3 Calculate, Validate, and Balance Payroll

This chapter contains the following:

Manage Event Notifications and Recalculate Payroll for Retroactive Changes

Manage Object Groups

Calculate Payroll

Calculate QuickPay

View Results

View Reports

Manage Event Notifications and Recalculate Payroll for Retroactive Changes

Retroactive Pay: How It Is Calculated

Retroactivity is the process of going back in time to recalculate prior payroll results due to changes that occur after the original calculation was run. Examples of when prior period adjustments occur are:

Settings That Affect Retroactive Pay

For retroactive processing, an element must have a retroactive event group attached to it. On the Create Element: Additional Details page, select Yes for the questions "Is this element subject to proration?" and "Is this element subject to retroactive changes?". And select the Entry Changes for Retro retro group. The element is automatically added to the predefined retroactive and proration event groups.

The element you want to process retroactively needs a retroactive event group attached to it. This can be accomplished when creating the element, once you answer the question "Is this element subject to retroactive changes?" If you select Yes, select the retro group of Entry Changes for Retro. The element will be automatically added to the predefined retroactive and proration event groups.

This figure illustrates retroactive setup.

Retroactive setup

How Retroactive Pay Is Calculated

Retroactive events are viewed or created manually for a person on the Manage Event Notifications page or automatically through a backdated change triggering a retroactive event. From the Manage Event Notifications page, you can download results to Excel to view retroactive events in a report format. If you do not get a retroactive notification that you expect to get, review:

If the results are as expected, run the Recalculate Payroll for Retroactive Changes process. This process never overwrites historical payroll data. Instead, it creates one or more retroactive entries to receive the process results.

Important

Always run the Recalculate Payroll for Retroactive Changes process immediately before you run a payroll. If you run it after the Calculate Payroll process, retroactive adjustments are held over until the next payroll period.

This figure illustrates retroactive processing for a person getting a pay increase retroactively.

Retroactive processing

Adding a Retroactive Event Manually: Worked Example

A payroll administrator needs to create a retroactive event manually, instead of automatically triggering one by creating a retroactive adjustment. This example demonstrates how to create a retroactive event manually without creating a triggering transaction.

The following table summarizes key decisions for this scenario.


Decisions to Consider

In This Example

What is the current payroll being processed?

Monthly payroll

What is the current payroll period being processed?

1 November 2011 - 30 November 2011

Creating a Payroll Relationship Event

  1. On the Manage Event Notifications page, click the Create icon to create a new payroll relationship event.
  2. On the Create Payroll Relationship Event page, complete the fields, as shown in this table.

    Field

    Value

    Approval Status

    Awaiting Processing

    Payroll Relationship

    100000012304475

    Process Date

    5 May, 2011


  3. Click Save and Close.

Creating a Retroactive Event

  1. On the Manage Event Notifications page, in which you just added, click the person name associated with the payroll relationship 100000012304475, in which you just added.
  2. On the Manage Retroactive Events page, enter the data in the Entry Details section, as show in this table.

    Field

    Value

    Target Element

    MONTHLY_SALARY

    Reprocess Date

    30 November, 2011

    Retroactive Component

    RETRO_MONTHLY_SALARY


  3. Click Save.
  4. Click Submit.

Manage Object Groups

Object Groups: Explained

Use object groups to define subsets of objects used for processing or reporting.

There are four types of object groups:

Manage object groups from the Payroll Calculation work area. Load a batch of object groups using the batch loader from the Payroll Administration work area or the Data Exchange work area.

Element Groups

Element groups limit the elements processed for payroll, reporting, or cost distribution purposes.

There are two usages for an element group:

All element groups are static. You select the element classifications to add and then include or exclude additional elements from the group. Or you can select specific elements to include without using element classifications.

Payroll Relationship Groups

Payroll relationship groups limit the persons processed for payroll, data entry, and reporting. When defining the group specify the payroll definition which retrieves the payroll relationships assigned to it. Every group is limited to the payroll relationships assigned to a single payroll that you select. You can further define the group statically or dynamically.

Work Relationship Groups

Work relationship groups limit the persons processed for human resources and reporting. For example, you can use work relationship groups in custom extracts. If you define the group statically, select the work relationships, terms, and assignments to include or exclude in the group. If you define the group dynamically, use a fast formula of type Work Relationship Group to determine the criteria that determines the work relationships, terms, and assignments to include in the group. Then you can individually select additional work relationships, terms, and assignments to include in or exclude from the group.

