Summer Pay

To access Summer Pay, check the Summer Pay check box on the Miscellaneous tab of the Employer File Editor, then click on the 'Edit' button.

Note:If the Summer Pay tab is disabled, be sure it is checked on the Employer File's Visible Fields tab.

What is "Summer Pay?"

Summer Pay, also referred to as deferred pay, is income normally associated with teachers. It is not paychecks for teaching summer school. It is paid out to teachers from money that is withheld from regular paychecks during the school year.

Under a summer pay (or deferred pay) arrangement, a portion of the money a teacher receives goes into a separate account during the regular paycheck schedule (often ten paychecks a year). They are then paid the withheld monies during the summer (often in two checks).


The prompts are discussed below:

Note:Talking to the payroll department may help understand how summer pay should be configured. Some questions to ask include:

1.What is subtracted before calculating a summer paycheck?

2.How are federal and state withholdings, FICA and Medicare taxes handled?

3.Are retirement system contributions withheld from summer pay? Section 125?

Number of Summer Paychecks:

Enter the number of summer paychecks your client receives.

Note:If an employer has ten normal paychecks, the number of special summer paychecks is usually two.

Summer Pay paid after Check #:

Enter the pay period number of the last regular paycheck before the first summer paycheck.

Note:For a ten pay employer, this would normally be six, where regular checks are paid January through June and September through December.

Method of Subtracting Summer Pay:

Select the method for subtracting summer pay, either % of Paycheck or Constant $.

Amount Subtracted from Paycheck:

Enter the amount (either as a percent or dollar, depending upon the prior prompt configuration) to be subtracted from the regular paycheck.

Note:In typical ten pay periods with two summer paychecks, the normal percent withheld is 16.6667%.

Additional Income Subject to Summer Pay?

If a client receives additional compensation for coaching or extended responsibilities, is a portion of this amount withheld and paid as part of summer pay?

Are the Following Withheld from Summer Pay?

Check the appropriate boxes for items withheld from summer paychecks.

Summer Pay Calculated/Subtracted After...

Check the appropriate pre-tax deductions that are taken by this employer before summer pay is subtracted.