The earnings statement shows how much has been taken out for each of the following categories:
Federal and State Withholding Taxes
The amounts withheld for taxes based on earnings, marital status and the number of exemptions claimed. During January each year, employees receive a W-2 form. It indicates total pay and the taxes withheld for the previous year.
Social Security (FICA)
Each lay employee of CSP is required to participate in this program. It is designed to provide retirement, disability, medical and death benefits. Deductions are made at a rate established by law.
Self-Employment Contribution Act (SECA)
All minister of the Gospel employees are subject to SECA and while CSP cannot deduct for these taxes on the same basis as it is required to for lay employees, CSP does provide a “voluntary” withholding for those ministers who so choose. Such withholding amounts are not determined by regulations, so the employee is responsible to notify the payroll office of the amount he/she desires to be withheld.
In some cases, additional required deductions may include wage garnishments, wage assignments, third party levies and income-withholding orders (child or spousal support) levied against an employee’s pay. Under the federal Child Support Enforcement Act of 1984, income-withholding orders for child support take priority over all other wage withholding orders.
In addition, the earnings statement will show any voluntary deductions or reductions. The employee authorizes those deductions or reductions by filling out the appropriate forms. They will remain in effect until the employee notifies the Human Resources Department in writing of the change, or the Human Resources Department notifies the employee that a new enrollment is necessary.
Deductions can include deposits or payments to a credit union or financial institution, contributions to United Way and CSP. Additionally, they may include tax deferred annuities contributions, and tax shelter health care reimbursement and dependent care plan contributions.
During the week an exempt employee begins work for the University or during the last week of employment, the employee will only be paid for actual hours worked. In addition, an employee may be paid only for hours worked during a period when the employee is using unpaid leave under the Family and Medical Leave Act (FMLA).
Lost Check or Incorrect Deposit Information
It is the employee’s responsibility to ensure all personal data on file with the University remains current. To ensure proper routing of pay, the employee must immediately update mailing addresses and direct deposit information.
In the event a paycheck is lost and a replacement check is requested, the employee will be responsible for administrative fees associated with cancellation of the first check. Additionally, it is the employee’s responsibility to ensure direct deposit information is correct and current. Should an employee neglect to update banking account information, the employee will be responsible for fees related to cancellation of the initial deposit. Administrative fees will be withheld from the replacement check or new deposit.
Last modified: April 12, 2018