Managing Off-Cycle Payments

This chapter provides an overview of off-cycle processing and discusses how to:

• Record manual payments

• Enter corrections

• Make additional payments

• Issue advance payments

Note. Please refer to PeopleSoft Enterprise Global Payroll 9.0 PeopleBook for information on off-cycle setup and processing.

See Also

Configuring Off Cycle Transactions

Managing Off Cycle Processing

Understanding Off-Cycle Processing

This section discusses:

• The off-cycle process.

• Types of off-cycle transactions.

The Off-Cycle Process

Off-cycle processing refers to processing payments and making corrections to payroll results outside of the normal payroll schedule. Off-cycle transactions are usually made to correct prior payments, enter manual payments, or to make early termination payments that can't wait until the next scheduled payroll.

Types of Off-Cycle Transactions

The four types of off-cycle transactions are:

1. Manual payments.

   Manual payments enable you to enter payments that you have calculated and paid outside of the payroll system. Examples include paying a new hire with a manual check, because their pay details were not entered in time for the normal pay run.

2. Corrections.

   Corrections enable you to correct results of any finalized payroll. Examples include reversing a sick leave payment when workers compensation should have been paid.

3. Additional payments.

   Unscheduled payments enable you to enter one-time payments that fall outside the normal payroll process. Examples include one time bonuses or expense reimbursement.

4. Advances.

   Advances enables you to pay payees before their normally scheduled pay run. Examples include salary due on termination.

Recording Manual Payments

Manual Payments are payments that you record for items that you calculate and pay outside of the system, such cash or check payments. When entering manual payments for Mexican payees, it is recommended that all calculations be manually calculated outside the system and then entered. The following areas need to be considered when entering manual payments:

• Selecting the Target Period ID when adding a new off-cycle request.

  It is recommended that you select the target period that coincides with a previous finalized calendar or the current open calendar.

• Selecting the Calendar Controlson the Manual Payment Detail page.

  The selection of the Payment Date directly affects how elements are accumulated. For example, if you have an accumulator that accrues based on period end date, the payment date may not update the accumulator balances at the right time.

  The Period Begin Date and Period End Date default from the Target Period ID. It is recommended that these dates not be changed as the delivered Mexican rules have been designed to calculate using whole periods, and may not automatically segment if a partial period is entered.

• Selecting Processing Controls on the Manual Payment Detail page.

  The Run Type defaults from the calendar paid and it is recommended that the default be used. To ensure that the payee's manual payment is processed by the system, the Allow Duplicates check box must be selected on the run type; otherwise, the payee may not be processed again if the system detects that they have already been processed in the period.

  The option that you select in the Element Selection group box indicate the elements to process with the off cycle transaction. If using the Limited Element Set option, you need to ensure that all elements calculate independently of pre- or post-processing formulas, as these do not resolve during off-cycle processing.

Global Payroll for Spain delivers an off-cycle configuration for manual payment off-cycle requests that you can use for new hires that are not paid. Define configurations for off-cycle requests on the Off-Cycle Configuration page.

Note. Manual payments are used to record monetary values only, absence accumulators will not be updated using this method.

Entering Corrections

The payroll corrections functionality of off-cycle payroll processing enables you to change finalized results for specific employee and calendar combinations due to such things as user error or missing information. This method uses period-to-date logic built into the Mexican delivered statutory rules.

The following areas need to be considered when entering corrections:

• All earnings and deductions need to have period-to-date logic applied.

• This method is used to correct pay accumulators only. Absence accumulators will not be corrected.

Global Payroll for Mexico delivers an off-cycle configuration for correction payment off-cycle requests that you can use for missed overtime. Define configurations for off-cycle requests on the Off-Cycle Configuration page.

Making Additional Payments

Use the additional payments functionality that is part of off-cycle processing to make one-time unscheduled payments that are processed outside of the normal on-cycle payroll. Examples include one-time bonuses, awards, and expense reimbursements. These transactions are similar to manual payments in many respects; however, the system calculates the amount for additional payments. This method uses period-to-date logic built into the Mexican delivered statutory rules when calculating.

The following areas need to be considered when entering additional payments:

• All earnings and deductions need to have period-to-date logic applied.

• When selecting the period paid, it is recommended that you select the previous finalized calendar or the current open calendar.

• This method is used to record monetary values only. Absence accumulators will not be updated.

Global Payroll for Mexico delivers an off-cycle configuration for additional payment off-cycle requests that you can use for bonuses not paid out. Define configurations for off-cycle requests on the Off-Cycle Configuration page.

Issuing Advance Payments

Advance processing is the processing of on-cycle calendars ahead of their regular schedule. Use the advances functionality of off-cycle processing when you would like to pay an employee before their normal on-cycle pay run. Examples include payments for early terminations (where the termination payment needs to be paid immediately and not in the next on-cycle pay run), full periods advances, and partial period advances.

• Always select the next open calendar, as skipping calendars may update accumulators incorrectly.

• Absence accumulators will calculate automatically for the calendar group selected.

Global Payroll for Mexico delivers an off-cycle configuration for advance payment off-cycle requests that you can use for advance terminations. Define configurations for off-cycle requests on the Off-Cycle Configuration page.