The following are some notes related to different situations that users may face at the end of a payroll year .

Paying bonus separately before the last payroll run.

To pay the December government bonus separately before the December payroll the user must create a roll setup with a payroll period which includes the trigger date of the required bonus. In this setup the user must tag the Pay bonus only check box provided in the roll setup screen. This will cause the system to calculate a payroll without taking into account anything but the bonus payment. This payment is generated as an entry in the adjustments screen.

Another check box next to the Pay bonus only check box allows the user to decide whether or not to deduct tax on the bonus in the bonus roll. If the bonus is not taxed and another payroll is to follow the bonus roll, tax in this roll will automatically cover the bonus payment of the previous roll. If the bonus roll is the last roll of the year and it is not taxed then tax will never be deducted on the bonus so in this case it is recommended that the Taxable check box be tagged.

When creating a Bonus Only roll, it is important to omit the Leave Period dates in the roll setup screen. Make sure that the trigger date of the paid Bonus is changed in the support file (Support Files > Rates > Bonuses) after the bonus roll is finalised. This will ensure that the bonus is not paid again in the following roll.

Adjusting for payrolls that span across different years

At this time users must be careful to check that all the required SSC contributions for the payroll year ( equal to the number of Mondays) are all deducted by the last payroll period. If the payroll periods are not monthly there may be cases where the 1^st of January occurs part way during a payroll period and users may decide to adjust the last payroll of the year to pay up to 31^st December. In these cases the payroll provides the functionality to adjust both the number of basic hours paid and also SSC contributions deducted as required from the roll setup screen.

Users may alter the number of SSC contributions deducted through the SSC Contrib field



Users may alter the number of hours paid through the Extra Hours field. A positive figure will increase hours paid and a negative figure will decrease them



ATTENTION : If your payroll spans across the beginning of 2012 you must be careful to apply the weekly cost of living increase effective 01/01/2012 before calculating so that dates in 2012 are paid at the new rate

Paying off or carrying forward leave balances

At the end of the year it is normal for staff to have outstanding leave balances. There are mainly 3 ways of catering for this situation.

1. Paying off outstanding balances in the last payroll of the year.
2. Carrying forward outstanding balances to the next year.
3. Doing none of the above so employees will lose the outstanding balances.

N.B. Users of the Online Leave Work flow module (WebLeave) do not have the 3rd option. Unless paid off, any outstanding leave balances will be carried forward to the new year.

1. Paying off Leave

If you decide to pay off any outstanding leave balances in the last payroll of the year you must tick the Pay Off Leave option in the roll setup screen.



This will prompt the system to calculate the value of outstanding leave and pay it off as an adjustment in the specified payroll. The leave types paid off are those which have been flagged as payable in the Leave Types file in the Leave Menu. The leave balances for these leave types will be set to zero.



2. Carrying forward outstanding leave balances

2.1 Without the Online Leave Work flow module (WebLeave)

The end of year process allows users to decide whether or not to carry forward the outstanding leave balances to the new year as opening entitlements. This is controlled by the user ticking the check box available in the End of year form as per below. By default the option is preset to carry forward entitlements but it can be de-selected.



This applies to all leave types except sick and injury leave. In the new year, after the end of year procedures have been run, the user has the opportunity to transfer any entitlements brought forward to another leave type. Eg. From OPT (Optional) to ACCU (Accumulated). This can be done through the ‘Convert Leave Codes’ button in the leave entitlement screen. ACCU would now reflect the leave carried forward while the new year’s entitlements would be created with the code OPT which can now be used after having converted the balances brought forward to ACCU. IF entitlement for type ACCU already existed any leave converted from OPT would be added to the existing ACCU entitlement.

2.2 With the Online Leave Work flow module (WebLeave)

In this case the end of year process automatically carries forward the outstanding leave balances to the new year as opening entitlements. The check box option does not show in the end of year dialogue box.



Webleave users do not have the option to transfer any entitlements brought forward to another leave type. Eg. From OPT (Optional) to ACCU (Accumulated). A new leave type must be created for the new year's entitlements. We would recommend that the leave code used is indicative of the year E.g. OPT11 or VAC11.

Creating a new leave type for the new year's leave entitlements

In the payroll select the Main Menu > Leave Module > Leave Type option and add a new leave type for the new year. In the example below we have created the leave type OPT11. Note the different posting dates related to the different leave types.

Creating the new year's entitlements

The new year’s entitlements can be created globally or for a selected group of employees through the global leave button available in the leave entitlement screen.

BEFORE RUNNING THE END OF YEAR PROCEDURES

ONLINE LEAVE AUTHORISATION MODULE (WEBLEAVE) USERS

The payroll End of Year process may not be run if any leave application/cancellation requests are pending approval in the WebLeave module. This may be verified by selecting the leave history report in the WebLeave module and tagging the options shown below. When running this report you must be logged in as administrator to have the ability to report for all users.




The same applies if any transactions are pending import into the payroll. This may be checked by going to the option in the screen shot below and verifying that no records are pending import in this screen. In case such records exist kindly contact the Shireburn support staff.




The system will warn users of any of the above situations when attempting to run the payroll end of year process.

The end of year procedure will automatically trigger the WebLeave End of Year process whereby the previous year's leave transactions in the WebLeave module will be tagged as archived and whilst they will remain available for reporting they may not be modified after this process.

The system will lock users out of the WebLeave system while the EOY process is running.

