​​​​​​​​​​5.11.14 Payroll Year and Employment Agreement Year

​For income and payroll tax purposes, income is calculated on a calendar year basis.  Therefore, many school employees' written agreements are split between two different tax years.  Because the state and certain cities adjust the minimum wage on January 1, schools that pay at the minimum wage should take this statutory adjustment into account for exempt non-teacher workers and non-exempt workers, and make adjustments to the wages paid as needed. The Department of Catholic Schools' fiscal year is from July 1 to June 30 and schools' budgets should conform to the fiscal year.

A principal’s employment agreement begins on July 1 and concludes on June 30. A teacher’s employment agreement​ begins as determined by each school; the term of a teacher agreement should be for 12 months, although a school may divide the annual salary and benefits contributions for payment over 10 or 11 months.  Teachers who are hired during the school year should be offered employment agreements only until the end of the regular academic year.​

All other school employees are paid according to the fiscal year: July 1 through June 30.​​​

​7-6-2021​, 3-17-2026