The purpose of this guide is to provide Costing Allocation Partners, Project Managers, and Workday Payroll Expense Cost Correction Initiator Cost Center security roles the steps to correct a payroll expense when it is identified that it should be expensed to a different combination of Chart of Account or POET(AF). When a correction is needed, the action of a payroll expense cost correction in Workday should be taken.
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· Chart of Accounts (COA): The Chart of Accounts is a10-segment string designed to track income and expenditure at the University (Entity, Organization, Account, Fund, Purpose, Program, Activity, Site, Affiliate, and Future).
· The Organization COA segment is referred to as Cost Center in Workday.
· The Account segment is automatically generated in Workday when payroll is processed and does not require manual entry.
· Costing Allocation: Costing allocations are the funding composition for an employee’s pay.
· Labor Distribution: Labor Distributions (Payroll Actuals) are the payroll accounting journals which are posted into Oracle, showing the dollar amounts of the payroll distribution.
· Payroll Expense Cost Corrections: Payroll Expense Cost Corrections (PECCs) are used to move salary expenses from one combination of COA or POET(AF) to a different combination of COA/POET(AF) within Workday. The new role for this will be the Workday Payroll Expense Cost Corrections Initiator Cost Center.
· POET(AF): POET(AF) is the string used to charge expenses to a project (Project, Organization, Expenditure Type, Task, Award, Funding Source).
· The Project POET(AF) segment reflects as PPM Projects in Workday.
· The Expenditure Type segment reflects as Account in Workday.
· This field automatically generates in Workday once payroll has processed and does not require manual entry.
· The Award segment reflects as Grant in Workday.
· Transfer Amount: Transfer Amount typically refers to the sum of money moved from one combination of segments to another.
· Worktags: A Workday-specific term that refers to the COA/POET(AF) segments. Segments are called Worktags in Workday.
· The Payroll Expense Cost Correction process in Workday replaces the former Payroll Expense Transfer, or PETs, process.
· PECC transactions with target POET(AF) worktags do require approval after submission.
· PECC transactions with target COA worktags do not require approval after submission. The process will automatically complete, but this status only reflects the completion of the Workday business process. The transaction will still need to process through payroll.
· Security access to complete a PECC transaction is configured as noted below. For more information about Workday security roles, review the Workday Role Definitions Knowledge Base Article.
· Costing Allocation Partner (CAP)
· Assigned at the Supervisory Organization level (i.e., CSL Dean of Students in the University, COMM Office of the Vice President for Communications, etc.).
· Provides access to assign costing allocations and complete payroll expense cost corrections for any worker position that resides in the Supervisory Organization(s) in which the role is assigned.
· Workday Payroll Expense Cost Corrections Initiator Cost Center (WDPECC)
· Assigned at the Organization/Cost Center level (i.e., 79100-CSL Dean of Students, 17100-Office Of VP Communications, etc.).
· Provides access to complete payroll expense cost corrections for any worker position that is funded by the Cost Center(s) in which the role is assigned.
· Project Manager (PM)
· Assigned at the Project level (i.e., UID1001234: Seinfeld Discretionary Fund, USP1004321: Kramer General Sponsored Project, etc.).
· Provides access to complete payroll expense cost corrections for any worker position that is funded by the Project(s) in which the role is assigned.
· IMPORTANT: It is vital to select the Worker Position where the payroll expense(s) requiring correction were originally charged when searching for payroll expense transactions. The Worker Position field may not auto-populate with the position that requires payroll expense correction therefore careful review is required.
· The ability to correct a payroll expense depends on the security access held by the user, and this access varies by position. Therefore, if a position is chosen where appropriate security access does not exist, then an error message will appear.
· For example, if you are a Costing Allocation Partner for the UChicago Allstars supervisory organization and you have a worker who holds two positions, Position A within the UChicago Allstars supervisory organization and Position B within the Maroon Members supervisory organization, you will only be able to correct payroll expenses charged under Position A since you only hold Costing Allocation Partner access for the UChicago Allstars supervisory organization.
· Prior to initiating a PECC transaction, gather the position number that is tied to the payroll expense that requires correction. Note the position number and not just the position title because the number is a unique identifier, and a worker may hold multiple positions with the same or similar titles.
· Comments and Attachments are optional. If either Comments and/or Attachments are included, these must be appropriate and relevant. Do not include personal information.