TIME & ATTENDANCE MODULE USERS

To avoid carrying over old attendance data to the new year users should archive as many dates as possible through the archiving functions in the T&A module before running the the End Of Year process. Archived data will not be carried forward to the new year but it shall remain accessible through previous years. Any T&A data including rosters left in the current files will be carried forward to the new year.

RUNNING THE END OF YEAR PROCEDURES

The following procedure should be run only after all payrolls for the current year have been finalised. The current year’s data will be automatically moved to the previous year directories so electronic lodgment and printing of FS3's and other end of year reports can be printed from the previous year after running the End of Year procedures. All reporting functions will also be available from this option. All previous years will remain accessible through functions available in the payroll.




Run End Of Year Routine: - Admin > End Of Year Run

Utilise the Admin > End of Year option. The End of Year run routine must be run individually for each company and the user must exit and re-enter the payroll system before running End Of Year process on another company. The system will automatically take a full backup when the end of year process is run

AFTER END OF YEAR PROCEDURES - UPDATING REQUIRED SUPPORT FILES WITH NEW YEAR’S RATES

The following maintenance should be carried out in the Payroll system AFTER the End Of Year run is processed for each individual company. These modifications are to be effected on to the new year before running the first payroll in the order shown below.

Some support files contain a button which allows the user to replicate any changes done in one company across to similar support files in other companies.



1. SSC Categories - Support Files > Rates > SSC Categories

THIS SUPPORT FILE WILL BE AUTOMATICALLY UPDATED AND POPULATED WITH THE RELEVANT RATES DURING THE PAYROLL END OF YEAR PROCEDURES SO NO USER INTERVENTION IS REQUIRED.




NOTE : Parameters in columns with pink background relate to employees born before 01/01/1962 whilst those in columns with a pale blue background relate to employees born from 01/01/1962 onwards.


2. Tax Rates - Support Files > Rates >Tax Rates

THIS SUPPORT FILE WILL BE AUTOMATICALLY UPDATED AND POPULATED WITH THE RELEVANT RATES DURING THE PAYROLL END OF YEAR PROCEDURES SO NO USER INTERVENTION IS REQUIRED.




3. Union/ Deduction Rates - Support Files > Rates > Unions/Deductions

THIS SUPPORT FILE WILL BE AUTOMATICALLY UPDATED AND POPULATED WITH THE RELEVANT RATES DURING THE PAYROLL END OF YEAR PROCEDURES SO NO USER INTERVENTION IS REQUIRED.

Sickness Benefits - Married SBENM
Sickness Benefits - Single SBENS
Injury Benefits - Married IBENM
Injury Benefits - Single IBENS




5. Public Holiday Calendar - Payroll > Main Menu > Leave Module > Public Holidays

THIS SUPPORT FILE WILL BE AUTOMATICALLY UPDATED DURING THE PAYROLL END OF YEAR PROCEDURES SO NO USER INTERVENTION IS REQUIRED .




6. Bonuses - Payroll > Support Files > Rates > Bonuses

This file contains information regarding the quarterly statutory bonuses and the end of year process will automatically roll over the dates for the following year. The dates relating to calculation of part timers’ pro-rata leave and bonus may need to be adjusted according to the new year’s pay periods.




7. Cost of living pay increases Payroll > Utilities_Menu > Global Basic Adjustment



The user should enter the appropriate weekly increase and an effective date. (The first date payable at the new rate, normally the first of January ).

If the increase is also to be added to the pre-planned wage changes in the Pay Planner then check the option Pay Planner. If you do not use the pay planner, do not tick this option.

Part Timers An option is available in the ' Global Basic Adjustment' function which allows users to stipulate an hourly increase which will also automatically be applied to all employees paid on an hourly basis.


8. New leave entitlements

These must be generated through the global leave entitlement functions in the leave entitlement module accessed through Main Menu > Leave Module > Leave entitlement.



9. System Variables - Payroll > System Administration > System Variables

The user should update the required new values in the record containing data relevant to the new year:




10. Classifications - Payroll > Support Files > Classifications

This file contains information regarding the number of standard leave and sick leave entitlement hours which must be updated per classification if required.


11. Recurring fringe benefits - Payroll > Support files > Employee details > Additional details > Fringe Benefits



Update dates as required


12. Fixed Allowances/Adjustments - Payroll > Support files > Employee details > Additional details > Adjustments



Update dates as required


13. Roll Setups - Payroll > Main Menu > Calculations > Roll Setup

This file allows users to create the payroll periods for the new year.

In the case of installations containing multiple companies the roll setup screen contains a replicate button allowing users to copy the payroll period details across companies in the same way that one may copy the new NI Rates at the beginning of a new payroll year. In this case the system will not allow users to copy roll details if the roll file in the target companies already contains roll details as this may compromise calculated payrolls.


DISCLAIMER. TO THE BEST OF OUR KNOWLEDGE THE RATES SHOWN IN THE ABOVE SCREEN SHOTS AND APPLIED IN UPDATING THE RELATED SUPPORT FILES ARE CORRECT FOR THE PAYROLL YEAR 2012 AT THE DATE OF PUBLICATION OF THIS DOCUMENT HOWEVER WE STRONGLY RECOMMEND THAT YOU CONFIRM THESE RATES WITH THE RELEVANT AUTHORITIES BEFORE CALCULATING ANY PAYROLLS.

Category:

End of Year