Incorrect amount paid for Employee

Experienced Cover User georgie92
51 Posts
Experienced Cover User
Australia

Incorrect amount paid for Employee

Hi!

 

I have overpaid an employee back in Feb. Have just picked this up in my bank feeds. I will underpay same employee this week but how do I allocate in bank feed now?

1 REPLY
Super Partner GDay53
207 Posts
Super Partner
Australia

Re: Incorrect amount paid for Employee

First check that your linked account for payroll cash payments is the payroll clearing account. Then go to the pay with the error in February and change it to be paid by cash. This will take it out of your bank account and put it into the payroll clearing account. Now process a spend money for the actual amount paid in February going from the bank account to the payroll clearing account. Now match this spend money with the actual bank feed amount. You will be left with the amount overpaid in the payroll clearing account. When you go to fix this, process the pay as normal with the full amount as a cash payment putting it into the payroll clearing account and then pay the employee the actual amount left in the payroll clearing account which should be the new pay minus the overpayment. This should then be recorded as a spend money again bank account to payroll clearing account which will match the actual amount paid in the bank feeds. Nett result will be zero in payroll clearing account, correct amounts paid to employee and banks feeds matched.

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