Purpose

The purpose of this task is to cancel an employee's one-time or recurring additional payments in the Payroll System. This task is required when an employee has a job change or position change and is no longer entitled to additional payments, such as location, inconvenience pay, or pre-shift briefing. It is also required when the employee is no longer entitled to have a one-time earnings used in overtime calculations. This is also used to stop the recovery of an overpayment or other recurring adjustment.

Helpful Hints

• For Derived Biweekly earnings, such as Location Pay or Pre-shift Briefing, the Payroll System will prorate earnings for a pay period if there is a Pay Status change from "Pay" to "No Pay" for all effective dated rows.
• If there is no Pay Status change from "Pay" to "No Pay", for example from Active status to Leave with Pay, the Payroll System will pay the entire Derived Biweekly earnings for the pay period.
• For Derived Biweekly earnings, if the Payroll System detects a change to an additional pay in the middle of the current pay period, PayServ will calculate if an adjustment is needed to pay the employee correctly for the current pay period. If an adjustment is needed, and an automatic proration row will be inserted on the Additional Pay page after the change is saved. The row will be Addl Sequence 2 with the same effective date as the detected change, and it will adjust the additional pay earnings based on the Earnings Code, the employee’s work percentage and the employee’s work schedule on Job Data.
• For changes to retroactive pay period, the payroll system will not prorate the earnings in the retroactive pay period. PayServ will pay the amount due based on the earnings at the end of the pay period for the entire retroactive pay period. The corresponding adjustment code must be used to correctly adjust the affected pay period.
• The system will automatically enter an End Date on the Additional Pay page when there is a transaction on the Job Data page to terminate, retire, or place an employee on leave of absence (other than Workers Compensation Leave). This automatic End Date will be the Effective Date of the termination, retirement, or leave.
• The system will not put an End Date on a transaction with the overpayment Earnings Codes of "OVP” (historical code) or “Qxx” (current overpayment codes).
• The End Date field is the last day an earnings is earned - it is a Close of Business date.

Canceling Additional Pay

Navigation Path

Main Menu > Payroll for North America > Employee Pay Data USA > Create Additional Pay

Steps

1. Enter employee’s EMPLID.
2. Click Include History.
3. Click the Search button.
4. To view all Additional Pay rows for the employee, click the View All option.
5. Use the scroll arrows in the Additional Pay scroll area to find the Earnings Code that is being cancelled.
6. Click the plus (+) sign located in the upper right-hand corner of the Effective Date scroll area to insert a new effective-dated row for the existing Earnings Code.
7. Enter the new Effective Date, indicating the last date the employee is due to be paid additional pay earnings, or the last date it is to be used in the OT calculation.
8. If the additional pay is a recurring annual payment, such as Location Pay or a shift differential, enter the last date that the earnings is to be paid in the End Date field.
9. If the earnings is a one-time payment, such as PEF Longevity (LLS), and the employee moves to a position in which the earnings should not be added to the overtime calculation, then complete the steps below:
   1. Confirm that the value in the OT Effective Date field, if any, is the original date that the earnings began to be used in the overtime calculation.
   2. Enter the last date that the earnings should be used in the overtime calculation in the End Date field.
   3. Verify that the amount in the Goal Balance field remains the amount of earnings paid to the employee.
10. If the additional pay is a fixed biweekly earnings, such as Overpayment Recovery (Qxx) or Adjust Location Pay (ALP), and it is necessary to end the adjustment, then take the following action:
    1. Enter the last day of the prior pay period in the End Date field to end the earnings for the current pay period.
    2. Enter the last day of the current pay period in the End Date field to end the earnings in the current pay period if this is to be the last payment.
11. Click the Save button.

Result

The employee's one-time or recurring additional payments have been canceled.