Employee pay issue

[Former Member]

I have a scenrio where Employee has portion of the wrong amount posted to his paycheck and directly deposited to his account, Employeer realise the mistake and inform the employee to return the wrong amount through a personal check. For example Employee paid $3000 in that amount their was a bonus of $150 gross. Employer ask the employee to return $150 return. Employee send a personal check to the Employer for $150 gross. Now how this amount should be adjusted in SAP taking in concederation of all the taxes including pre tax. Employer paid this bonus through IT 14 but was stop. now Employer has issue how to adjust this amount into the system, major concern is taxes since employee send the gross amount.

[ted_dinh · Accepted solution]

The simplest solution should be to change ee's master data (e.g. delete out IT0014 that accidently got created) and let SAP re-calculate gross/net/taxes on the next pay period when retro. You could probably still do this, and return the full $150.00 returned by ee (over-refund in the first place as ee should only return net amount).

[Former Member]

How is accounting generated when check is reversed in SAP . (Accounting needs this information in order to balance), Is it going to the outstanding ACH account or cash clearing account?

Is their any way we can claculate the net amount by setting up in SAP on a particular payment and it should calculate all the taxes and pre tax amount. That way if the EE likes to send the money ER will let EE know the exact amount.

[ted_dinh]

Let's say wrong wt containing $150.00 was created from previous period was posted to GL 12345, and is now removed from master data, and payroll was retro for re-calculation. When running payroll posting for current period, you should see the $150.00 charged to GL 12345 is now credited back to this GL.