Deduction Card Groups

Deduction card groups are read-only. They are automatically created when deductions cards are created. For example, in the UK, they are used for year-end processing.

Calculate Payroll

Payroll Run Results: How They Are Calculated

The calculation of payroll run results involves identifying the payroll relationships and the element entries that include the earnings, deductions, taxes, and other liabilities. It involves processing a series of gross-to-net calculations based on legislative requirements, and creates run results and balances. You can verify the results by viewing the statement of earnings, run results, and payroll reports. If you are implementing costing, the process also calculates the cost distributions.

Parameters That Affect Processing

When you submit a payroll flow to calculate the payroll run, you supply a unique payroll flow name, payroll name, payroll period, and run type. This required information determines which payroll relationships and element entries to process, and the time period dates to use for the calculations. You can also specify an element group and a payroll relationship group to restrict the people and elements that are processed. You can specify a process configuration group to determine performance parameters such as logging and chunk size.

How Results Are Calculated

Payroll processing occurs at the payroll relationship level. The payroll relationship structure provides the capability to link employment terms and assignments together for calculations based on the payroll statutory unit. Calculating payroll at the payroll relationship level ensures the correct calculation and distribution of earnings and deductions, and the apportioning of costs. The calculation process involves the actions shown in the following figure and explained in the steps below.

Figure shows the payroll employment hierarchy and the results calculated for the elements processed for the regular run

The main steps of the payroll run processing are as follows:

  1. The calculation process identifies the payroll relationships to process. If you specify a payroll relationship group parameter, the processing is restricted to the people in the group. The status of the assignment is evaluated to determine whether the assignment is included when processing the payroll. The assignment is eligible, if the status is active payroll eligible, suspended payroll eligible, or terminated payroll eligible.

  2. The calculation process creates a payroll action representing the payroll run and a payroll relationship action for each relationship processed, with child actions for each run type used in the run. For example, if you process a regular run type (group), the process creates a payroll relationship action for each employee, and a child action for the elements processed for each run type (regular normal, regular process separately, and regular separate payment).

  3. The calculation process loads the element entries for the payroll relationship action it is processing into memory. The processing sequence depends on the processing priority of the element, which you can further prioritize by specifying attributes, such as the subpriority.

    By default, the payroll run processes recurring entries and any unprocessed nonrecurring entries. If you specified an element group parameter, only entries of elements within the element group are processed. Frequency rules and skip rule formulas created for an element further determine when the recurring entries are processed.

    In the case of deductions, the deduction card holds information that is referenced by the calculation process. The process accesses calculation factors that indicate the correct values, the calculation type to use in the calculation based on formula contexts, and which deduction range to use. The deduction ranges store the values for calculation rates and rules, and the calculation type.

    The calculation process calculates elements enabled for proration if an event occurs that changes the value of an element entry within the payroll period. The calculation process uses the proration formula you defined for the element. Elements enabled for retroactive pay are processed separately and before the payroll calculation by submitting the Recalculate Payroll for Retroactive Changes task.

  4. The calculation process identifies the formula to run. There is at least one standard processing rule associated with each element. The processing rule determines which formula to use when calculating the element for a payroll relationship action. Formula result rules determine how to use the results generated by the formula, for example as a message or as a direct or indirect result. Indirect results affect the further processing of the current element or another element, as defined in the formula result rule.

    Some payroll calculations involve multiple steps. For example, the iterative formulas for calculating gross-up earnings include multiple steps, and the formula for calculating a deduction might have a prerequisite step to calculate the exemption amount.

  5. At the end of the calculation process, there is one run result value for each element entry value. If the element entry involves currency conversion, the payroll calculation uses the current exchange rate and rounds the monetary result based on the formula rules.

  6. For each run result, the process determines which balances the result should feed. For example, the process determines which run result values contribute to gross-to-net balances. The process then writes and updates the balances to the database.

  7. If you have implemented costing, the process then calculates the cost and offset entries for your run results.

Example

The following figure shows the results for a regular run in which some elements are processed separately. The payroll calculates the results for the person's payroll relationship, calculating run result values for entries at the assignment, term, and payroll relationship levels. The pension, tax, and court order entries are processed at the payroll relationship level and are processed in all the run types. The salary element is processed and paid with other earnings. The bonus element is processed separately but paid with other earnings.

