Salary Encumbrances

 

Contract / Continuing Staff

Salary Encumbrances for Contract / Continuing Staff are generated from information held on the HRMS at the time of the encumbrance calculation being produced. These calculations take into account rate of pay, periods of leave, changes to employment fraction etc. that relate to the current budget period (ie: calendar year). Salary Encumbrances are recalculated on a fortnightly basis in line with the latest update of the payroll.

Salary Encumbrances are based on the period from the latest payroll (unless the position commences in the future) until the end of the contract or end of the calendar year, which ever comes first.

• Example 1: Person A has a contract ending on 09/07/2002. The pay of the 26/02/2002 is the last pay that has been processed. The calculation showing in the Finance system will relate to the period 27/02/2002 until 09/07/2002.

• Example 2: Person B has a contract ending on 31/03/2003. The pay of the 26/02/2002 is the last pay that has been processed. The calculation showing in the finance system will relate to the period 27/02/2002 until 31/12/2002. The commitment for the period 01/01/2003 until 31/03/2003 will not show in the Finance system until the next financial year.
  

• Example 3: Person C has a contract commencing on 01/04/2002 and ending on 27/11/2002. The pay of the 26/02/2002 is the last pay that has been processed. The calculation showing in the finance system will relate to the period 01/04/2002 until 27/11/2002.

 

Accounts/projects operating on a financial year basis:

As all Salary Encumbrances are produced on a calendar year accounts/projects that operate on a 1 July to 30 June financial year will have a conflicting basis of calculation.

Where 'core' salary accounts within these projects are identified we can include manual encumbrances in the FMIS so as to bring the encumbrances back to an estimated financial year basis. Please contact Stephen Mace if you require this to be actioned.

 

Salary Encumbrance details:

Details of specific Salary Encumbrance calculations can be viewed using the Non-Profile Salary Cost reports available on the MIRU web site or via the HR Lookup scren on the FMIS. Individual access to these reports needs to be established prior to the reports being available. Please contact Stephen Mace if you require any information on either of these sources of information.

Casual Staff

Casual staffing appointments do not have salary encumbrances entered into the Finance System (FMIS). This is effective from the implementation of the FMIS. Casual staff are staff who work irregular hours. To monitor your expenditure on casual salaries, budget allocations for casual salaries should be actioned to the FMIS.