Fringe Benefit Load Rate
Included on this page:
- Definition
- Calculation Process
- Separation Leave
- 2014 Preliminary Payroll Load Rates
- Payroll Load Rates-Summary List
- Payroll Load Rates - Detailed List (1996-2013)
- December 2012 Presentation - Payroll Load Rates Calculation
Definition
Payroll load rates are the rates used to charge fringe benefit costs to budgets. They vary depending upon payroll classifications (for example, classified, professional, hourly, graduate students). Fringe benefits include:
- Worker's Compensation
- Unemployment Compensation
- Health Plans
- Retirement Plans
- Social Security
- Medicare
- Separation Leave
Calculation Process
- Each year, Financial Accounting and Management Accounting and Analysis (MAA) uses estimated costs to calculate the rates for charging fringe benefits to budgets during the next fiscal year.
- MAA sends the calculations to DHHS--Department of Health and Human Services--Division of Cost Allocation--for approval.
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The new rates:
- are effective July 1st
- available in FIN after the first payday in July (The first check in July pays for the last half of June.)
- At the end of the year the University compares the estimated costs, charged to the budgets, to the actual costs of the benefits, paid by the University, and adjusts the next year's rate accordingly.
Separation Leave Rate Beginning July 1, 2011
Effective for the first pay period for Fiscal Year 2012, there was an additional component added to the benefit rate tables to charge a small rate for separation leave costs. Please go to the Separation Leave Payments for a complete explanation.
Payroll Load Rates
To calculate the amount of benefits that would be charged to your budget, apply the benefit rate in the table below to the total salaries for that particular object code. For example, in Fiscal Year 2012, if your budget was charged $1,000 of salaries in Object Code 01-60, and $2,000 of salaries in Object Code 01-70:
($1,000 X 36.6%) + ($2,000 X 30.6%) = $366 + 306 = $672 is the total benefits that should be charged to your budget.
Click here for a printable version of the table below