overpayment transaction in ANA is submitted at the same time as a PUA in PARIS, referencing each other as over/underpayment transactions.
Workers’ Compensation
Workers’ compensation claims often result in an overpayment. When the employee cannot work resulting in a workers’ compensation claim, the first three lost workdays after injury are not eligible to receive total temporary disability (TTD) payments. If the employee misses 14 or more calendar days due to the injury, then the first three workdays are eligible to receive TTD payment. Employees often choose to use accrued sick and/or vacation leave benefits for the first three scheduled workdays following a workers’ compensation claim. When an employee receives TTD payments for the same days they are paid vacation or sick leave, those vacation or sick days are overpaid and must be returned to the university.
For more information about Workers’ Compensation, see: