ORIGINATING NO.: 05-07-OMB

AGENCY: OFFICE OF MANAGEMENT AND BUDGET

EFFECTIVE DATE: 09/01/2004

EXPIRATION DATE: INDEFINTE

SUPERSEDES: 95-04-OMB

SUBJECT: REFUND OF PAYROLL CHECKS

ATTENTION: ALL DEPARTMENT PERSONNEL AND PAYROLL OFFICERS

FOR INFORMATION CONTACT: KEVIN MCMULLEN

PHONE: (609) 984-6363

There has been an increasing tendency by Agencies to delay the return of payroll checks to be refunded.

There are numerous accounting adjustments to each individual's record as well as adjustments to reports prepared for other governmental agencies that must be accomplished for each check refunded.

Pay checks that are to be refunded must be received by Centralized Payroll no later than one week after the pay day for which it was drawn. Any check received beyond this due date will have the funds deposited in the General Treasury Account and not to the Agency's Salary Account.

The following deductions to third party payees cannot be recovered by the State after the deduction has been forwarded to the designated payee. A check or money order payable to the Treasurer, State of New Jersey for the amount of these deductions (when applicable) should be submitted with the salary refund.

• US Savings Bond (when deduction exceeds balance)
• Credit Union
• Garnishment
• Support
• NJ BEST
• Student Loan Default
• Long Term Care
• Deferred Compensation
• Transit/Parking
• SACT
• Alternate Benefit Program

Amounts not recovered will be charged to the Agency's Salary Account. It is imperative that agency personnel exercise extreme care in the reporting of employee time and thus keep refunds to an absolute minimum.