Overpayment of Annual Leave

MResi

Can I have some help to rectify a overpayment mistake I made in MYOB?

 

Here is some background info:

• Our last staff member wanted to be paid out their annual leave after they left in normal pay fortnight installments. Unfortunately I made the stupid mistake of unticking 'Annual Leave Accrual' before I started paying out their annual leave each fortnight so they system didn't alert me to the fact that the annual leave was all used up.
• I ended up overpaying the annual leave pay and the amount went to the staff members bank account, super was paid, PAYG was paid & deductions by way of salary packaging was paid.
• Once I realised the issue, I contacted the staff member and also the salary packaging provider and both have returned the money to our bank account.

After reading some posts on the community forum I understand that I need to do a negative pay run for this person to fix up their end of year payment summary.

 

Can I just clarify if I do a negative payrun,  what do I need to do with the figures for Super, Deductions & PAYG.

 

If the payroll is normally

- Minus Deductions

- Minus Super

- Minus PAYG

 

Do I then enter this in as whole figures as this would be the reverse? e.g. - $600 deductions are entered it as $600 deductions?

 

Any help would be appreciated,

Thanks,

Michelle

Princess_R

Hi @MResi 

 

Thank you for providing the details of the overpayment situation, and I'd like to welcome you to the Community forum.

 

When entering the negative pay run, you should use negative figures to reverse the previous positive amounts. For example:

• If the original pay run had deductions of $600, in the negative pay run, enter deductions as -$600.
• Similarly, for Super and PAYG, enter the negative figures corresponding to the amounts that were originally paid.

This way, the negative pay run will offset the overpayment, and the corrected amounts will be reflected on the end-of-year payment summary. For further information, kindly refer to this Help article, Fixing a payroll overpayment or underpayment.

 

However, it would be best to speak to the ATO or the accountant about how to handle this situation to ensure accurate reporting.

 

If there’s anything else I can assist you with, please feel free to reach out.

 

If my response has answered your question, please click on "Accept as Solution" to help other users find this information.

 

Cheers,

Princess