11.06: Frequently asked questions about FPDs

11.06: Frequently asked questions about FPDs 

1. What is the difference between Regular Retirement and Initial Pension?
   The retirement applicants listed under the Regular Retirement section require that the final payroll details (FPDs) be completed before the retirement application can be processed. It is important that the FPDs for these applicants be done as soon as possible so that ORS has all the information (wages, service credit, any remaining tax-deferred payments, etc.) to determine the applicants' eligibility for retirement. Regular Retirement applicants' pensions will be processed only after the FPDs are submitted. The retirement applicants listed under the Initial Pension section currently meet all of the eligibility requirements; no additional information is required to prove eligibility. An estimated pension will be processed before the receipt of the FPD based on wages, hours, and tax-deferred payments already posted. For these applicants, wait until all the final wages, hours, and tax-deferred payments have posted before completing the FPDs.

2. Why are there different instructions for DC Converted members?
   ORS uses your final payroll details (FPDs) to complete the pension process for retiring employees, which is based only on reportable compensation (defined benefit or DB wages). Employees with a DC Converted benefit plan stopped earning DB wages when their plan was converted to DC on Feb. 1, 2013. To simplify the instructions for these two types of members (those with a current DB plan and those whose DB plan ended several years ago), we provide two sets of instructions.
   
   In addition, a DC Converted employee may be retiring from a reporting unit other than where they worked when their DB plan ended on Feb. 1, 2013. In this case, at least two reporting units will complete an FPD. The reporting unit where the employee retired from must complete an FPD to show the termination date, last day worked, and last day paid, but will not have any data regarding reportable compensation (DB wages). The reporting unit where the employee worked when their plan was converted to DC in 2013 must complete an FPD to report DB wages. This reporting unit will also report a termination date, etc., but it will not affect the employee's retirement date. These different requirements are included only in the instructions for DC Converted members.

3. What do I do with a final payroll detail (FPD) report requesting current year information for an applicant who did not work for our reporting unit during this year?
   Complete the FPD for the last year the applicant worked for your reporting unit. You will manually enter the Number of Days Worked.

4. Why did I receive an error message stating the final payroll detail (FPD) did not balance when I tried to submit the applicant's FPD?
   Once you click Submit, the system runs a balancing calculation using the data you have entered. This balancing calculation compares the Certified Reportable Wages on the FPD to the Wages Based on Contract in the ORS database. If the calculation does not balance, you get the error message that shows the various components used in the balancing process. Use the information in 11.04: How to balance an FPD to determine what areas of the FPD may contain errors.

5. What do I enter for hourly rate if the applicant had more than one for the last fiscal year?
   Enter the average of all rates.

6. What if the amount listed for the full contract rate is incorrect?
   The amount listed in the Full Contract Rate/Hour Rate field is the amount most recently reported to ORS. If the amount is incorrect, enter the correct full contract amount.

7. What if I changed my payroll calendar and the new dates do not match those listed under Pending Wages?
   Enter the wages and hours that most closely represent the pre-populated dates. A slight variance in dates will not affect the applicant's pension calculation.

8. What if the applicant has more than one reportable wage above the base rate?
   Add up all the reportable wages above the base rate and enter the total into the Excess Amount field. In the Excess Amount Comments field please provide a breakdown of the amount listed.

9. What if I am not able to finish the final payroll detail (FPD) screen once I start?
   Scroll down to the bottom of the screen and click Save. The data you have entered will be saved, allowing you to come back later and complete the FPD.

10. What is the difference between termination date, last day worked, and last day paid?
    The termination date is the day the employer/employee relationship ends, or the date two years past the last date the employee earned service hours in the case of an employee on an approved leave of absence (see extended leave of absence (more than two years) in section 3.03: Who is not a member). The last day worked is the last day the member physically stopped working for your reporting unit. The last day paid is the last day your reporting unit paid the employee. 

11. When should I complete the final payroll detail (FPD) if the employee is no longer working but is still being paid on 26 pays?
    The number of pay periods does not affect the timing for completing the FPD. Complete the FPD for retirement applicants listed under the Regular Retirement section as soon as possible after the link becomes active. Complete the FPD for retirement applicants listed under the Initial Pension section after all wages, hours, and tax-deferred payments have posted.