The payroll system enables you to manually calculate and override tax and NI contributions. This would most commonly happen when you want to adjust the figures generated in previous periods’ processing to bring the accumulators in to line, perhaps due to changes in circumstances that were late in notification.
When the tax and NI figures are overridden, the calculation stage for each process is bypassed and the manually entered figures are used.
This window enables you to define the overrides for the current pay period only.
Empty values are treated differently to zero values, because zero values are treated as a legitimate value override but an empty value is treated as no override to be applied.
The Status field has 2 settings for you to select:
Apply This Period – The override values supplied are to be used by the calculation process.
Suspend This Period – The employee is to be suspended from the payroll processing for the current period only. This is a refinement to the employee status set on the HR Record, which suspends the employee until that particular status is amended. This status is only applicable for the current pay period.
This describes the type of override to be made which can be Adjustment or Replacement. If the type is set to adjustment then the value produced by the calculation routine will be adjusted by the override value whereas if it is set to replacement then the calculation will use the override value instead of the calculated one.
Tax Paid, NI Employers, Employees and Rebate
The Tax Paid, NI Employers, Employees and Rebate values may be entered, and these values will be used by the payroll application. Leaving them blank will mean that the calcuation will work them out as normal.
Similarly to the other fields, if values are entered here then they will be used to either replace or adjust the accumulators.
When the adjustment is made the record Status field will be amended to either Post Applied or Suspended Applied.