October 31, 2023
Circular Letter: 200-045-23
Topic: Payroll

To: All CalPERS Employers

Purpose

The purpose of this Circular Letter is to inform you of changes regarding the verification of pay rates for highly compensated members. Currently, myCalPERS requires employers to verify any monthly pay rate over $20,000. Effective October 31, 2023, myCalPERS will require employers to verify monthly pay rates over $25,000. The verification threshold amounts may change annually to coincide with cost-of-living adjustments (COLA).

Changes to Pay Rate Verification Threshold Amounts

Beginning with payroll reported on or after October 31, 2023, myCalPERS will require any reported pay rate over $25,000 per month to be verified by the employer. In addition, any pay rate reported over $35,000 per month will require verification by both the California Public Employees’ Retirement System (CalPERS) and the employer prior to payroll records being posted. The new thresholds will be applied to all future earned periods, as well as any adjustments to previous earned periods.

How to Report Pay Rates Over $25,000 per Month

Payroll error CRB00249 will trigger a panel to display at the bottom of the payroll record. To clear the error the data must be corrected or verified.

• If the reported pay rate is incorrect, correct the reported pay rate amount. Pay rates corrected to less than $25,000 will clear the CRB00249 error code when the payroll record is validated.
• If the reported pay rate is correct, select the verification box and press Save and Continue to resubmit the record.
• Once a pay rate has been verified, it will not need to be verified again until the pay rate has increased by 5%.

How to Report Pay Rates Over $35,000 per Month

Payroll error CRB00250 requires verification from both CalPERS and the employer to clear.

• If the reported pay rate is incorrect, correct the reported pay rate amount. Pay rates corrected to less than $35,000 will clear the CRB00250 error code when the payroll record is validated.
• If the reported pay rate is correct, select the first verification box and press Save and Continue to save the record.
• Send an email to PayRateVerification@calpers.ca.gov with the member’s name, CalPERS ID, position title, and the applicable salary schedule to allow us to verify the pay rate reported.
• Once the pay rate is verified by CalPERS and the employer, the employer will have the ability to resubmit the record. Once a pay rate has been verified, it will not need to be verified again until the pay rate has increased by 5%.

Additional Resources

View the myCalPERS Payroll Reporting (PDF, 2.3 MB) student guide on our website for step-by-step instructions on clearing the CRB00249 and CRB00250 payroll errors.

Questions

If you have questions, call our CalPERS Customer Contact Center at 888 CalPERS (or 888-225-7377888-225-7377).

 

Renee Ostrander, Chief
Employer Account Management Division