Approved by President
Effective Date: June 5, 2017
Responsible Division: Business and Finance
Responsible Office: Human Resource Services
Responsible Officer: Assistant Vice President, Human Resource Services
This policy outlines the schedule of payroll payments for employees of Middle Tennessee State University (MTSU or University).
A. All compensation for personal services rendered while an individual is an employee of MTSU, to which that individual is entitled, will be paid by direct deposit on the last working day of the month, except for the month of December. Payments for December will be made on December 31. If December 31 falls on a Saturday or Sunday, then payment will be made on the Friday prior to December 31. An employee is an individual who performs services subject to the will and control of an employer, both as to what shall be done and how it shall be done. It does not matter that the employer permits the employee considerable discretion and freedom of action, so long as the employer has the legal right to control both the method and the result of the services. IRS Circular E. Included as compensation are salaries, wages, and other payments for which personal services are required.
B. Each University employee must have a Form W-4 on file with Human Resource Services before their payment will be processed.
The University payroll system provides for the issuance of two (2) basic payrolls each month:
A. The Regular Payroll (month-ending). This payroll covers administrative and faculty employees, who appear in the budget in a named position, who are paid at a monthly rate, all graduate assistants/resident assistants, and all employees paid from contracts and grants at a monthly rate. Direct deposit notifications are sent electronically to the employee’s University email account on the last work day of the month (except as noted above for December). All entries for payroll must reach Human Resource Services by the due date established. Authorized extra compensation payments for budgeted personnel, summer school, longevity, and bonuses are paid, when applicable, in the regular monthly payment. Academic personnel are paid in twelve (12) equal monthly installments for services performed during the academic year. Payments are issued on the last working day at the end of each month, beginning with August and ending with July (except as noted above for December). If requested in advance, academic personnel who resign, or are otherwise terminated, may be paid in full on the last day of the month after their last date of service, for all remaining amounts due to them.
B. Hourly Payroll (16th of the current month – 15th of the following month). This payroll covers students, temporary, hourly, and classified employees. Payments are issued on the last work day of each month (except as noted above for December). Longevity payments and bonuses, when applicable, are paid in the regular hourly payment. Longevity is paid in the pay period in which the date occurs. Direct deposit notifications are sent electronically to the employee’s University email account on the last work day of the month (except as noted above for December). All entries for payroll must reach Human Resource Services by the due date established.
References: IRS Circular E.