· When a payroll expense cost correction requires transferring payroll expenses from one Entity to another, the Entity that was incorrectly charged must initiate the payroll expense cost correction. The Entity that should have been charged is unable to initiate the transfer due to security restrictions.
· Employees in the Academic 9 Over 12 group are paid from a restricted PECCS earning code. If you need to move charges for such employees, please create an Ask a Payroll Question ticket and request to have the charges moved to the desired account.
· Fringe Benefits are not included in the Transfer Amount because they are generated through an outside process and will vary depending on the target worktags. Fringe benefits will ALWAYS follow the earning costing allocation so it's important to note that these are net zero salary adjustments, but fringe may change based on how the payroll expense is adjusted (ex: changing from a Federal Fringe rate to Non-Federal Fringe Rate).
· To cancel a PECC that has already been submitted:
· For POET(AF) transactions that have not yet been approved, you will need to reach out to the approver to cancel it. You can identify the approver through the PECC hub.
· If the POET(AF) transaction has successfully completed but has not posted, OR, if the transaction is a COA transaction that automatically successfully completes, you will need to submit an Ask a Payroll Question ServiceNow ticket to cancel it.
· If payroll has already processed the payroll expense cost correction transaction, then you will have to initiate another PECC transaction to correct the amount.
1. Login to Workday using your CNetID and password. Select Sign In.
2. Within the Search at the top of the homepage, populate Payroll Expense Cost Correction (PECC) Hub and select enter on your keyboard. Choose the corresponding PECC Hub task.
a. The process can also be initiated directly from the Employee Profile by navigating to the Pay section and selecting Start Payroll Expense Cost Corrections.
3. In the PECC Hub, select the Create Payroll Expense Transfer option, located in the left-hand navigation pane.
a. The left-hand navigation pane may appear collapsed. If you do not see the Create Payroll Expense Transfer option, look for and select the expand/collapse icon, represented by an arrow next to a vertical line and located in the top-left corner of the PECC Hub.
4. Select the Click here to initiate transfer button.
5. On the Search Payroll Expense screen, select one of the options below based on the search criteria to be used to find a worker:
a. Name or Employee ID: After selecting this option, the Worker field will appear. Enter the name or employee ID of the worker in this field. This option will only return active employees.
b. CNetID: After selecting this option, the CNetID field will appear. Enter the CNetID in this field to locate the appropriate worker. This option will only return active employees.
c. Terminated Worker: If the worker has been terminated, ensure this option is selected, as the other search options will not return results for terminated employees. After selecting this option, the Terminated Worker field will appear to enter the corresponding search criteria.
6. Once the worker is selected, review the CNET ID and Worker Position. Ensure the appropriate Worker Position is selected.
a. REMINDER: Careful review and consideration are needed for the Worker Position field to ensure the correct position is selected. Note the position number and not just the position title because the number is a unique identifier, and a worker may hold multiple positions with the same or similar titles.
b. For employees with position changes, the prior position may need to be selected.
7. (Optional) Choose the Account Segment Type to make the search more granular. It is not required but is highly recommended if an employee will have complex funding or if using a large date range to search.
a. Do not enter target worktags here; this information is added during step 15 of the process.
8. Select Pay Period Date Range or Effort Date Range.
a. Searching by the Pay Period Date Range or the Effort Date Range will vary depending on the type of adjustment. For example, an employee could have earnings paid in the pay period of November that were earned in the period of October. Searching by effort date range would return all the earnings for the period of October (including those paid in November for the period of October). Searching by pay period date range will return all results for that pay period (including retroactive pay for prior periods).
b. The earliest From date that can be entered is 6/23/2024. This is the first day of the first pay period in which payroll was run under COA/POET(AF).
9. (Optional) Choose the Earning Code to make the search more granular.
a. If the search is made by earnings, only certain earnings may be available for an adjustment. If an earning is expected and is not visible (e.g., adoption benefit program), a payroll administrator should be contacted.
10. Select Search.
a. Notes:
i. Results are limited by security role. Users that do not have security access to initiate PECCs will receive an error message when attempting to search payroll expenses. If an employee believes they should have access to initiate PECCs, they should contact their manager or HRP to submit the ServiceNow Workday Role Security Request form on their behalf.
1. Double-check that the correct position is selected because security access can vary from one position to another.
ii. Results will only return for payrolls that have been processed. Reference payroll pay period guidelines to understand when data may be available.
iii. If your search returns with more than 50 rows, the next page will not allow you to select results to make a change. Select Back to modify and narrow down search criteria.
