University of Wisconsin–Madison
Human Resources

Compensation Basis Change

Overview

Compensation basis (formerly "pay basis") conversions for Faculty, Academic Staff, and Limited Appointees (FAASLI) should occur infrequently and are based on the duties and needs of the unit. These changes are typically permanent due to a change in long-term responsibilitie(s).

Compensation basis changes may impact the employee's benefits and/or eligible leave, and the Office of Human Resources (OHR) Benefits Services should be looped in on these requests if the employee's full-time equivalent (FTE) is below 100% to discuss any potential impacts to benefits.

For employees receiving a compensation basis change who also have a Temporary Work Assignment (TWA), consider whether an adjustment to the TWA is appropriate as the TWA is calculated based off of the position's compensation basis and pay rate type. If a change is warranted, refer to the Temporary Change in Responsibilities HR Guide for processing instructions.

   

Definitions

  • 9-Month
    • Academic basis ('C')
    • FAASLI employees directly tied to the academic year calendar (39 weeks) and who are in FLSA exempt job title.
  • 12-Month
    • Annual basis ('A')
    • FAASLI employees directly tied to the fiscal year and who are in FLSA exempt job title. 
  • Summer Service
    • Summer basis ('V')
    • Employment periods between the end of the academic year and the beginning of the next for research/other.
  • Summer Session
    • Summer basis ('S')
    • Employment periods between the end of one academic year and the beginning of the next.
  • Seasonal
    • Work that is seasonal or occurs on an irregular basis. The employee does not work for part of the year and may be placed on a short work break, or they could have a fluctuating FTE based on the time of the year.
  • No Pay
    • Positions with a No Pay compensation basis will not have ability to pay on that position, including One-Time Payments (OTPs), Period Activity Pays (PAPs), or Temporary Work Assignments (TWAs).

Effective Date

Although compensation basis changes typically occur at certain times during the year, the effective date can be the start date of any pay period. OHR Compensation Administration has the authority to make exceptions as needed.

  • 12-Month to 9-Month: Changes typically occur at the beginning of the academic year (Fall semester) or at the beginning of the Spring semester.
    • Salary adjustments cannot occur during the summer for 9-Month FAASLI employees, so any salary adjustments must either end on the last day of the Spring semester, or the last day of the summer term.
  • 9-Month to 12-Month: Changes typically occur at the start of the calendar year (first day of 1A pay period) or the start of the fiscal year (first day of 7A pay period).

Calculating Salary

Use the Salary Conversion Table to calculate the new compensation rate:

Conversion Table \\ Academic Staff and Limited Appointee
From To Use
Annual (12-month) Academic (9-month) Rate * (9/11)
Annual (12-month) Hourly (12-month) Rate / 2080
Academic (9-month) Annual (12-month) Rate * (11/9)
Academic (9-month) Hourly (9-month) Rate / 1560
Hourly (12-month) Annual (12-month) Rate * 2080
Hourly (9-month) Academic (9-month) Rate * 1560

Note: The conversion denominator of 11 takes into consideration the one-month vacation granted for annual appointments.

Documentation

Communicate the changes to the employee with an appointment change letter. Provide a copy of the Compensation Basis: A Side-by-Side Comparison document and ensure they understand what changes will occur.

Processing Change in Workday

The steps below outline how to process a compensation basis change from 12-month to 9-month and vice versa. 

Throughout the compensation basis business process, the absence balances are reviewed by Shared Services, the Absence Partner and/or Central Processing Absence UW. If applicable, absences will be transferred to the new plan and/or paid out; if time needs to be repaid, a Pay Input Request will be submitted.

See the Business Process Map for Job Changes for the full approval process.

Change Compensation Basis
Step 1: Find Employee

From the Workday landing page, enter the employee's name in the search box and select the employee. 
Step 2: Start Job Change

Once you are in the employee's Worker Profile:

  1. Select Actions
  2. Select Job Change
  3. Select Start Job Change. The Worker will populate based on the employee profile.
    Screenshot showing the Worker profile sidebar. A button labeled Actions is circled and a popup labeled Actions is shown below it. On the Actions popup, the user has selected Job Change and then Start Job Change.
  4. Confirm Worker
  5. Select Compensation Basis Change
  6. Click OK
    Screenshot showing the Start Job Change panel. The Worker field is circled to indicate that a selection is needed. The what do you want to do field is circled and shows that the user has selected the Compensation Basis Change option. The OK button is also circled.        
Step 3: Enter Details in 'Start Job Change'

Enter in details of the compensation basis change:

  1. Select the appropriate pay period begin date
    Screenshot showing a panel with a option labeled,when do you want this change to take effect? The user has chosen Select Date and entered a date into a date field.
    1. See recommended effective dates in the section above
  2. In the Academic section, select the new compensation basis under the following:
    Screenshot showing two circled fields within a section labeled, Academic. The fields are labeled, Select an Annual Work Period and Select a Disbursement Plan Period.
    1. Select an Annual Work Period
    2. Select a Disbursement Plan Period
  3. Enter a Comment
  4. Add Attachment (optional) 
  5. Click Submit
Step 4: Change Organization Assignments
  1. Select Compensation Basis to the new compensation basis 
    Screenshot showing the Change Organization Assignments options. A field labeled, Select Compensation Basis is circled.
    1. For example, changing from 12-month (annual) basis to 9-month (academic) basis, ensure that '9 month' is selected
  2. Click Next
Step 5: Change Compensation
  1. Do not enter anything in the Total Base Pay or Guidelines sections
  2. In the Salary section, click the ellipsis and select Edit
    Screenshot showing a panel with the Salary information. The panel shows the Plan Name, Assignment Details, and Effective Date. On the right, a button with three dots has a cirlce around it. The screenshot shows that when it's clicked it reveals the edit option.
    1. Enter the new salary amount based on the Salary Conversion Table
      Screenshot showing the Compensation options. The amount and frequency fields are circled and a save button lower on the page is also circled.
    2. Frequency will default based on selected compensation basis. No modification needed.
  3. Click Save
  4. Click Next
Step 6: Review and Submit
  1. Carefully review the data for accuracy
  2. Enter a Comment
  3. Add Attachment. Upload a justification for the compensation basis change.
    Screenshot showing an option to enter a comment and an option to attach files. Both options are circled and a submit button is shown circled below them.
  4. Click Submit
Step 7: Review & Approval by Other Security Roles

After the compensation basis change is submitted, will be sent for review and approval by those with the following security role:

  1. HR Process Coordinator (Supervisory) UW
    1. (Optional) Can add ad hoc approver(s)*
  2. Compensation Partner (Supervisory)
    1. Can edit if needed
    2. (Optional) Can add ad hoc approver(s)*
  3. Cost Center Accounting Specialist (CCAS)
    1. The CCAS can make an adjustment to the costing allocation, if applicable.
  4. Position Budget Manager
    1. (Optional) Can add ad hoc approver(s)*
  5. HR Partner (Supervisory)
    1. (Optional) Can add ad hoc approver(s)*
    2. See Step 8 below for details on how to update the temporary job responsibilities

*Note: All compensation basis changes require review/approval by the CCoE. Please route to your CCoE contact listed in our Workday – CCoE Ad Hoc Approval HR Guide.

Additional Resources

Questions?

Contact compensation@ohr.wisc.edu.

Updated: Aug. 25, 2025
Source URL: https://hr.wisc.edu/hr-guides/for-hr-professionals/compensation-basis-change/

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