University of Minnesota Medical School
For Medical School Accountants
Last Date Reviewed:10/11/16
PURPOSE:To ensure correct billing and payment of UMPhysicians salary for Commonpaymaster faculty.
WHAT IS COMMONPAYMASTER:
- Specific to faculty members that hold both a University and UMPhysicians appointment (employed by both organizations)
- Faculty members receive two paychecks, but only one W2
- Primary earning codes used are CMF (base salary) & CMG (special payment)
- Paid via agency funds (9283) in the University of Minnesota’s financial system
- All payroll is paid via the University of Minnesota
- At the end of each pay period, University Human Resources sends Commonpaymaster payroll information to UMP
- Med School Finance downloads UMP salary for the pay period and reconciles to the Payroll Abstract.
- Payroll Verification Reports and Payroll Detail are sent to UMP
- Bill is created in EFS by Med School Dean’s Office and added to University A/R
- Payment is made by UMPhysicians to “reimburse” University and clear A/R
- University account number used :9283-DEPTID-20507
Each year departments need to ensure that the 9283 fund (common Paymaster) is balanced.These are the steps for reconciling:
- Compare payroll by pay period to amount of revenue received in your chartstring for each pay period.
- In theory, the reconciliation should balance out to zero, i.e. the amount of payroll charged should equal cash collected/AR.
- If it doesn’t balance, there are a few things to check:
- Were the bills created using the correct chartstring?
- Are there UMN earn codes (example, REG) on the common paymaster?
- Are there UMP earn Codes (example CMF) on University funds?
- Check Payroll Default Chartstring (1026-XXXXX-23000). Med School Finance is invoicing salary on default chartstrings. Revenue is applied to Departments Common Paymaster chartstrings (9283-XXXXX-20507). Expenses would need to be moved to Common Paymaster chartstring if on the default charstring
- Run report such as UM Reports – Account Budget status for non-sponsored funds.Balance should be zero when you include AR for outstanding revenue and any corrections.If you don’t balance to zero, make sure no retro payroll adjustments were done as that is against policy.
If a variance is identified, determine if it is an Expense or Revenue adjustment that needs to take place. If Expense, Departments should have at least one person with access to complete Retro Distribution changes on the Common Paymaster (UMP). Enter a Retro to correct the expense. If another Department will be affected, make sure the other Department is aware and in agreement with Retro before processing.Please note it is not allowed to complete Retro’s between UMP and UMN. Salary cannot be moved from UMN to UMP.
If it is a Revenue issue, contact Financial Analyst in the Dean’s Office to re-apply the Revenue. Once again, if multiple Departments will be affected, all Departments need to be made aware and in agreement with the adjustment.
If salary was charged to the Common Paymaster that was supposed to be charged to UMN, please contact the Financial Analyst in the Dean’s Office on how to resolve.
Each Department can determine its own process of reconciling theCommonpaymasterchartstrings. See SOP supplemental – ALRT Commonpaymaster Reconciling for an example of how one center reconciles.
For more information on UMP and common paymaster, see SOP’s for Clinical Faculty (UMP only) vs. common paymaster and Academic vs clinical transfers