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FAQ: How do I pay off a contract for one teacher due to early retirement?

To pay off a contract, complete a Pay Off Contracts payroll calculation (which is Method 3 on the Payroll End of Fiscal Year Checklist) for the employee.  The Pay Off Contracts payroll calculation will pay all remaining contracts for the pay groups included in the payroll calculation.

Important Note:  To pay the contract balances for only a specific employee (or a specific group of employees, if needed), assign the employee(s) to a unique pay group.  For example, change the pay group ID for the applicable retiring teacher(s) to be a RETIRE pay group.  To assign an employee to a different pay group, change the pay group ID on the Employment screen (and when prompted, click Yes to change the pay group for all pay codes) or change the pay group ID on the Wages screen for just the contract(s) to be paid off.

To complete a Pay Off Contracts payroll calculation:

  • From the Payroll screen, select the Check Cycle menu and then Calculate Payroll.
  • Enter Pay Off Contracts in the Payroll Type field.
  • Enter a unique description for the batch in the Batch Description field.
  • Enter the correct fiscal period (i.e. 06/2024) for which to post the entries to General Ledger in the Processing Month field.
  • Enter the date to print on the checks for the first pay period being paid in the Check Date field.
  • Enter the last date of the first pay period being paid in the Last Worked Date field.
  • Enter the appropriate pay period (frequency) for which deductions to include in the calculation for the first pay period to be paid in the Week Number for Deductions field.
  • If applicable, enter the number of days included in the first pay period being paid in the Days This Pay Period field.
  • Enter the 4-digit year of the ending fiscal year date (i.e. 2024) for which contracts to include in the calculation in the Fiscal Year End field.
  • If desired, enter the date to use as the posting date for the entries in the Override General Ledger Entry Date field.
  • If desired, to print checks for the payees during the check cycle, select the Write Payee Checks field.
  • In the Pay Groups to Include List, select the pay groups for which employees’ contracts to include in the calculation.
    Note:  If applicable, select the Exclude Contract Hours From ACA Tracking field (column) for a pay group to not have the hours worked tracked for contract pay codes for employees for the Affordable Care Act (ACA) Hours Tracking option (will still be tracked for inclusion on the other applicable government reports, such as retirement and unemployment reports).
  • Click the Save button.
  • Click the Advanced Options tab and complete the following:
    1. If desired, select the Combine Employee Checks field to print only one check for each employee using the date entered on the Regular Options screen.
    2. If desired, select the Combine Payee Checks field to print only one check for each payee using the date entered on the Regular Options screen.
    3. If one or more of the following four scenarios apply, complete the Date Sequence, Check Date, and Week Number for Deductions fields:  (1) if there are multiple payrolls calculated per month and different week numbers are used to stipulate when deductions are withheld and expensed, (2) if new rates are entered for a deduction with a Rate Change Date (in the Deduction File or the Employee File), (3) if ending dates are defined for deductions (in the Deduction File or the Employee File), or (4) if separate employee and/or payee checks are to be printed using different dates on the checks.
  • Click the Execute button to calculate the payroll.
  • Continue with the check cycle as normal, but keep in mind when printing the checks, direct deposit stubs, and automatic payment stubs, be sure to select the correct date sequence if separate employee and/or payee checks were specified to be printed (even if only one date was utilized) in order to print the checks for all the pay periods (date sequences).