Guidelines for the Application of the Automated Teller Machine (ATM) Payroll System

January 27, 2009

DEPED ORDER NO. 08-09

GUIDELINES FOR THE APPLICATION OF THE AUTOMATED TELLER MACHINE (ATM) PAYROLL SYSTEM

1. For the information and guidance of all concerned, enclosed are the guidelines for the implementation of the Automated Teller Machine (ATM) Payroll System, this Department.

2. All regions, divisions, and schools are to be guided accordingly.

3. This supersedes DepEd Memorandum No. 27, s. 2002, dated February 28, 2002.

4. Immediate and wide dissemination of and compliance with this Order is directed. IEaHSD

 

(SGD.) RAMON C. BACANIUndersecretary

ATTACHMENT

GUIDELINES FOR THE APPLICATION OF THE AUTOMATED TELLER MACHINE (ATM) PAYROLL SYSTEM

DEPARTMENT OF EDUCATION

For the Automated Teller Machine (ATM) Payroll System, the following rules and regulations apply.

Adoption of the ATM Payroll System by all Implementing Units is compulsory.

I. OPENING OF ACCOUNTS

The School Principal shall:

A. Coordinate with respective Government Servicing Bank of the school/district for opening of accounts.

B. Prepare a certified list of all the teachers and other personnel in their school indicating the Division Code, Station Code, Employee Number, Employee Name (First Name[space]Surname) to be submitted to the Government Servicing Bank. See attached form A.

C. Coordinate with the designated Branch Manager of the bank concerning the date and time of the opening of the accounts on school site.

See to it that all teachers/employees participating in the ATM Payroll System within his/her school have opened an account.

D. Confirm returned Form A from bank verifying completeness and accuracy. Upon confirmation, sign conforme on Form A.

E. File original copy of Form A and submit certified copies to the following:

1. Systems Division for PSD paid

2. RPSU for region paid

3. Branch Manager of Servicing Bank

4. District Supervisor for elementary teachers

5.Schools Division Superintendent

The District Supervisor shall:

F. Instruct the Elementary School Principals to prepare Form A.

G. Submit the consolidated Form A by station to the servicing bank. EIcTAD

H. Coordinate with the Elementary School Principal and the designated Branch Manager of the servicing bank concerning the date and time of the opening of the accounts.

The Government Servicing Bank shall:

I. Immediately request a soft copy of the text file of the District/School they are to service from the following:

1. Systems Division for PSD paid teachers and employees

2. RPSU for region paid

3. Principal for Nationalized High Schools

J. Input the account nos. of teachers/employees and immediately returns the updated file to the principal for confirmation.

K. Upon receipt of certified copy of Form A duly signed by the principal, submit the updated soft copy with the corresponding account numbers to either of the following:

1. Systems Division for PSD paid teachers & employees

2. RPSU for region paid

3. Principal for Nationalized High Schools

II. PROCESSING OF PAYROLL

A. The Division Office shall submit the updated monthly report of service (Form 7) to Payroll Services Division or RPSU of the Region (for region paid) on or before the 5th day of the following month.

B. For PSD Processed

The PSD shall:

• Forward the preliminary payroll to the Accounting Disbursement Section-Central Office (IBM) not later than the 8th of the current month to give the accountant in-charge ample time to audit payments based on submitted Form 7.

• Update the payroll file on or before the 11th of the current month based on report of cancellation submitted by the Accounting Disbursement Section-Central Office (IBM).

• Prepare final payroll listing in 5 ply continuous form and individual payslips.

• Prepare 2 copies of the payroll register and diskette as required by the bank (See attachment A). An extra payroll disk shall be maintained by DepEd which shall be available to the bank should the original copy be found unreadable/defective.

• Furnish the regional/division accountant a copy of the disbursement report indicating the total amount for credit to the teachers bank account not later than the 15th of the current month.

Accounting Disbursement Section-Central Office (IBM) shall:

• Audit preliminary payroll based on submitted form 7 by the Division Office.

• Submit report or cancellation to PSD on or before the 10th of the current month.

C.FOR RPSU PROCESSED

The RPSU (for Region paid) shall accomplish the following on or before the 15th of the current month: CTSAaH

• Forward the preliminary payroll to the Regional Accounting Section not later than the 8th of the current month to give the accountant in-charge ample time to audit payments based on submitted Form 7.

• Update the payroll file on or before the 11th of the current month based on report of cancellation submitted by the Regional Accounting Section.

• Prepare final payroll listing in 5 ply continuous form and individual payslips.