11. In the Select Payroll Expense Transfer(s) screen, select the Check Box, located in the far-left column, for the specific payroll expense(s) that need correction.
a. You can select a maximum of 15 rows for each PECC transaction.
b. IMPORTANT: Each completed PECC transaction will appear in the search results, if its details match the entered search criteria, as three rows once payroll has been processed: one displaying the account originally charged in error, one with a negative amount reflecting the correction from the account originally charged in error, and another with the same amount, but positive, representing the corrected charge to the new account. Any row with a positive amount can be selected to initiate additional cost corrections, as needed, if the Available Amount is greater than zero. If multiple PECC transactions exist for the employee based on the selected criteria, each will have its own set of rows. Understanding the flow of funds requires review of the Effort/Period End Dates, Worktags, and the Original and Available Amounts columns. Cross-referencing a list of previously completed PECC transactions for the worker may also assist with interpretation.
i. For example, a payroll expense that has an Original Amount of $1000 charged to a COA but then had $500 of that moved to a POET(AF) would display the following rows:
1. The original transaction row with COA Worktags, an Original Amount of $1000, and an Available Amount of $500.
2. The negative transaction row with the same COA Worktags as the original transaction, a negative Original Amount of $-500, and an Available Amount of $0.
a. This row only appears after Payroll has been processed.
3. The positive transaction row with POETAF Worktags, an Original and Available Amount of $500.
a. This row only appears after Payroll has been processed.
12. Select Next.
13. In the Transfer Details screen, populate the Transfer Amount.
a. This value cannot be higher than the Available Amount.
14. Under the Target Account Segment Type column, select either Chart of Accounts or Project Portfolio Management, whichever is applicable.
15. Under the To Worktags column, populate the Worktags fields.
a. If the Target Account Segment Type is Chart of Accounts, the following Worktags are required: Entity, Cost Center, Fund, Purpose, Program, Activity, and Site.
b. If the Target Account Segment Type is Project Portfolio Management, the following Worktags are required: PPM Project, Task, Cost Center, Grant (sponsored projects only), and Funding Source (sponsored projects only).
c. When entering COA/POET(AF) worktags, custom validations and Oracle Cloud cross validation rules run, which may result in a warning or error. If a warning or error occurs, please work with your department’s finance team.
i. See the Chart of Accounts Cross-Validation Rules (as of 7/16/2024) Knowledge Base article for more information.
16. Select Review.
17. In the Review and Submit Transfer screen, review the Journal Line details table at the top and then answer any required questions. Questions can include:
a. What is the reason for the transfer?
i. Always required.
b. Why is the transfer late?
i. Conditional based on the type of Target Account Segment Type selected in the previous step.
c. Why is the expense appropriate for the account being charged (how does the cost benefit the project purpose)?
i. Transfers to POET(AF) worktags only.
d. Additional Comments?
i. Optional. If comments are added, ensure they are relevant and appropriate. Do not include personal information.
18. (Optional) Add any supporting documentation under the Attachments section by selecting Upload and using the file explorer to add appropriate document(s).
a. If attachments are added, ensure they are relevant and appropriate. Do not include personal information.
19. Select OK.
20. Review the pop-up window for confirmation and select the X in the top-right corner to close it.
21. Select either Initiate new Transfer or Back to Home Page hyperlinks or select Done at the bottom of the page to return to the PECC hub.
a. Reminder: Transactions with target POET(AF) worktags will route for approval whereas transactions with target COA worktags will not route for approval, but rather automatically complete.
i. Access the View My Transfer Requests tab in the left-hand navigation pane of the PECC Hub to see the Transaction Status and Awaiting Persons who are pending approval (if applicable).
22. If the PECC transaction is sent back for correction, the reason for correction will not be visible directly in the sent back task.
a. To view the reason for send back, navigate to the Archive tab of My Tasks and search for the PECC transaction using the Request ID (starts with PECC000 and is followed by additional digits). Within the archived task, select the Process tab and review the Comment column to see the Send Back Reason. Return to the All Items tab of My Tasks, make applicable corrections directly in the sent back task, and then select Submit.
b. If a PECC transaction needs to be sent back to split costing allocations (add a new line to the transaction), then the approver must Reject the request instead of sending it back. If the transaction is accidentally sent back, then the approver must cancel the business process.
23. Once the PECC is processed, it will appear in the GL/POET(AF) on a periodic batch basis.
24. You have now completed the process of Payroll Expenses Cost Correction.