Cost of Living Adjustment
In April, eligible Middle Georgia State employees will begin receiving a $5,000 Cost of Living Adjustment (COLA) recently approved by Governor Brian Kemp and state legislators.
The majority of pay adjustments will be completed in April, but there are many unique situations, such as mid-year hires, job changes, and leave statuses that will require manual pay adjustments into May.
Who is eligible?
The $5,000 salary increase is for all active, regular, benefits-eligible faculty and non-academic staff at Middle Georgia State. The increase will be prorated based on full-time equivalency (FTE). Employees not receiving benefits, including temporary workers and those working less than 30 hours per week, are not eligible for the increase.
When will payments be issued?
- Eligible employees paid biweekly will see the increase and one-time supplemental payment in their April 22 paychecks.
- Eligible employees paid monthly will see the change in their April 29 paychecks.
How will the increase be distributed?
- In April, eligible employees will receive a one-time pay supplement of up to $3,750 based on the number of pay periods an individual was employed between July 1, 2021, and April 1, 2022, and FTE.
- The remaining balance, up to $1,250, will be included on the normal payment schedule to finish out the fiscal year.
- The ongoing increase for FY23 will be applied and appropriately distributed across the pay calendar.
The one-time payment is subject to all applicable FICA taxes, federal income tax, and state income tax.
Eligibility FAQS
1. Who is eligible for the salary increase?
The $5,000 salary increase is for all active, regular, benefits-eligible faculty and non-academic staff at Middle Georgia State University. The increase will be prorated based on full-time equivalency (FTE). Employees not receiving benefits, including temporary and those working less than 30 hours, are not eligible for the increase.
6. Are 10-Month Academic Faculty employees eligible for the pay supplement?
Yes, 10-month exempt employees are eligible for the pay supplement. If a 10-month exempt employee’s employment begins before or during August 2021, and the employee worked the full contract period, they will be eligible for the full supplemental payment. The ongoing increase for FY23 will be applied and appropriately distributed across their 10 month pay schedule. If the employee is hired after August, the supplement will be prorated.
FY22 Example:
August – March - $3,750
April - $500 (1/10 of $5,000 base salary increase)
May - $500 (1/10 of $5,000 base salary increase)
May - $250 (AFY22 Regular Earnings Payment)
Total - $5,000
11. If an employee terminates prior to the payment date, is the employee still eligible for the one-time pay supplement?
The date of termination should be used to determine eligibility. If employees remain in an active payroll status for at least one day during the pay period associated with the payment date, the employee is eligible for the pay supplement. If employees terminate before the pay period begin date, they are NOT eligible. Institutions may not change the separation or retirement date of an employee solely for the purpose of eligibility to receive the pay supplement or increase to base salary.
Non-exempt
- Pay Period Begin:4/3/2022
- Pay Period End: 4/16/2022
- Check Date: 4/22/2022
Exempt
- Pay Period Begin 4/1/2022
- Pay Period End 4/30/2022
- Check Date: 4/29/2022
Timing and Pay FAQs
17. How will the one-time pay supplement be taxed?
In alignment with the State of Georgia’s approach, the supplemental payment will be processed and paid as a separate payment and will be taxed at supplemental rates established by Federal and State taxing agencies. These rates include 22% Federal withholding, 6.2% OASDI withholding (social security), 1.45% Medicare withholding, and State withholding. State rates will vary by state. Withholding at a flat rate percentage instead of the employee’s typical withholding percentage could have personal tax implications.
21. How will the salary increase be taxed?
Payments will be subject to all applicable FICA Taxes, Federal Income Tax, and State Income Tax. Federal and State Income tax will be withheld at the employee’s normal tax rate.
25. Will the supplement payment be paid as separate checks?
In alignment with the State of Georgia’s approach, the supplemental payment will be processed and paid as a separate payment and will be taxed at supplemental rates established by Federal and State taxing agencies. These rates include 22% Federal withholding, 6.2% OASDI withholding (social security), 1.45% Medicare withholding, and State withholding. State rates will vary by state. Withholding at a flat rate percentage instead of the employee’s typical withholding percentage could have personal tax implications.
28. Will the supplement payment be included on employees W-2?
Yes, the supplement payment is considered taxable income and will be included in the appropriate taxable wage boxes on an employee’s W2. However, there is no special reporting requirement for the supplement payment, so it will NOT be a separate line item on the W2.
30. How will the pay supplement be taxed?
Payments will be subject to all applicable FICA Taxes, Federal Income Tax, and State Income Tax. In alignment with the State of Georgia’s approach, the supplemental payment will be taxed at supplemental rates established by Federal and State taxing agencies. These rates include 22% Federal withholding, 6.2% OASDI withholding (social security), 1.45% Medicare withholding, and State withholding. State rates will vary by state.