Danville Public Schools is weighing the option of switching payday for the majority of its employees, a move spurred by a snafu earlier this year with federal tax withholdings.
Right now, nearly 1,000 employees of the school system receive their base pay once a month. Workers like school bus drivers and those serving in cafeterias are paid weekly, a schedule that won’t change.
When teachers work extra duty — such as for Saturday school — they receive what’s known as miscellaneous pay. That comes in a separate paycheck, generally in the middle of the month.
The system discovered the miscellaneous pay wasn’t being taxed at a rate set by the Internal Revenue Service. This came to light around the same time as employees learned tax withholdings didn’t come out of their paycheck last year