The Payroll Department oversees all payroll functions, including the processing of payrolls for payment, payroll deductions, garnishments, W-2's, tax withholding deposits, and direct deposit transmittals. It also handles retirement-related functions.
The Payroll Office of Montgomery Public School handles all payroll related functions of this school system. We make every attempt to serve all employees fully and fairly. The following information briefly addresses salary payments and various related deductions. If you have any questions, please call 223-6722 or 223-6725.
Payroll Check: Payroll checks are issued once per month on the last work day of the month. All regular employees' earnings are distributed over twelve (12) months for payroll purposes. If there are questions concerning a method of payment of a particular pay check, please call the Payroll Office at the above numbers. Individuals hired after the beginning of a regular work term should contact the Payroll Office for an explanation of how he/she will be paid.
Direct Deposit: Direct deposit of your payroll check is possible to virtually every bank or credit union in the nation. See your school secretary or call the payroll office for details to sign up. On payday you receive your check stub, but your money is automatically deposited in your bank or credit union.
Federal / State Income Taxes: Deductions are based on current tax tables and the information you provide on W-4 and A-4 tax forms. These forms may be changed any month.
F.I.C.A. (Social Security): This deduction is currently 7.65% of taxable income. It will always be the correct percentage of your taxable earnings.
Retirement: For eligible employees, your contribution to the Retirement Systems is 5% of the gross earnings. This deduction is federally tax-sheltered. Employees paid less than 175 days in a contract year will not receive a full year of retirement credit.
Eligible employees may participate in a tax sheltering "Cafeteria Plan." Enrollment period is July and August of each year. Go to www.rsa.state.al.us for enrollment forms.
VOLUNTARY DEDUCTIONS (Note Deadlines)
Medical Insurance: New enrollment and/or insurance changes are now handled by the state PEEHIP office. Call 517-7000 or access their website at http://www.rsa-al.gov/ .
Dues: If you enroll in an organization approved for payroll deductions, the dues will be deducted beginning 9/30 or 11/30 and continuing through 6/30 or 8/31. If you resign or take leave, the balance of the dues payable will be deducted from the last check. NEA, AEA, MCEA, MACT, ESPO, CLAS, and AACTE dues and political contributions are continuing annual deductions. Once you sign up for these, they continue each year unless cancelled in writing prior to September 15. AACTE deadline is September 1.
Credit Unions: Two credit unions are currently approved for payroll deductions. Deductions can be made for either or both credit unions. The Montgomery Teachers Federal Credit Union is located at 400 Arba Street. The Industrial Relations Credit Union is located at 15 East South Street. Requests for initiating and canceling deductions should be made directly to the credit union involved.
Christmas Clubs: Deductions may be made to Montgomery Teachers Federal Credit Union and Industrial Relations Credit Union. Contact the credit unions for enrollment information.
Annuities: Tax-Sheltered Annuity Deductions are available to all employees. An enrollment form must be submitted to the Finance Office at least eight working days before payday each month for a deduction from that month's paycheck. The Board of Education neither endorses nor recommends any companies or the policies sold. It simply allows the deductions when certain minimal conditions are met. This deduction is tax-sheltered from federal and state income tax.
Deferred Compensation: Federally tax-sheltered (Section 457) deductions for Deferred Compensation accounts are available to all employees. Details are furnished upon request. This deduction is tax-sheltered from federal and state income taxes.
OTHER MATTERS OF IMPORTANCE
Sick Leave: Upon retirement, unused sick leave is converted to additional retirement credit. For every 20 days worked or major fraction thereof, you earn one day of sick leave. Sick leave can only be used for:
Personal illness or doctor's quarantine.
Incapacitating personal injury.
Attendance upon an ill member of the employee's immediate family (parent, spouse, child, sibling) or an individual with a close personal tie.
Death in the family of the employee (parent, spouse, child, sibling, parent-in-law, son-in-law, daughter-in-law, brother-in-law, sister-in-law, nephew, niece, grandchild, grandparent, uncle, or aunt.)
Death, injury, or sickness of another person who has unusually strong personal ties to the employee, such as a person who stood in loco parentis.
Employees are authorized to take sick leave for any of the reasons enumerated above. Employees who are absent due to sickness for five consecutive work days may be required to furnish a statement from a licensed physician attesting to the illness when there is reasonable doubt by the supervisor.
Sick leave is earned at the rate of one sick day per month of work term. An employee may accumulate an unlimited number of sick leave days. Sick leave balances may be transferred to other eligible employers upon termination of employment.
Eligible employees may become members of the sick leave bank. Employees may join the bank at the beginning of each school year even if they have no sick leave. After September 30, they must have five (5) sick leave days to join. Members may give or receive sick leave days in accordance with the rules of the bank and applicable law. The sick leave bank is administered by the Payroll Office.
Personal Leave: All eligible employees are granted 5 Personal leave days per year which may be taken at any time. If an employee goes on a leave of absence, only the Personal Leave days earned up to that time may be used. The first two days are provided at no cost to the employee. Each of the last three personal leave days used will cause the employees' gross pay to be reduced by the daily rate of a substitute teacher. This amount is deducted regardless of whether a substitute is employed for that day. If an employee resigns and has taken Personal leave days that have not been earned, the unearned Personal day will be deducted from the final paycheck. If any certified employee does not use his or her first two Personal leave days in a school year, he or she will be reimbursed substitute teacher pay for each of the first two Personal days not used if they notify the Payroll Office on the appropriate form by June 10. Otherwise, it will be converted to sick leave. For support employees, all unused personal leave will be converted to sick leave at the end of the school year. They do not have the option of being paid for any unused personal leave. Eligible 12 month employees receive 10 or 15 days of vacation/annual leave per year, depending on years of service. Twenty days may be carried forward past June 30 each year.
Life Insurance: A $10,000 life insurance policy is provided for each eligible employee at no cost. Enrollment forms should be completed along with other employment forms. The State Retirement System also provides $15,000 of life insurance plus the equivalent of the previous contract year's annual salary for all employees who have participated in the Retirement System for a full year. The State also pays the beneficiary for unused sick leave of an employee who dies while in active service.
DEADLINE FOR PAYROLL RELATED CHANGES: For deductions that can be changed on a monthly basis, a requested change must be in the Payroll Office at least eight working days prior to payday. Changes received after the deadline will be considered for the following month.
CHANGE OF ADDRESS: Address changes should be submitted on Form MPS 103-79, available in school offices. Form must be submitted by above deadline each month. Please look at the address on your paycheck to verify.
Experience-Based Raises: If an employee is eligible for a step-raise, it will be given on the first paycheck of each new contract year.