5.0 - Gross Up Process for Additional Pay Earnings

The most common use involves one-time additional payments. If you “gross up” the payment, the department will be charged the additional amount to cover the employee's applicable taxes. This type of payment must be processed using the eligible earn codes on the Additional Pay Edoc.

Edoc information:

• You should use an effective date from a previous pay period. You do not want the transaction to be selected on the current payroll voucher.
• Indicate the exact NET amount you want the employee to receive.
• In the notes section, indicate that this payment will be “grossed up” to include taxes.

Adjustment Voucher information:

• Gross up transactions must be processed in the off-cycle payroll or as on-line checks. They cannot be included in the regular on-cycle payroll.
• You will not be charged the off-cycle fee if the transaction is processed in the off-cycle payroll using normal direct bank procedures. You will be charged the on-line fee if you request a paper check.
• Electronic adjustment voucher: After you enter the additional pay earn code/sequence number and tab out of the field, a GROSS UP box will be displayed. Click the box if you want the system to calculate the “grossed up” net amount. In the amount field, indicate the exact NET amount the employee should receive.