Assigning Costing Allocations in Workday


Purpose

This document explains how Human Resource Partners (HRPs) can assign costing allocations in Workday as a standalone business process. Assigning Costing Allocations is also a sub-process that automatically initiates during the Hire, Add Job, and Change Job processes in Workday.

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Keep in Mind

· Costing allocations are maintained for employees in Workday through the Assign Costing Allocations task. Costing allocations tell Workday how a worker’s position will be funded and for how long. Regardless of funding source or number of sources, all employees who receive compensation through Workday payroll are required to have costing allocations assigned.

· To complete this task, you will need the following information:

· FAS Account(s) and Sub Account(s) (soon to be known as COA/POETAF) that will fund the position or earning.

· Applicable funding dates.

· If more than one account is being used to fund the worker’s salary, the distribution percentages.

· Assigning Costing Allocations will override the default FAS Account and FAS Sub Account values listed on the Organization Assignments step. These default accounts are attached to the position when the position is first created. Costing Allocations should be assigned once a worker is moved into a position.

· Multiple FAS Accounts/Sub-Account may be entered to fund a position or an earning.

· Costing allocations can be assigned to a Worker, Position, and Earning (such as a housing allowance or vacation allowance) or costing allocations can be assigned to a Worker and Position only. If you are going to be funding a specific earning for the employee differently than the rest of their salary, you will need to ensure the Worker, Position, and Earning level of costing allocations are entered before proceeding.

· When assigning costing allocations at the earning level, you must set the earning costing allocations up first and then come back to do another costing allocation, which will need to be assigned at the worker and position level only so that the remainder of the salary has costing allocations assigned.

· Costing allocations must be set up at the position level at minimum. If the costing allocations set up at the position level expire, the FAS Account and FAS Sub Account listed on the default organizational assignments will be used to issue payment.

· Compensation will always be paid out at the Worker/Position/Earning level before the Worker/Position level. Consider the following example:

· An employee has Regular Pay and a housing allowance.

· They have costing allocations assigned at the Worker/Position level and at the Worker/Position/Earning level for the earning “Housing Allowance.”

· When Workday processes the employee’s paycheck, it will first check for Worker/Position/Earning costing allocations. Accordingly, the employee’s housing allowance will pay out based on the distribution specified by the Worker/Position/Earning costing allocation.

· Because no other earnings are specified, the rest of the employee’s compensation will pay out based on the distribution specified by the Worker/Position costing allocation.

· An employee has Regular Pay only.

· Assigning a costing allocation at the Worker/Position/Earning level for Regular Pay earnings is functionally the same as assigning a costing allocation at the Worker/Position level. In this scenario, Workday will pay the employee only according to the Worker/Position costing allocation.

· Costing allocations must be finalized by noon of the bi-weekly or monthly payroll close.

· All employees, excluding staff and tenured faculty, must have end dates assigned to their costing allocations.

· There cannot be a gap in costing allocations. For example, if one costing allocation ends on 12/31/2022, the new costing allocation must start on 01/01/2023.

· If an update needs to be made to a worker’s costing allocations, end the current costing allocations by entering a date in the End Date field. Add a new costing allocation and use the start date of the new costing allocation in the Start Date field.

· Contract and award funds may not be allocated in Workday past the account’s end date.

· For more information regarding costing allocations for employees assigned to a 9 Over 12 Academic Job Family, see the last section of this document.

· When applying a retroactive FAS account/Sub-account change or correcting an account error you need to update costing allocations in Workday but will then need to complete a PETS transaction if payroll has already run.

· To review a history of costing allocations that have been changed on a worker, navigate to the worker profile, select Job, and then click on Worker History. If you select the View Worker History by Category option, all costing allocation assignments that have been completed for this worker will be listed. Click further in an event to display who carried out the task. See the Viewing Worker History in Workday Knowledge Base Article for more information.

Assigning Costing Allocation Steps

1. Log into Workday using your CNET ID and password.

2. Type employee’s name into the search box at the top of the page and select enter.

a. Search results will populate.

b. Click on employee’s name in blue font to open their profile.

3. From the Employee Profile, click on the Actions button to display the menu of available Actions. Hover over Payroll and click on Assign Costing Allocation.

