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Simonev88351's avatar
3 months ago
Solved

Settling payments in electronic payments after payroll reversal

After I recorded a reversal for an incorrect pay, the pay had a negative net pay amount and the payment method automatically changed to cash and the linked back account for cash payments was used.  According to MYOB instructions there is no other option for this.  

 

There are now 2 "pay employee" payments in the electronic payments file -

- The reversed pay with a negative amount

- The replacement pay with the correct values which are less than the reversed pay as the reverse pay was an overpayment

The employee did not return the overpaid funds but accepted a reduction in the next pay processed to balance out the overpayment to his account.  I'm not sure how to manage these transactions in the electronic payments.

 

  • Hi Simonev88351

     

    Welcome to the Community Forum.

     

    In our accounting records, it's crucial to accurately reflect actual events. If an employee's overpayment is to be accounted for in the next period, it would be advisable to eliminate the reversal and repayment and incorporate the adjustment into the next pay run.

     

    For a deeper understanding of how reversals function within the application, I suggest you peruse the article titled 'Fixing a Pay'.

     

    Should you need further assistance, don't hesitate to start a new thread.

     

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

     

    Thanks,
    Genreve

1 Reply

  • Genreve_S's avatar
    Genreve_S
    MYOB Moderator

    Hi Simonev88351

     

    Welcome to the Community Forum.

     

    In our accounting records, it's crucial to accurately reflect actual events. If an employee's overpayment is to be accounted for in the next period, it would be advisable to eliminate the reversal and repayment and incorporate the adjustment into the next pay run.

     

    For a deeper understanding of how reversals function within the application, I suggest you peruse the article titled 'Fixing a Pay'.

     

    Should you need further assistance, don't hesitate to start a new thread.

     

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

     

    Thanks,
    Genreve