Your July 15 City Paycheck Will Be Different Because of the Calendar!
We are aware that the City has sent out a notice regarding your July 15th paycheck. Unfortunately, we have heard from a number of employees that the City’s email was confusing and convoluted. Hopefully the following explanation about your July 15th paycheck (which covers the pay period ending July 1, 2016) will make more sense.
Because of an anomaly in the calendar for this upcoming fiscal year, there will actually be 27 pay periods during the 12 month period that covers July 1, 2016 through June 30, 2017. Normally, there are only 26 pay periods per 12 month fiscal year.
As a result, the City has to “exclude” one of those pay periods from Flex distribution and premium deduction. The City has chosen the July 15th paycheck to be the one. Accordingly, no Flex Benefit Plan (FBP) credits will be included on your July 15th paycheck nor will health/dental/vision premiums be deducted either.
What this means to you:
- Employees who pay out of pocket for health premiums from their regular paycheck will see a few extra dollars in their July 15th paycheck.
- Employees who do not spend all of their FBP credits and elect to take cash each pay period will see a little less in their July 15th paycheck – however employees will still receive all of their Flex cash over the other 26 pay periods of the fiscal year.
Also, please note that there are three pay days in July (July 1, 15 and 29), which is one of the reasons the City chose the upcoming July 15 payday to make this one-time adjustment.
We hope this early notice will help everyone to prepare for their adjusted July 15th paycheck. Please feel free to contact your payroll specialist if you have any questions about your paycheck or the deduction and credit process. You are also always welcome to contact MEA at 619-264-6632.
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