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February 8, 2019
Dear Customer:
The National Finance Center (NFC) would like to make our Agency customers aware of the potential impact of deductions associated with time and attendance (T&A) processed during the furlough. If employees received partial payment for T&A’s processed for PP26 (2018) thru PP02 (2019) (as they were impacted by the furlough), deductions listed within this notification may not have been collected from their salary and would require an action on behalf of the employee or the Agency.
Please note that a corrected T&A submitted for any of the previously partially paid T&A’s may not have recalculated if gross salary was not sufficient to cover certain deductions:
- Flexible Spending Accounts, dental, and vision (BENEFEDS)
- Vendor will re-compute amounts for the remaining PPs. No action is required by the customers or employees.
- Union dues
- No action is required by the customers or employees at this time. NFC normally does not bill for missed union deductions but due to the number of missed union deductions, NFC is currently investigating viable options and will communicate the option(s) in a future customer notice.
- Financial allotments and garnishments
- It is the employee’s responsibility to ensure the third party is made whole. NFC will not deduct these amounts retroactively.
- Combined Federal Campaign (CFC)
- The Campaign has been extended until February 22, 2019.
- Deductions will begin between PP02 through PP05 depending on when the employee’s election was made.
- Employees are encouraged to determine how this change will impact their
W2s for tax year 2019, and make changes as necessary.
- FEHB Deduction
- No deduction occurred due to insufficient funds when the original T&A was processed. A receivable account was established and can be viewed in the Employee Personal Page (EPP). The notification date on the receivable will remain blank until the Debt Notice is issued. See last bullet for specific instructions regarding payment.
- Debt Notice will be generated on February 28, 2019, and be available on Reporting Center by March 1, 2019, for Agencies to print and mail to the employee.
- Employees will receive a bill to pay the missed PP26 and PP01 FEHB premium.
- The receivable account on EPP will display a blank notification date, which means a Debt Notice has not been issued.
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NFC encourages employees to wait for the Debt Notice and follow the repayment guidance that recommends automatic payroll deductions to incorporate the pretax benefit. If payments are made through a check or Pay.gov, the payment cannot be processed as a pretax item. Only payments for FEHB related debts that are payroll garnished can receive the pretax benefit.
Human Resources offices are encouraged to aid employees in reviewing their earnings and leave statement (E&L) to ensure employees understand their salary payments and deductions.
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