July 5, 2016
Budget update: FY 2017 brings 27th payroll period
Fiscal year 2017 brings an irregularity that occurs every 11 years: a 27th payroll period. A 27th pay period last occurred in fiscal year 2006.
A normal fiscal year contains 26 biweekly payroll periods. Fiscal year 2017 has a 27th payroll period because of the dates on which the biweekly payroll periods fall between July 1, 2016 and June 30, 2017. Three months with three pay periods occur in fiscal year 2017: July, December and June. The remaining months having two pay periods.
For the past 11 years, Kansas State University has been paying funds into a state 27th payroll fund so revenue would be available to fund the cost in fiscal year 2017. The Kansas Legislature appropriated back those funds for a onetime increase of approximately $2.9 million for the state general fund portion of the additional payroll period.
The one-time state funding covers approximately 50 percent of the general use expenses for the additional payroll period. Each Kansas State University unit is responsible for covering the balance of the general use expenses with existing resources. Units with non-general use funding — such as auxiliary or restricted fees — will be responsible for covering all their costs associated with the extra pay period.
The state general fund 27th pay period appropriation for the Manhattan campus units will be allocated to departments through the Financial Information System in December 2016. The K-State Research and Extension, College of Veterinary Medicine and Kansas State University Polytechnic Campus allocations will be managed by their respective business offices.
For more information, contact Ethan Erickson, assistant vice president for budget planning, at 785-532-6767 or email@example.com.