Frequently Asked Questions - Restricted (Over-the-cap/MCOP) Salary Cost Transfers

Restricted (Over-the-cap/MCOP) Salary Cost Transfers

What is a ‘restricted’ fund?

Restricted funds refers to a fund source that imposes an annualized salary cap.

What is the difference between Percent of Pay and Percent of Effort?

Percent of Pay is a calculation of one earnings row against the UC Monthly Salary. 

Percent of Effort is a calculation of an earnings row against the total effort of the employee for the month. This value has a different calculation for restricted funds when the employee's UC Monthly Salary is greater than the prorated monthly cap rate for that fund. Note, Y-OTC (over the cap) rows do not bear effort, with that effort captured on the N-OTC (under the cap) amount. It should be noted that some earn codes are non-effort bearing.

What are the steps to redistributing earnings on a Salary Cost Transfer including restricted funds where the employee’s monthly salary is over the cap for that fund?

To avoid a discrepancy in the Percent of Effort, one should always redistributed earnings from/to a restricted fund using the following steps, in order:

  1. Add a new row (as needed)

  2. Redistribute the Percent of Effort from the original row to the new row. 

  3. Update the chartstring on the new row to the new chartstring.

  4. Click ‘Calculate Cap Rules’

I’ve clicked ‘Calculate Cap Rules’, resulting in a new Y-OTC row. Where did the chartstring for this row come from?

Newly created Y-OTC rows by default use the chartstring from the position’s funding entry default funding profile. Despite this default, you are able to update the chartstring on the Y-OTC row to another unrestricted fund. 

If there is no default funding profile associated with the position, the chartstring fields will be blank, and require you to manually enter an unrestricted chartstring.

The annual cap rate associated with a restricted fund has been updated retroactive to the start of the year, but payroll has already run using the old annual cap rate. How can I correct this?

Once the new cap rate is entered in UCPath, you can start a Salary Cost Transfer to redistribute the earnings. On the restricted row, select the magnifying glass next to the Annual Cap Rate to select the new rate and then proceed with the transaction as normal.

I’m submitting a restricted Salary Cost Transfer, but I can’t edit or add a new row from an N-OTC row. What should I do?

While the ‘Redistribute Eligible Earns’ button is active(yellow), the N-OTC rows will be read only. To edit these rows, click the ‘Redistribute Eligible Earns’ button.

I’m submitting a restricted Salary Cost Transfer, but I can’t edit or add a new row from a Y-OTC row. What should I do?

While the ‘Calculate Cap Rules’ button is active(yellow), the Y-OTC rows will be read only. To edit these rows, click the ‘Redistribute Eligible Earns’ button.

The overall Percent of Effort keeps changing in my restricted transaction. What should I do?

The calculation for Percent of Effort is different, depending on whether the FAU is restricted or unrestricted. As a result, when redistributing restricted to or from a restricted fund, you will need to redistribute (by earnings, percent of pay, or percent of effort) first, and then update the FAU.

An employee on capped funds received a salary increase, but their funding wasn’t updated in time. Now the distributed amount exceeds the fund cap and FTE. How should I redistribute the excess?

You'll need to redistribute the excess in a way that won't deflate/correct the overall percent of effort. To do that, you'll want to take the following steps in order: 
  • Add a new row from the N-OTC row
  • Redistribute the excess effort from the N-OTC row to the new row
  • Update the chartstring on the new row to an unrestricted chartstring
  • Click 'Calculate Cap Rules'
Calculate Cap Rules moves the excess amount from the N-OTC and Y-OTC rows to the new row, while preserving the total effort.