Irregular Payments

An example of an irregular payment is a reversal transaction to correct an error in a previous pay. Such errors include incorrect payments, payments made in the wrong financial period, and payments costed to the wrong cost centre.

In this example, you opened a manual pay after closing Standard Pay # W/1 so the Pay Status form shows the following details:

You will use irregular payments to correct a payment costed to the wrong cost centre in Standard Pay # W/1.

Guy Skerret usually works in Development, but for the week ending 07/04/2013 (W/1) he worked 24 hours in Development and 16 hours in Consultancy (04/04/2013 and 05/04/2013). In Standard Pay # W/1 all of Guy’s hours were attributed to the Development cost centre. You need to correct Guy’s cost centre information for his ordinary hours transaction. However, Standard Pay # W/1 is closed so you will enter the following adjustment transactions in the manual pay:

1. Ordinary hours transaction for -16 hours to reverse the Consultancy hours incorrectly costed to Development.
2. Ordinary hours correction transaction for 16 hours in worked in Consultancy.

Topic: 23361