Purpose:
The purpose of this bulletin is to inform agencies of OSC’s automatic processing of the 2023 and 2024 retroactive increases to the Holiday Bonus Payment, and to provide agencies instructions for submitting payments not processed automatically.
Affected Employees:
Division of State Police employees in the State Police Investigators Unit (BCI) – BU62 who meet the eligibility criteria are affected.
Background:
Chapter 182 of the Laws of 2025, which implements the 2023-2026 Agreement between the State of New York and the New York State Police Investigators Association (NYSPIA), provides for an increase to the 2023 and 2024 annual holiday compensation payment.
Effective Dates:
The 2023 and 2024 retroactive State Police Bonus Payment will be processed in the Administration Pay Period 16L/17C, paycheck dated 11/19/2025. The 2023 increase will be applied to the Holiday Bonus Payment effective 11/01/2023, and the 2024 increase will be applied to the Holiday Bonus Payment effective 11/01/2024.
Eligibility Criteria:
Employees in Bargaining Unit 62 who have a Payroll Status of Active, Leave With Pay or Leave of Absence on or after the applicable Effective Dates provided in the Effective Dates section who received the 2023 and 2024 Holiday Bonus Payments at the Current Amount are eligible for the following increases:
| Earnings Code (Payment) | Current Amount | 2023 Amount | 2024 Amount |
|---|---|---|---|
| HSP (Holiday Compensation SP) | $1,782 | $1,835 | $1,890 |
OSC Actions:
OSC will automatically insert a row on the Time Entry page using the applicable Effective Date from the Effective Date section to reflect the 2023 and 2024 State Police retroactive increase to Holiday Bonus Payment for employees who meet the eligibility criteria as follows:
2023
| Earnings Code: | HSP |
|---|---|
| Earnings Begin Date | 11/01/2023 |
| Earnings End Date | 11/01/2023 |
| Amount | $53 |
2024
| Earnings Code: | HSP |
|---|---|
| Earnings Begin Date | 11/01/2024 |
| Earnings End Date | 11/01/2024 |
| Amount | $108 |
Agency Actions:
To pay the retroactive increase to the 2023 and 2024 State Police Holiday Bonus Payments to eligible employees not processed automatically or who return from an authorized leave of absence, the agency must submit the following information on the Time Entry page or the Time Entry Interface (NPAY502) using the appropriate Earnings Code:
2023
| Earnings Code: | HSP |
|---|---|
| Earnings Begin Date | 11/01/2023 or the date originally used |
| Earnings End Date | Same as Earnings Begin Date |
| Amount | $53 |
2024
| Earnings Code: | HSP |
|---|---|
| Earnings Begin Date | 11/01/2024 or the date originally used |
| Earnings End Date | Same as Earnings Begin Date |
| Amount | $108 |
Control-D Reports Available After Processing:
After the automatic processing of the retroactive 2023 and 2024 State Police Holiday Bonus Payment is completed, the following Control-D report will be available for agency use:
NPAY771 – Time Entry Payment Report
This report identifies all employees who received the 2023 and 2024 increase to the State Police Holiday Bonus Payments effective 11/01/2023 and 11/01/2024.
Retirement Information:
The 2023 and 2024 State Police Holiday Bonus Payment is included for retirement purposes for employees in BU62.
General Deductions:
All deductions for employees whose Payroll Status is Terminated, Retired, or Deceased will be automatically canceled by OSC with the exception of percentage-based dues and deductions marked “No” on the Deduction Codes list published on the OSC website.
Tax Information:
These monies are supplemental taxable income, will be included in the employee’s taxable gross and are subject to all employment and income taxes.
Federal, State, and New York City income tax withholding will be calculated using the Aggregate method. Yonkers income tax withholding will be calculated using the Flat Rate method (1.95975% for Yonkers residents and 0.50% for Yonkers non-residents).
Payroll Register and Employee’s Paycheck/Advice:
Earnings Code HSP and the amount paid will be displayed on the Payroll Register. The Earnings Description Holiday Compensation SP and the amount paid will appear on the employee’s paycheck stub or direct deposit advice (if applicable).
This payment will be made in a separate check regardless of when it is paid. The separate check will be issued with the employee’s regular paycheck or direct deposit advice based on information for that check date. There is no direct deposit for this payment.
Special Wage Payments for Individuals Who Filed for Retirement Social Security Benefits:
Per Internal Revenue Service Publication 957, OSC will be reporting retro payments made to individuals who have filed for Social Security benefits to the Social Security Administration (SSA).
As PayServ does not include this information, OSC will be mailing a Request for Special Wage Payment Report to inactive individuals who are 62 or older in the calendar year and to active employees with the New York Retiree Indicator checked in Modify a Person who receive the retroactive payment. Recipients of this mailing will be asked to fill out the request and return it to OSC for inclusion on the Special Wage Payment report to SSA. This report will be submitted to SSA after the close of the 2025 tax year.
It is important that agencies ensure the New York Retiree Indicator box is checked for rehired retirees. Please see Payroll Bulletin No. 1728 for further details on the New York Retiree Indicator box.
Undeliverable Checks:
When a valid payroll check is undeliverable due to the agency’s inability to locate the employee, the agency should follow the Agency Actions identified in Payroll Bulletin No. 1786 – Non-Negotiated and/or Undeliverable New York State Payroll Checks.
Checks issued to eligible employees who are now deceased should be submitted as a stop payment request with a reason of Exchange in PayServ. The Report of Check Exchange (AC 1476-P), Next of Kin Affidavit (AC 934-P) and original death certificate should be submitted to the Payroll Reversal and Exchange mailbox at the same time as the stop payment request. If a Next of Kin Affidavit has been previously submitted for a deceased employee’s payroll check, OSC will accept a photocopy of this form along with a new Report of Check Exchange.
Questions:
Questions regarding this bulletin may be directed to the Payroll Earnings mailbox.