How do I correct a Payroll that has been processed?

Updated by Janelle Heuton

In the event you applied a Deduction incorrectly, you'll have the opportunity to manually adjust the Deduction the next time you process Payroll for that employee. This will allow you to add a Deduction that was not included with the previous Payroll Run or to subtract a Deduction that was applied by mistake.

If you paid an hourly employee for the wrong number of hours, you'll need to add or remove the incorrect hours to the next Payroll Run.

To adjust a Deduction, start a new Payroll Run. In the Setup Stage, you can apply an adjustment by clicking on the Edit icon in the far-right column for that employee.

This will open a window where you can adjust a Deduction. All Deductions associated with the employee will display here. You can manually enter the Employee Contribution or the Agency Contribution for any Deduction.

For example, if you did not apply the 401K the previous payroll run, you can double the Employee Contribution and/or the Agency Contribution in the next Payroll Run to account for the missed Deduction.

In the event you overpaid a Deduction, enter a negative value to remove the amount charged in error from the previous Payroll Run.

Adjusting a deduction will add or subtract the adjusted amount only. The original Deduction will remain for each employee. A negative amount will reduce the standard deduction. A positive amount will be added to the standard deduction. For example, if you have an employee who didn't have their Health Insurance deduction of $50 applied during the previous payroll run, you will add an adjustment for $50. As long as the Deduction is correctly associated with the employee, the standard $50 Deduction will also apply during the Payroll Run for a total of $100 deducted from their Payroll.

Click Update to proceed. This update will be applied as a one-time correction for the current Payroll Run. You can view the manually adjusted Deduction in the Review stage of the Payroll run in the calculation sheet.

In the Review Stage, the Gross Pay will include the Deduction Adjustment. To see the full breakdown, you can click on the worksheet icon to review the Deduction.

Continue the Payroll Run process to approve and finalize the employee's pay with the Deduction Adjustment.

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