4. Under Worker Costing, the Worker field will auto-fill and the Position may auto-fill. If the Position does not auto-fill, use the Hamburger Menu (the icon with 3 dots and 3 dashes) to select the appropriate position.

a. If you are assigning an allocation to the position only, proceed to the next step.

b. If you are assigning allocations to both the position and earnings, then you must also select the applicable Earning using the Hamburger Menu within the field.

5. Under Position Restrictions Costing do not modify the Effective Date and do not add or change the Position Restrictions fields. Click OK to be brought to the Assign Costing Allocation page.

6. Under the Costing Allocation Attachments header add your costing allocations.

a. If there is no table, proceed to step 6c to add a costing allocation.

b. If there is a costing allocation table visible with Default FAS Account and Sub-Account numbers, you can override the default accounts by following the below steps. Please note, you do not have to override the default accounts however these default accounts are typically not utilized to pay out a position therefore they are typically overridden.

i. Under the Worktags column, using the Hamburger Menu to select the new FAS Account and/or Sub-Account numbers.

1. To add multiple FAS Account and/or Sub-Account numbers, select the plus sign icon in the top-left corner of the costing allocation table. This will create a new line of data in which you can add different account numbers under Worktags.

2. To remove FAS Account and/or Sub-Account numbers, select the minus sign icon on the left side of the table.

ii. Under the Distribution Percent column, inputting the appropriate distribution percentage for the accounts at-hand. Note, you will be unable to see the dollar amount of the costing allocation on this screen, only the percentage.

1. Distribution Percent must equal 100% to complete the process.

c. To add a single costing allocation:

i. Click the Add button and make sure the Start Date is correct and add an End Date, if applicable.

ii. Under the Worktags column, use the Hamburger Menu to select the FAS Account and/or Sub-Account numbers.

1. To add multiple FAS Account and/or Sub-Account numbers, select the plus sign icon in the top-left corner of the costing allocation table. This will create a new line of data in which you can add different account numbers under Worktags.

2. To remove FAS Account and/or Sub-Account numbers, select the minus sign icon on the left side of the table.

iii. Under the Distribution Percent column, inputting the appropriate distribution percentage for the accounts at-hand. Note, you will be unable to see the dollar amount of the costing allocation on this screen, only the percentage.

1. Distribution Percent must equal 100% to complete the process.

d. To add multiple costing allocations:

i. If you want the new costing allocation to display the same funding distribution and accounts as the previous, then checkmark the Copy Costing Allocation box within the first costing allocation.

1. This saves time, especially when maintaining multiple funding accounts for one individual that experiences slight changes in funding allocations from month to month.

OR

ii. If you want to add an entirely unique costing allocation and not carry over the funding distribution and accounts from the previous allocation, then click the Add button and review step 7 to complete the allocation.

e. To remove costing allocations:

i. Select the Remove button under the costing allocation you would like to remove.

7. Once costing allocations are finalized click Submit to complete this process.

a. If you receive an error stating “The entered information does not meet the restrictions defined for this field” this is due to an inactive FAS account or sub account number. Update the costing allocations to replace the inactive account numbers and click Submit again.

8. To assign another costing allocation (whether for an earning or for the position), initiate the Assign Costing Allocation process from step 3 and forward.

Employees Assigned to “9 Over 12” Academic Job Family

· Salaries posted to the REGULAR – 912 and MINISTERIAL HOUSING 912 earn codes should generate an accrual entry to account for the 9 months of effort paid to individuals over 12 months.

· The accrual entry charges an account(s) for the individual’s effort and credits another account for the same amount. The net effect on all accounts and subaccounts is that the employee receives 1/12 of their salary each month of their appointment.

· In Workday, a costing allocation needs to be created for the REGULAR 9/12 ADJUSTMENT (ADJ) earning (which is the accrual entry) to direct the credit entry to a unit’s appropriate operating account. Note that every individual who has a costing allocation for a position in a ‘9 over 12’ job family needs to have a corresponding costing allocation created for the accrual entry credit, ADJ.

· When entering costing allocations for employees assigned to a 9 over 12 Academic Job Family, ensure that there is a separate costing allocation entered on the REGULAR 9/12 ADJUSTMENT earning level.

· The costing allocation for this earning should always have a subaccount of 1099 (faculty) or 1199 (other academic). The start date of the costing allocation should always align with the costing allocation start date on the position level.