PAY AVERAGING



As you may already know, Maine has passed a law that is requiring school districts to offer pay averaging for school year hourly employees who are in permanent hourly positions. Beginning this fall we will be offering a pay average option, You will need to choose from two options:

1.) Do you want your pay to be averaged over 21 pay periods?

or

2.) Do you want to be paid for actual time worked in each pay period for the school year.  

Please review the information on this webpage to help you decide which option is best for you.




>  Who does this affect?

o   This affects school year hourly employees, who are assigned to a position with regularly scheduled hours. 

o   Please note that if you are paid less than $13.55 per hour you are not eligible for pay averaging, as it would violate Maine’s Minimum wage law.


> What is pay averaging and what does it     mean for me?

o   Pay averaging is taking your annual anticipated pay and spreading it into 21 equal pays from 9/20/19 – 6/26/20.  


>  Do I need to do pay averaging?

o   No, you have a choice. You can choose to do pay averaging or you can choose to continue being paid for hours worked.


>  What do I need to do if I want pay             averaging?

o   You will be given a form to complete and return to Human Resources – this form needs to be completed and returned by noontime September 6, 2019!


>  What do I need to do if I want to                continue being paid for time worked?

o   You will be given a form to complete and return to Human Resources – this form needs to be completed and returned by noontime September 6, 2019!


>  What are my options?

o   You may choose to continue being paid as you have been, and will be paid for hours worked each pay period.   You will only receive checks during the school year.

o   You may choose to have your anticipated earnings annualized and your earnings will be spread over the 21 pays during the school year.


>  What if I work during the summer or         receive a stipend?

o   Any work done during the summer or that receives a stipend will continue to be paid in the pay period it was earned.  Please see pay period and pay dates attached.


>  If I choose pay averaging how will my         insurance deductions be handled?

o   If you choose pay averaging your insurance deductions will be taken out of every check, please see the chart on this page to see how much will be taken with each paycheck.  If you choose to be paid for time worked we will continue to take those deductions on the schedule set forth, for the 2019-2020 school year which will be 18 deductions.


>  If I choose pay averaging and work             more than, or less than, my scheduled     hours, how will that affect my                 paychecks?          

o   We will make the adjustments with each pay period.  If you work more than your scheduled hours we will pay you the additional pay in the paycheck for that pay period.  If you should work less than your scheduled hours that will be deducted in the paycheck for that pay period.


>  When do I need to decide by?

o   Forms will be sent to you on or around August 27, 2019.  You must complete and return the form to Human Resources by Noontime on Friday, September 6, 2019.


>  How will any transfer of my Sick days         to Vacation time to be used during         Christmas break work?

    o   In order to ensure that everyone is                        accurately being paid, anyone that is eligible to        transfer days, and wishes to make the transfer,            will be required to submit their elections no                later than noontime on September 6, 2019. A            form will be provided for you to submit                        the number of days you wish to transfer, and            those transferred days will be included in                    the calculation of annual days paid.

>  How will the transfer of Sick days to         PTO days work?

o   Since these days are to be requested for payment (unlike the vacation time to be used during Christmas break) these days will not be added to the annual calculation and will be adjusted in the pay period that the time is requested.  Please note that if you are eligible for these days, the form will need to be completed and returned by noontime September 6, 2019.









EMPLOYEE MEETINGS 

Pay-Average Meeting Schedule


> Transportation - August 26, 2019, 11:30am at Transportation

> Food Service – August 27, 2019, 10am at BEHS (after                    opening  ceremonies) 

> Bonny Eagle High School – August 27, 2019, 12:15pm

> Bonny Eagle Middle School – August 27, 2019, 1:15pm

> Buxton Center Elementary School – August 28, 2019, 3pm

> Hollis Elementary School – September 3, 2019, 9am

> H.B. Emery Jr School – September 3, 2019, 3:15pm

> Steep Falls Elementary – September 4, 2019, 7:30am

> Edna Libby – September 4, 2019, 3pm

> George E. Jack - September 5, 2019, 9am




Below are some examples of how a 
"Pay Averaged" check would compare to 
"Pay for Time Worked" check.

What a Pay Average paycheck might look like:

How we figure the annual amount: Hourly wage X Hours per day X Days per year = Annual wages

Annual wages / 21 = Per pay check amount

 

What a Paid for Time Worked paycheck might look like:

Hours that are worked in the two-week pay period will be paid out at your hourly rate.

Hourly wage x hours worked = Paycheck

Examples:


An Ed Tech I at Years 1-3 

who works 6 hours per day and 189 days per year (5 days per week)

Pay Averaging Method

  $13.63 x 6 x 189 = $15,456.42                        $15,456.42/21 = $736.02

Paid for Time Worked Method                               (assuming a full pay period was worked)

Working 6 hours per day for the 10 workdays in the pay period for a total of 60 hours - $13.63 x 60 = $817.80


A Secretary at Years 1-3 

  who works 6.5 hours per day and 192 days per year          (5 days per week)

Pay Averaging Method

 $13.63 x 6.5 x 192 = $17,010.24 .                   $17,010.24/21 = $810.02 

Paid for Time Worked Method                               (assuming a full pay period was worked)

Working 6.5 hours per day for the 10 workdays in the pay period for a total of 65 hours - $13.63 x 65 = $885.95

 

A Driver at Year 1 

who works 6 hours per day and 188 days per year

Pay Averaging Method

 $15.60 x 6 x 188 = $17,596.80 .                     $17,596.80/21 = $837.95 

Paid for Time Worked Method                               (assuming a full pay period was worked)

Working 6 hours per day for the 10 workdays in the pay period for a total of 60 hours - $15.60 x 60 = $936.00

 

A Food Service Assistant at Year 3 

who works 3.5 hours per day and 188 days per year

Pay Averaging Method

 $13.55 x 3.5 x 188 = $8,915.90 .                       $8,915.90/21 = $424.57

Paid for Time Worked Method                               (assuming a full pay period was worked)

Working 3.5 hours per day for the 10 workdays in the pay period for a total of 35 hours - $13.55 x 35 = $474.25



Insurance costs per pay period - Paid for 
Time Worked (PTW) vs. Pay Averaging (PA)


2019-2020 Pay Periods and Check dates.




The Pay Averaging bill (LD300) was signed 
by the Governor on June 5, 2019