Since ProgramPay, powered by Vestwell, has an integration with your payroll provider, we can take a lot of work off your plate regarding the processing of your payroll files through automation. (yay!) This guide will help you with set up steps as well as help you understand your specific responsibilities for the proper submission of payroll files. Even though we offer integration with your payroll provider, Plan Sponsors have ongoing responsibilities to make sure the content is correct. Please read this whole article to understand the steps to set up integration and to learn about your initial and ongoing responsibilities.
- How Does My Integration Work?
- How Do I Initiate My Integration Set Up?
- Are There Any Reasons Why My Plan Might Not Be Eligible for an Integration?
- What Are My Responsibilities?
- What Does The Integration Handle For Me?
- Will My Payroll Provider Charge Me Fees to Set Up and/or Maintain This Payroll Integration?
- How do I disconnect my integration?
How do I initiate my integration setup?
- Complete the linked form: Payroll Integration Request Form so our team can collect the necessary details to set up payroll integration.
- Let your payroll provider know that you'd like to integrate with Vestwell for 401(k) integration. Your payroll representative will work with you to set up your plan in the payroll system and reach out to Vestwell to begin the integration set up.
- Your payroll provider is responsible for reaching out to Vestwell to begin the integration set up.
-
Set up these deduction/contribution codes within your payroll system.
- Pre-Tax 401(k) & Roth 401(k) Deferral codes (both $ and %)
-
Employer Contribution(s)
- Enter your per pay period Safe Harbor employer contribution formula into your payroll system
-
Retirement Loans Repayment codes
- Setup loan repayment deduction codes and any outstanding employee loan repayment schedules directly in your payroll portal prior to the first integrated payroll date.
-
Vestwell will use the employee deferral rates in ProgramPay to establish the rates on the ProgramPay deferral codes within your payroll system.
-
Ensure any previously established employee and employer contributions are cleared from your payroll system. (common for converting plans)
** This integration is facilitated through Vestwell not Voya.
Our team will reach out (via VoyaABA@Vestwell.com email address) to confirm when everything is in good order and provide the pay date when payroll integration will begin. *Please note, Until that date, be sure to continue to process contributions directly into the ProgramPay portal.
Are there any reasons why my plan might not be eligible for an integration?
There are some plan design features that currently prohibit the use of payroll integration, including:
- Plans which have multiple EINs
- Plans which have multiple log ins into their payroll system
- Plans which do not have an established recurring pay schedule setup in both ProgramPay and the payroll system. Your plan must have a scheduled recurring pay schedule setup in both ProgramPay and your payroll system.
- Plans which do not use the same payroll provider for all pay group(s)
- Plans which have limitations preventing each pay group from being integrated
- Plans with per pay period non-mandatory employer contributions
-
Plans that allow after-tax contributions
- Note: After-Tax and Roth contributions are not the same
- Changes to your plan design can impact your plans eligibility for this integration. If your plan has been amended or if you are considering an amendment to your original plan documents, please inform your ABA Retirement Representative to understand what actions on your part will be required to submit and process your payroll files correctly.
How does my integration work?
Your payroll provider offers either a 180° or 360° automated payroll integration. Review here to learn more about 180° versus 360° integration.
What are my responsibilities if my plan has an active payroll integration?
Our ability to set up integration and successfully process payroll and deferral change files on behalf of your plan depends on you! It is your responsibility to:
-
Payroll (Deferral/Contribution) Codes
- Work with your payroll representative to set up and maintain payroll codes within your payroll system.
- This includes the initial set up of any employer contribution codes which will be funded on a per-pay period basis.
- It is important that these payroll codes do not change once the integration setup is completed.
-
Commonly required payroll codes include:
- Pre-Tax 401(k) & Roth 401(k) Deferral codes (both $ and %)
- Employer Contribution(s)
- Retirement Loans Repayment codes
-
Continue to process payrolls via your payroll provider platform
- Please be sure that the ProgramPay deferral codes and rates are present prior to processing your first integrated payroll.
-
Pay Groups - Ensure that pay groups have the same name and schedule & frequency in both ProgramPay and your payroll system. Learn more about the importance of pay groups here.
- To edit a pay group name or set up new pay groups please see How to add or change a pay group in your ProgramPay portal prior to your first pay date.
- Note: Once integration is active, you will no longer be able to edit pay groups in the ProgramPay portal as this can disrupt the processing of contributions. For further assistance, please contact voyaaba@vestwell.com.
- The number of pay groups or companies in your payroll system may affect your plan’s eligibility to integrate.