• Prepare 2 copies of the payroll register and diskette as required by the bank (See Attachment A). An extra payroll disk shall be maintained by DepEd which shall be available to the bank should the original copy be found unreadable/defective.

• Furnish the regional/division accountant a copy of the disbursement report indicating the total amount for credit to the teachers bank account not later than the 15th of the current month.

Regional Accounting Section shall:

• Audit preliminary payroll based on submitted form 7 by the Division Office.

• Submit report or cancellation to RPSU on or before the 10th of the current month.

Nationalized High Schools preparing their own payroll may implement their own procedures in payroll processing in agreement with their servicing bank.

III. FUNDING

For DepEd Regional Servicing Bank

Division Accountant and High School Cashier/Disbursing Officer shall deposit the corresponding amount (net pay) of the Disbursement reports to the appropriate ATM current account maintained by the region not later than the 16th of the current month.

The Regional Accountant shall submit to the ATM Servicing Bank the Authority to Debit from payroll account covering the payroll amount for the current month not later than the 17th day of the month.

The Servicing Bank shall debit from the DepEd Regional Office payroll account and credit to the individual teacher's bank account shall be on or before the 21st of the current month.

IV. CREDITING OF PAYROLL ACCOUNTS

For PSD paid:

Systems Division shall advise monthly the ATM Servicing Bank of the date of inclusion of new teachers/employees in the initial payroll payout through ATM.

For Region paid:

RPSU shall advise monthly the ATM Servicing Bank of the date of inclusion of new teachers/employees in the initial payroll payout through ATM.

The Servicing Bank shall:

Make teacher's/employees' payroll withdrawable not later than the 22nd of the current month. TAECSD

Submit a duly certified report of credit to individual ATM accounts on or before the end of the current month to the PSD/RPSU/Division/School.

Note on Holidays/Weekends

In case deadline falls on weekends or holidays, all deadlines shall be adjusted to coincide with the last working day prior to the weekend or holiday.

V. ACCOUNT MAINTENANCE

The Schools Division Superintendent shall:

Require new permanent teacher/employees to submit ATM account number duly certified by the servicing bank branch manager using Form A together with their appointment papers and other supporting documents for inclusion in the ATM Payroll to the following:

— For PSD paid, the Division Accountant who shall forward the above documents to the PSD

— For Region paid, Head of RPSU

The School Principal shall:

Advise ATM Servicing Bank and DepEd Payroll Services Division Central Office (for PSD paid) or Head of RPSU (for Region paid) through a written notice when any of the covered teacher/personnel has been terminated, resigned or retired from the service within 7 working days from the date of termination or resignation, or 30 days prior to the effectivity of retirement. Such notice shall be used as basis for the PSD or RPSU to delete the concerned teachers'/personnels' masterfile from the payroll and for the ATM Servicing Bank to close the individual ATM Account.

The ATM Servicing Bank shall:

Advise immediately, thru a written notice, the Chief of PSD, Regional and Division Accountants, Nationalized Secondary School Principals of closed and/or invalid ATM accounts of teachers and other personnel.

Furnish the Systems Division for PSD paid and RPSU for region paid the list of active ATM accounts monthly.

FORM A

LIST OF TEACHERS/OTHER PERSONNEL FOR ACCOUNT OPENING

_______________________________________ District

_______________________________________ School

Division	Station	Employee	Name of Employee/	Account
Code	Code	Number	Teacher	Number (to be
Number	Number		(First Name [space]	filled by the
			Surname	Bank)
Prepared By:		Ferdie San Jose
_________________________
(Signature above printed name)	This Portion to be accomplished after
SCHOOL PRINCIPAL		account opening.
Verified Correct By:
_________________________
(Signature above printed name)	Account Number Certified By:
Division Superintendent		_________________________
		(Signature Above Printed name)
		ATM Servicing Branch MANAGER
		Conforme:
		_________________________
		(Signature above printed name)

 

ATTACHMENT A

PAYROLL DATA REQUIREMENT

1.Magnetic Media Options

Payroll data can be stored using the following media.

1.1 Diskette

— 3.5 

— Ds, HD 1.44MB or 2.0 MB

1.2 Tape

— 6250 or 1600 cpi recording density

— no label

2. Requirements

2.1 The payroll file should contain only transactions for the current pay period and a control total record as the last record. DCAHcT

2.2 Data in diskette form should be written using the ASCII or TXT format while those in tape reels should be in EBCDIC.

 

2.3 For diskette, the amount field should not have a decimal point and leading blanks should be padded with zeroes. DEHcTI

2.4 For tape, records should be blocked 50 record to a block and the tape file should be unlabeled.

2.5 The filename for the diskette should be:

Sammdd.txt

Were mm is the month and dd is the payday; e.g.,SA1215.txt for December 15 payroll.