Figure shows the different phases of the payroll calculation process

Restricting Payroll Processing: Critical Choices

You can control which payroll relationships and which elements to process in a payroll run. You restrict the records processed by a payroll run by selecting payroll relationship groups, element groups, run types, and dates.

Restrict Payroll Relationships Processed

Payroll processing occurs at the payroll relationship level. You can restrict the number of persons by selecting a payroll relationship group when you submit the payroll calculation process. The payroll relationship group uses static or dynamic rules to govern the membership to the group based on payroll relationship, term, or assignment information.

Restrict Elements by Group and Run Types

Restrict the number of elements to process in a payroll run by specifying an element group as a parameter when you submit the flow to calculate the payroll.

Specify the run type as a parameter to determine which payroll calculations to perform and how to pay the results. Each run type belongs to a run type method that determines how to process it. The application processes an element in all the run types, unless you set up the element to process separately, or define the element as a trigger for a run type, in which case it is automatically excluded from the other run types.

Some enterprises might define which elements to include in a run type. If you submit a payroll run for this run type, and also specify an element group as a parameter, the element group serves as an override, and the payroll is calculated only for the elements included in the element group.

Restrict Elements by Rules

When you create an element, you specify eligibility rules that control who is eligible to receive an element, and skip and frequency rules to control which elements the payroll run processes for that person for a payroll period. Use:

Restrict Elements by Dates

The payroll definition includes dates used in the payroll run, such as the date earned and date paid. The dates in the table determine which element entries to process.


Date

Results

Process Date

The process date is an optional parameter for the Calculate Payroll process. This date usually corresponds to the payroll run date of your payroll definition.

Payroll Period

The payroll period is a required parameter for the calculate payroll process and the payroll cycle flow. This date identifies the payroll period for the payroll you are calculating and is used to determine other dates for processing.

Date Earned

This date identifies the element entries to include in the payroll run, and the element entries that ended within the payroll period that belong to a proration group. It is defined in the payroll calendar period, but you can override it as a submission parameter, which you might do for a QuickPay run. Entries outside that date are not considered.

Time Definition

The element has a starting and ending time definition, such as first standard earnings date and last standard earning date, used when calculating elements for new hires and terminations.

Marking for Retry, Retrying, and Rolling Back Payroll Results: Critical Choices

You correct payroll results when they contain errors due to missing or inaccurate information, or that you must reprocess due to receiving late information. Available corrective actions depend on the type of task, its status, if subsequent tasks locked the results of the task, and if there is an error, the cause of the error.

Before processing the correction:

Determining the Status of the Task

The Action menu displays the actions you can take for a task based on its status. Some actions are available only when you change the status. For example, if you complete a task, you must mark it as incomplete before you can roll it back. The task type also determines what actions you can take.

To preserve data integrity, the results of completed tasks are locked by subsequent tasks that use the results. Before you can edit the results of a completed task, you must undo the results of any completed tasks that follow it. If the completed task was processed in:

Deciding Which Corrective Action to Use

Most tasks support the actions to mark for retry or roll back entire tasks, a group of results by payroll relationship group, or individual results.

For some tasks that generate files such as reports, checks, and EFT payments, you can retry or roll back the entire task but not individual results. Tasks that involve other applications do not support rolling back or retrying the task. For example, you cannot roll back or retry the tasks to enter, create, or transfer a batch, because you process these actions with a batch loader workbook. Similarly, you cannot roll back or retry the Create Final Accounting task, because this task transfers the costing results to Oracle Fusion Subledger Accounting for posting to Oracle Fusion General Ledger. You must process a cost adjustment to correct the problem.

The choice of which corrective action to use depends on the scope of the correction and the type of correction. Choose:

Other Corrective Actions

The most frequent corrective tasks you use when correcting records in a flow are Mark for Retry, Retry, and Roll Back. Some corrections require different processes or flows to address the underlying issue. You can submit processes and flows for these corrections, such as a QuickPay flow to process records removed from the run, and a flow to cancel a payment made in error. The corrective processes that are available depend on the type of correction, the type of task or record you are correcting, and its status.

Element Processing Sequence: How it is Determined

Payroll runs process elements in a predefined sequence, which you can determine.

