Employer Reporting Basics

What You Should and Shouldn’t Report

The earnings information you provide us each month determines your employees’ final average salary (FAS), one of the factors we use to calculate their retirement benefits. It also determines your annual contribution to NYSLRS.

But, determining what payments should be included on your monthly report can be confusing. So exactly which payments are reportable? An easy definition would be “payment for services rendered.” This includes normal salary, overtime and lump sum recurring payments such as longevity bonuses, merit pay and holiday pay.

Not all items considered taxable by the Internal Revenue Service constitute earnings as defined by the Retirement and Social Security Law. These payments should not be included on your monthly report and will be excluded from the retirement calculation if reported. Then there’s the question of what earnings to report for employees who have cafeteria plans or take advantage of deferred compensation.

Our Salary Summary lists some common payments that you should include on the monthly report, including lump sum recurring payments, and some that you shouldn’t. If you ever have a question about whether or not to include a payment, email our Employer Reporting staff.


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