Deferred Salary of Highly Compensated 9-Month Faculty

• The Internal Revenue Code (IRC) Sections 409A and 457(f) require higher education institutions to pay salaries of highly compensated 9-month faculty in the semester earned when the “deferred salary” exceeds the Internal Revenue Service (IRS) annual deferral limit.
• The University will adjust salaries paid in the fall and subsequently in the spring to ensure proper distribution of salaries.
• View summary sheet for more information on Deferred Salary

Payroll Notification Form (PNF) Instructions [HR Restricted]

• 2024 – 2025 Instructions for PNF – implementation of IRC 457(f) – Instructions to complete PeopleSoft transactions upon completion of the 457(f) calculation worksheet [.xlsx] for each affected employee.