Chat questions/answers from webinar: California Overtime Calculations on Flat Sum Bonus Payments

Thanks to all who attended, please note that there are a couple of corrections and clarifications from the live Q&A.

When saying it is based on state, is that tax location state or location state?

The state on the PAY_EARNINGS record, which generally comes from the tax distribution data.

Just to confirm, if we set up new earnings codes for FSBs, we can use those for both CA and other states and others will still calculate FLSA?

I want to correct the answer given during Q&A on this question. You can use the same FSB earning code for employees in other states. If the state is not set up in the Flat Sum Bonus table, the overtime premium for the employee will be calculated using the Regular Rate of Pay. There is a more detailed explanation of this in the documentation provided with the patches.

What would you suggest for folks who do not use alt overtime , would we need to implement alt overtime to handle these scenarios

Overtime for Flat Sub Bonus is designed and programmed to work with employees who have an FLSA status of 'Nonexempt Alt Overtime' . In Releases 8.9, 9.0, and 9.1 the status is 'Alt OT' and in 8.81, the status is 'Nonexempt'

What recommendatons do you have for correcting checks that had Flat Sum Bonus in CA that were issued since 1/1/2018.

See the slides in the presentation deck discussing Replacing Production Bonus with Flat Sum Bonus

What is the paysheet source for the new FSB paylines?

I misstated during Q&A that the PAY_SHEET_SRC value is F, the correct translate value is B

What about bonuses paid on separate paychecks for dated for prior pay periods?

Procedure is no different than how you would pay a production bonus on a separate check

Sorry, got confused on the salaried versus salaried non exempt. is there coding doe SNE or hourly only?

We delivered modifications for Flat Sum Bonus to work with Hourly or Exception Hourly employees only.

So we are on PUM Image #18. Can Patch 27958007 to it? Or must we upgrade to image 27?

PRP's must be applied to the current Image. For more information on applying PRP's, see Document 1623248.1.

The PRP delivered for 18-D will not include the California Flat Sum Bonus patch (CA FSB), because that patch was previously delivered in PRP 27958007.

[For example:

• Apply PRP27958007 to your current image;
• When posted apply PRP for Tax Update 18-D;
• Use PeopleSoft Utility Manager and select 'Tax Update 18-D';
• If you have not applied the CA FSB patch, it will be included in your Change Package as a prerequisite to the Tax Update.]

Both PRP's will be included in Image 28.

That said, if you are caught up on Tax Updates through 18-C, all the necessary prerequisites for the patch should be in your 9.2 environment already

Is there a set up you can share for a salaried non-exempt for semi-monthly payroll?

We did not deliver functionality for Flat Sum Bonuses for Salaried non-exempt employees

If we aren't already using Alt OT, where would we go to find the documentation on what that is, what it does, how to implement it, etc.? Was it in a particular tax update / image?

PeopleBooks is best source of information, but also check out the FLSA Processing Advisor, Doc ID 1566626.1

I may have missed it - how is this functionality to be state-specific?

The Flat Sum Bonus setup table has state as the primary key. If you want to use the flat sum calculations for more states, you would add them there.

@Rick DeLaney

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How will it calculate with multiple rates of pay?

Since we calculate the Regular Bonus Rate by dividing the amount of the bonus by regular hours worked, (meaning those hours defined with the FLSA Category of Regular) the rate of pay has no effect on the calculation

Hi, what would happen if we are not setting up new earnings, but taking in all delivered changes? Can you confirm that this OT logic will not fire up?

If you do not setup an entry in the Flat Sum Bonus table, the logic will not be executed.

Does the calculation use the FLSA calendar that already have set up?

Yes

Do you plan to re-deliver this as part of 18D?

The patches will be re-delivered for the lower releases in 18-D. For 9.2, because it was previously delivered as PRP 27958007, the CA FSB patch will not be part of the 18-D PRP. Both the 18-D PRP and the CA FSB PRP will be delivered in HCM 9.2 Image #28

do Bonus's paid as a sep check need to be paid as an on cycle?

It behaves the same whether on-cycle or off-cycle

Are these patches included as part of any PeopleSoft Image ?

Both the CA FSB and the 18-D PRP patches will be part of PeopleSoft HCM 9.2 Image #28.

All of our bonus are currently setup as flat amonts with no impact on FLSA, .e.g project completion bonus, spot bonus. Should those be setup new for CA employees?

We can't give you advice on how to pay your bonus earnings, check with your legal or accounting department for decisions on this

Do you recommend creating new codes for FSBs or changing the configuration of existing codes we determine to be FSB?

Yes, PeopleSoft recommends that you create NEW codes for flat sum bonuses, as well as new codes for paying the overtime on the bonus.

is this a change that impacts people in all states or just CA employeees?

For now, California is the only state requiring these changes. If you wish, you can add additional states to the Flat Sum Bonus table and the Overtime on Flat Sum Bonus Table.

Normally are discretionary bonus flat sum bonus

This is a decision that will need to be made at your business