-
Employee Deferral Rate Management (360 integrated)
- ProgramPay uses the rates set by your employees via online enrollment and the participant website when initiating a new payroll integration. Employers should review employee rates in ProgramPay and encourage employees to review and update their rates in the participant website while payroll integration is being implemented.
- For the best experience, on an ongoing basis, be sure your employees are setting and maintaining their deferral rates via Voya participant website. Rates sent via online enrollment and the participant website will flow automatically into ProgramPay.
- Any employee deferral rates shared directly with you, not using the Voya’s participant website by eligible employees must be set by you directly in the payroll system. However, for the best outcomes, please redirect employees to set their rates in the participant website
- Deferral rates set by employees in the participant website by 4PM ET on any given business day will be available in ProgramPay the following business day by approximately 8AM.
-
Employee Loans
- If applicable to your plan, set up and maintain retirement loans within your payroll system
-
Discretionary and/or Profit-Sharing Contributions
- Set up and maintain annual and/or quarterly non-mandatory company contributions within your payroll system and upload these contributions through your ProgramPay portal as an off-cycle contribution.
-
Mandatory Employer Contributions
- Set up and maintain mandatory employer contributions that are on a frequency other than on a per pay period basis and upload these contributions through your ProgramPay portal as an off-cycle contribution.
-
Employee Status Changes
- Make updates in your payroll system when employees are hired, terminated, or re-hired, etc.
-
Employee Personal Information
- Maintain complete, accurate, and up-to-date personal information within your payroll system - including date of birth, social security number, and email address.
-
Pay Frequency/Schedule Changes
- Report any pay frequency or pay schedule changes to ProgramPay immediately to avoid delays in payroll processing.
-
Review Payroll Data
- We rely on you to provide us with correct, updated, and complete data about your employees regardless of whether we receive that data directly from you or from your payroll provider. Regular audits and spot checks of the data provided to us will help you quickly identify and rectify any discrepancies.
-
Validation Errors on Payrolls
- From time to time, we may receive data from your payroll company that triggers a validation error in ProgramPay and we are unable to process one or more contributions or loan payments. When that happens, you will be alerted by email about the issue with instructions on next steps to resolve the issue. These alerts will be sent from "ProgramPay@notices.vestwell.com". Please adjust spam or other filters in your email system to allow you to receive these important communications. You can learn more about the contribution validations and the types of errors that can occur here.
-
Miscellaneous Service & Support
- Monitor for emails from the ProgramPay Employer Services team at VoyaABA@vestwell.com and respond to questions and outreach in a timely manner.
-
Negative Contributions/Corrections
- Negative contributions or corrections are not able to be processed through the integration. For assistance with negative contributions or corrections, please contact our Employer Services team by emailing voyaaba@vestwell.com.
What does ProgramPay handle for me if my plan has an active payroll integration?
-
Processing Contributions & Loan Payments
- Process supported employee/employer contributions and applicable loan payments into your retirement plan based on what was processed in the payroll system.
-
Off-Cycle Submissions
- Off-cycle payroll run through your payroll system will be uploaded via the integration.
-
Per pay period Safe Harbor employer contribution
- Per pay period SH contributions will only be processed if the employer has set up the SH code and formula in their payroll system.
-
Employee Deferral Management
-
ProgramPay will set employee deferral rates in your payroll system if they were set by the employee via Voya’s online enrollment and deferral management tools in the participant website prior to your first integrated pay date.
- Please do not process your first integrated payroll before this step is completed.
- Deferral rates set by employees directly in Voya’s participant website will be updated automatically within 2 business days.
- NOTE: Any deferral changes shared by eligible employees directly with you, not using the Voya participant website, must be set by you directly in the payroll system. For the best outcomes, please direct employees to maintain their deferral rates within the participant website.
-
ProgramPay will set employee deferral rates in your payroll system if they were set by the employee via Voya’s online enrollment and deferral management tools in the participant website prior to your first integrated pay date.
-
Employee Status Changes
- When you add, rehire or terminate employees in your payroll system, the changes will be reflected in the ProgramPay portal one business day after the next pay
Will my payroll provider charge me any fees to set up and/or maintain my payroll integration?
Your payroll provider may charge fees in conjunction with the integration. Please check with your payroll representative for more specific details.
ProgramPay will not charge you to facilitate this integration.
How do I disconnect my Payroll Integration?
If you change payroll providers, terminate or deconvert your plan, it is your responsibility to inform us so that we can terminate the integration and assess whether integration with a different payroll provider is available. Please see this article and reach out to your Voya Representative for further assistance.