Why is my employee showing negative holiday pay due?

[JenDPT]

Hi There

I am using NZ Payroll 2014.2

I have an employee who is showing a negative figure in his holiday pay due (on the Annual Leave & Holiday tab).

This employee has been with the company for 5 years.

His Annual leave has just rolled over - his anniversary date is in February.

To ensure that I had not paid Annual Leave as Holiday pay, I ran a report (Period Report/Employy Code - Holiday Pay) for the past 5 years, and i notice that EVERY year, after his Annual leave rolls over, his holiday pay shows as a negative figure for about 4 fortnightly pays - until it finally starts to accumulate.

i.e.  

8Feb pay shows holiday pay due of    $  (850)

22Feb pay shows holiday pay due of  $ (576)

8Mar pay shows holiday pay due of    $ (301)

22Mar pay shows holiday pay due of  $ (26)

05Apr pay shows holiday pay due of     $247 

I have also done the Holiday Updates when requested by MYOB - before the next pay is entered.

I have attached a couple of reports to help you understand what I mean.....

I am thinking that maybe I did  something wrong when i initially set him up in MYOB - and these negatvie holiday figures just keep impacting on the nexr years Holiday pay due figure.

Is it possible to either correct this - if it is an error - or to help me understand why these show as a negative holiday pay figure?

Thanks and regards

Jennie

[jenniek]

H there @JenDPT 

Looks like you have had the issue since the early days on his employment. When the annual leave rolls over - the Hol pay amount should come back to Nil. If it is negative - it means that there wasn't the full 8% of his gross earnings showing in that field - and the system will take out 8% of his earnings - hence resulting in the negative.

Did you pay out 8% of his earnings in the first year of employment as HP - and not ANHL. You need to look back to determine when this happened, then correct the HP balance back to 8% of the current gross earnings, and you may need to increase of decrease the annual leave hours depending on what happened.

[JenDPT]

Thanks for your reply Jennie.

I am certain that I have not paid him any HP.   All Annual Leave has been paid as Annual leave.

(To check this, I ran a report from the start of his employment to date - and there was no HP showing).

Any other ideas?

Thanks

[jenniek]

Hi there,

Do you think the annual leave balance is correct if you looked at what he was entitled to since day 1 less what he has taken. If you are happy with that, I would override the Hol Pay amount with the correct amount which is 8% of the gross earnings showing on that same screen. It must have been a negative at some point in time. You could check the maintenance audit report for that employee to see if the audit trail shows anything had been changed.

At the end of the day, you need to correct it, and you haven't short changed him at all, becuase the system has taken the correct amount across to annual leave each year - hence causing the negative amount.

[JenDPT]

I will check that out.

Thanks so much for your help