Payouts

School districts and educational organizations throughout Wyoming have different ways of handling contract payouts, summer month payouts, and any extra-duty contracts. Wyoming Retirement System has one way that this information can be reported, the information and examples below are intended to clarify use of the Contribution Template when paying out contracts in advance. 

Correct Employee Information

Please ensure all employee information is reported to WRS correctly. Inaccurate reporting may negatively affect your employees when they access their account through the online portal. Inaccurate reporting may also delay processing of an employee’s refund or retirement. 

Adjustments

Never adjust an employee’s contributions that were reported incorrectly on a previous month by adjusting the current month’s record. If an employee’s record requires an adjustment, using a separate spreadsheet, populate only the columns that need to be adjusted with the difference of what was reported and what should have been reported. For example, if the salary should have been $1,000.00 and you reported $100.00, your adjusted salary would be $900, which is the difference of what was originally reported and what should have been reported. 

Partial File Uploads

Partial file uploads are to be used only for those employees who are being paid in advance. Uploading a partial file for any other purpose will create problems with future uploads and/or for your employees when they retire or refund their account.

  • Wyoming Retirement System will not accept any lump sum payments.
  • Please do not report contributions on unused sick and annual leave; they are NOT retirement eligible.
  • Zero (0) hours must be reported for the months the employee did not actually work.

Contribution Template

The Contribution Template must be completed properly to ensure future benefits are calculated correctly, which requires special attention to the columns listed below.

Column L - Reportable Salary is the total retirement-eligible monthly salary for the employee, which must include the contracted employee’s normal monthly salary along with any other monthly retirement-eligible salary for extra duty pay (e.g. overtime, coaching).

Column M - Educator Contract Length - Choose from the column drop-down the number of months the employee’s contract will be paid over, not the number of days/months they actually work during the school year.  The contract length should not change from year to year, must be consistent. Column M is a required field and should be completed.

  • 12 month contract means the employee’s contract will be paid in 12 equal installments.
  • 9, 10, or 11 month contract - the employee’s contract will be paid in equal installments for either 9, 10, or 11 months. The remaining months of the year they will be placed on a “service break” or terminated, whichever is applicable for the specific employee.
  • N/A should be used if -
    • the employee is not a contract employee; OR
    • the employee is contracted only for part of the school year, and their actual salary will be paid during the month earned

Column N - Educator Contract Salary is the amount of the salary reported in Column L that is attributed to the MONTHLY contracted salary earned by the employee; it does not include extra duty pay (e.g. overtime, coaching). It’s the yearly contract amount divided by the number of months the contract is paid over. If the employee is not a contract employee, this column should be left blank.

For an employee who actually works 12 months, there is no difference in the way an employer prepares its contribution file upload. If the employee works nine (9) months during the school year but is paid over 12 months, zero (0) hours must be reported for the months the employee did not actually work.

Paying Out Contract Employees In Advance

Often contract employees of the education group are paid monthly during the school year and then receive the balance of their contract in a lump sum, which represents their pay for the summer months. WRS refers to this practice as “paying in advance.” An employer can pay its contract employees in advance by submitting a separate partial file to WRS for each of the months that are being paid in advance. Only those employees who are being paid in advance should be listed on the file upload. WRS cannot accept a single lump sum payment that represents more than one month of pay. 

Depending on your payroll system, when you process your normal payrolls for the summer months, those employees who have already been paid in advance will be highlighted in yellow on the Contribution Template. You may leave them on the file or delete them. 

Terminations

All contributions must be uploaded for an employee before they can be terminated on the file upload. For an employee who will be paid over 12 months, the final month of contributions must be uploaded before you can terminate the employee. To terminate an employee, you must insert another row on the file upload. You cannot report an employee’s contribution and the employee’s termination record on the same row. When entering the termination date, enter the employee’s actual last working day, not the date of the final payment to WRS.  

Examples

The following examples are based on an employee with a contract salary of $50,000 who was contracted to work nine (9) months during the school year (Sept-May), but is paid in 12 monthly installments of $4,166.67.

  • Example 1 shows how an employer would report contributions for an employee who was paid monthly from September through May, and then paid a lump sum payment, in advance, for June, July, and August.
  • Example 2 shows how an employer would report contributions for a nine (9) month contract employee paid over 12 months, who terminates employment before the end of their contract.

Example 1: Employee is paid monthly September through May, then will be paid in advance the remainder of their contract for June-August in a lump sum ($4,166.67 * 3 = $12,500.01). Once you have uploaded May’s payroll with all of your employees, you can upload a separate PARTIAL upload for each month representing June, July, and August with only those employees who will be paid in advance. Please upload only one PARTIAL file for each of the summer months. Uploading more than one PARTIAL file per month may result in errors in subsequent file uploads.

* This example shows the Employee Contribution paid by the Employer, but you will complete the applicable columns based on your payroll requirements. Termination Record If the employee terminates, this example also shows how to complete the term on the same partial file upload.

Employer Summer Contribution File Example 1

Example 2*: Employee was contracted to work nine (9) months, paid over 12 months, but terminates employment in January before the end of the contract. Based on the actual number of days already worked, an additional payment is due to the employee. Even though you may pay your employee in a lump sum, it must be reported to WRS monthly based on the employee’s normal payment schedule. This employee normally received $4,166.67 per month, so the normal salary would be reported for January. If the additional amount owed was $9,386.45 based on the number of actual days worked, then the additional amount would be reported as follows.

*This example shows the Employee Contribution paid by the Employer, but you will complete the applicable columns based on your payroll requirements.

Termination Record If the employee terminates, this example also shows how to complete the term on the same partial file upload.

Employee Summer Contribution Example 2