3. Record Formats

3.1 Diskette

3.1.1 File Data Record

COLUMNS	DESCRIPTION	FORMAT/DEFAULT	TYPE
		VALUES
1-10	Account Number	9999999999	N
11-50	Account Name	X (40)	C
51-65	Transaction Amt.	9 (13) V99	N
66-68	Host Branch	999 Branch Code	N
69-73	Batch Number	99999 To be assigned	N
74-80	Filler	Spaces	C

 

3.1.2 Control total record — the account number for this record is always 9999999999.

COLUMNS	DESCRIPTION	FORMAT/DEFAULT	TYPE
		VALUES
1-10	Account Number	9999999999	N
11-35	Company Name	X (25)	C
36-50	Total Amount	9 (13) V99	N
51-69	Check Field hash	9 (17) V99	N
70-74	Total Record	99999	N
75	Filler	Spaces	C
76-80	Batch Number	99999 To be assigned	N

 

3.2 Tape

3.2.1 File data record

COLUMNS	DESCRIPTION	FORMAT/DEFAULT	TYPE
		VALUES
1-10	Account Number	9999999999	N
11-50	Account Name	X (40)	C
51-65	Transaction Amt.	9 (13) V99	N
66-68	Host Branch	999 Branch Code	N
69-73	Batch Number	99999 To be assigned	N
74-80	Filler	Spaces	C
81-92	Reference Number	X (12)	C
93-100	Filler	Spaces	C

 

3.2.1 Control Total Record — The account number for this record is always 9999999999.

COLUMNS	DESCRIPTION	FORMAT/DEFAULT	TYPE
		VALUES
1-10	Account Number	9999999999	N
11-35	Company Name	X (25)	C
36-50	Total Amount	9 (13) V99	N
50-69	Check field Hash	9 (17) V99	N
70-74	Total Records	99999	N
75	Filler	Spaces	C
76-80	Batch Number	99999 To be assigned	N
81-92	Reference Number	X (12)	C
93-96	Payroll Date	99999 MMDD	N
97-100	Filler	Spaces	C

 

4.The Payroll Register in hard copy should contain the following information

— Account Number

— Account Name

— Credit Amount

— Payroll Credit Date

— Total Payroll Amount

FORM B

DEPARTMENT OF EDUCATION

LETTER OF INTRODUCTION

Date

The Manager

Sir/Madam :

Please be advised that the bearer, _____________________________, is included in the Checkless Payroll System thru (ATM Servicing Bank). Please furnish him/her signature cards for your authentication.

Very truly yours,

________________________(Signature above printed name)

Implementation of Automated Teller Machine (ATM)

Advantages of ATM Implementation

1. Can access 24 hours a day, 7 days week.

2. Time and Locational convenience; Access your account anytime from over 2,737 Expressnet ATMs: 2,042 Megalink ATMs and 2,406 Bancnet ATM systems nationwide.

3. Control of Funds Manage your money wisely. Withdraw only what you need.

4. No ID Hassle every withdrawal transaction. Just use your personal Identification number (PIN).

5. Alternative to the teller line no need to line up over the counter to withdraw cash.

6. Privacy Security through PIN.

7. User-friendly easy to use menu driven.

8. Multi-usage. Can be used in the transfer of funds, cashless shopping, internet or phone banking.

Further, the need of implementation ATM is as follow:

• Eliminate the occurrence of fake/spurious checks. This will always occur if we can't address our problem in updating the preparation of the monthly Bank Reconciliation Statement.

• The preparation of monthly Bank Reconciliation Statement is no longer needed. This is a shared responsibility between the teacher, bank and employer. They are responsible in checking their respective accounts.

• Save cost of continuous form checks and materials. The bank is charging P5.00 per check for printing and documentary stamps. This will be more economical on the part of DepEd. Sometimes Land Bank of the Philippines runs out of check.

• Less deterioration of RPSU machines since no checks will be printed.

• Ensure that salaries and allowances will readily go to the account of teachers and ensure that he/she received it. In so doing, lender/agent can no longer interfere on the transactions.

• Lessen man hours in preparation of checks for the payee.

Disadvantages of ATM

1. Captured cards}

} can make use of over-the-counter transaction. caIACE

2. Lost/Stolen card}

Prepared by:

RO DESKS