Use the contribution rate table with the effective date of Oct. 1, 2019 for DTL2 records with an end date on or after 10/01/2019.
You’ll find the contribution rate tables for FY 2019-20 (published in April 2019) on the Employer Information website under Contributions. Be sure to use the correct table, depending on the type of reporting unit:
For a description of each of the elements of the contribution rates, please see Employer Contribution Rates: Terms, Definitions and Descriptions, found on the Contribution Rates as well.
Almost any retiree can be hired to work in a position that appears on the Critical Shortage Discipline list published by the Michigan Department of Education. But only retirees who have been retired for 12 months or more and who have not yet worked for three years in a critical shortage position are eligible to be reported with a critical shortage class code. These retirees will enjoy no earnings limits while being reported with a critical shortage retiree class code, up to a maximum of three years.
Retirees who have not yet been retired for 12 months can be hired for a critical shortage position but must be reported with a regular retiree class code. Those reported with a regular retiree class code may be bound by earnings limits and it is the responsibility of the retiree to keep track of their earnings.
To determine how to report a retiree, follow these steps:
- Click the Member Benefit Plans link on the employer reporting website, enter the SSN for the retiree, and click OK. From the information displayed, you need to know the Retirement Effective Date, the benefit plan and healthcare plan prior to retirement, and, at the bottom of the page, the number of hours left to work in a critical shortage position.
- Go to the Employer Information website and click the Reporting Retirees link. Scroll down to the Working After Retirement – Employer Guide section and find your reporting unit type. Begin clicking links to answer questions presented on each page until you reach a page that gives you three retirement class codes to choose from and tells you if employer UAAL contributions are due. Select the class code that best describes the position being filled, and use that code for reporting.
On September 5, 2019 we mailed the 2019 Reporting Authorization Certification form to the reporting unit superintendent or business official. The superintendent or business official must read the instructions carefully, verify and update information as necessary, and sign and fax this form back to ORS at 517-284-4416, no later than September 25, 2019.
If for any reason your reporting unit has not received the form or you have further questions regarding it, contact the Employer Reporting call center at ORS_Web_Reporting@michigan.gov or 800-381-5111.
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To successfully post a negative adjustment for wages and/or hours posted in a previous pay period, keep the following things in mind.
Negative DTL2 adjustments will be valid only on a payroll report that has a later begin and end date than the dates used on the record that needs to be adjusted. For example, If an error was made for wages that posted with begin and end dates of 06/29/2019 – 07/12/2019, the DTL2 adjustment record must be added to a payroll report with a start date on or after 07/13/2019.
Before adding a negative adjustment DTL2 record, use the View Employee Info screen to find the original posted record that needs to be adjusted. Make note of the begin and end dates, wage code, class code, and amount of wages and hours. Use the same payroll begin and end dates and class code on the adjustment record as were used on the original record.
Do not subtract more wages or hours than originally posted. If both wages and hours were originally reported, and all wages are being subtracted, then all hours must also be subtracted.
Each regular wage code has its own negative adjustment wage code. After checking the code used on the original record, use the table below to determine the correct negative adjustment code to use on the adjustment DTL2:
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Original Wage Code
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Negative Adjustment Wage Code
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01 – Regular Wages
05 – Regular Wages Positive Adjustment
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06 – Regular Wages Negative Adjustment
(06 can be used to subtract wages only, hours only, or both wages and hours)
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07 – Retiree Wages
75 – Retiree Wages Positive Adjustment
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76 – Retiree Wages Negative Adjustment
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08 – Summer Spread Wages
85 – Summer Spread Wages Positive Adjustment
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86 – Summer Spread Wages Negative Adjustment
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09 – Wages Without Hours
15 – Wages Without Hours Positive Adjustment
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16 – Wages Without Hours Negative Adjustment
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11 – Coaches Wages
25 – Coaches Wages Positive Adjustment
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26 – Coaches Wages Negative Adjustment
(26 can be used to subtract wages only, hours only, or both wages and hours)
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ORS will recalculate the pay rate for each adjustment record. We take the originally posted wages, subtract the wage and/or hour amounts on the adjustment record, divide the new total amount of wages by the new total amount of hours for the pay period, and use the result as the rate of pay. If your adjustment record includes a pay rate not equal to or within an allotted tolerance, the record will suspend. If a negative adjustment record does not include a pay rate, and the newly calculated pay rate does not match the rate of pay on file at ORS, the record will suspend.
For more on DTL2 wage codes, see RIM 13.03 Detail 2 Wage Codes
Vacation or annual leave pay is reportable when:
- An employee requests a day off from work and uses a vacation day to receive payment for that day.
The wages for this payment will be reported the same as their regular earnings on a DTL2 and a DTL4 record.
Vacation or annual leave pay is nonreportable when:
- An employee receives a payout of their unused vacation days.
Even though this pay is nonreportable on a DTL2 record, it is reportable on a DTL4 record since the wages are part of their gross earnings.
For more information please reference RIM article: 4.06.02: Unused Vacation or Annual Leave Pay
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