Some employees earn compensation in one month but are paid that compensation in a later month. If you defer payment of employees’ compensation, you need to make sure employees’ compensation is identified properly on the transmittal report by the Earning Period (month and year the compensation was earned).
This same rule applies to members’ contributions (except Plan 3) and hours for the associated compensation.
Some of the employers who report deferred payments of employee compensation include school districts, community and technical colleges, educational service districts, the State School for the Deaf, the State School for the Blind, and four-year colleges and universities.