How Processing Order Is Determined

An element's primary classification defines a default processing priority for the element in payroll runs. Lower priority numbers process first

Overriding Default Processing Priority

Most classifications also have a priority range. To set the priority you need to edit the element on the Element Summary page. This is useful if you need to establish the order in which the element processes with respect to other elements in the classification

Sometimes you must prioritize the processing of certain element entries for an individual person. For example, you may need to determine the precise order in which deductions taken for wage attachments process for a person. You can enter a subpriority number for element entries.

Gross-Up Earnings: How They're Calculated

When you create an earnings element, you can indicate that it pays a specified net amount. Use this feature, if you need to pay a person a guaranteed take-home pay (net) per payroll period, or a bonus of a specified net amount. You can create a gross-up element for any recurring or nonrecurring earnings element primary classification:

Settings That Affect Gross-Up Processing

You define which deductions are used to calculate the gross amount from the specified net amount.

You must create the element as a gross-up element by answering Yes to the question "Use this element to calculate a gross amount from a specified net amount?"

In each element entry, you specify the limits of the gross-up processing as follows:

Note

If these values are the same across most entries, you can enter a default value on the element eligibility record.

How Gross-Up Earning Is Calculated

The formulas for net-to-gross processing do the following:

Calculate QuickPay

QuickPay: How It Is Processed

Use QuickPay to perform a payroll run for a single person without waiting for the normal payroll cycle cut-offs. This is typically done when certain person-specific events occur, such as new hire, termination, special payment, or a problem with a payroll run that requires reprocessing. The QuickPay flow calculates payroll run results and prepayments, and then allows you to make an external payment to the individual.

Settings That Affect Processing

You specify parameters when you submit the QuickPay flow and then provide additional settings as tasks in the QuickPay flow are executed:

How QuickPay Is Processed

This figure shows the sequence of tasks in a QuickPay flow:

QuickPay process flow showing tasks

The QuickPay flow is summarized here:

  1. The Calculate QuickPay task calculates payroll run results for the person, based on the settings provided.

  2. You verify the run results on the View Person Process Results page and mark the verification task as complete.

  3. The Calculate QuickPay Prepayments task calculates payment distribution.

  4. You verify the prepayment results in the Prepayment Results section of the View Person Process Results page, and then mark the verification task as complete.

  5. If payment is being made by an internal payment process, such as Make EFT Payments or Generate Check Payments, you can skip to the end of the flow and then run the payment process now or after processing multiple QuickPays for the same payment method. Select the Skip Flow action for the Make External Payment task to skip the rest of the tasks in the flow and mark the flow as complete. When you are ready, run the payment process, which will pick up unpaid payments from this QuickPay and any others that match the parameters you provide when you submit the process.

    If the payment is being made externally, you select the Make Payment action on the Make External Payments page and record information about the external payment, such as the check number and reason for generating the payment manually. The application marks the record as Paid so that it will not be included in the normal payment process.

  6. You verify the payment results and mark the task as complete.

Running a QuickPay: Worked Example

This example demonstrates how to run a QuickPay for an employee whose payroll was calculated incorrectly in the main payroll run. In this scenario, the monthly payroll calculation has successfully completed when HR informs you that an employee went on unpaid leave earlier in the month. Since payments have not yet been made, you roll back the person's payroll calculation, which removes them from the payroll run. You then continue processing the monthly payroll. Once HR confirms the exact details of the employee's leave of absence, you update the employee's records and run a QuickPay to calculate payroll and prepayments. You then make an external payment for the correct pay amount.

The following table summarizes key decisions for this scenario.


Decisions to Consider

In this Example

Which payroll is being processed in this QuickPay?

Monthly

What is the run type for the QuickPay?

Regular

Should any element entries be excluded from processing?

No

In this worked example, you will:

Prerequisites

  1. Before calculating payments for the main payroll run, remove the employee from the payroll run by rolling back their run results. To do this, select the Roll Back action from the View Person Process Results page for the Calculate Payroll process. Note that if you had already run prepayments, the run results would be locked and you would not be able to roll them back without first rolling back prepayments.
  2. Complete the main payroll run.
  3. Make the necessary corrections in the person's payroll or HR data.

Submit the QuickPay Flow

  1. Select the Calculate QuickPay task in the Payroll Calculation work area.

    Note

    You can also select the Submit a Process or Report task and then select the QuickPay flow pattern.

  2. On the Submit a Payroll Flow: Select Flow Pattern page, select a legislative data group and click Next.
  3. On the Submit a Payroll Flow: Enter Parameters page, complete the following fields and then click Next.

    Field

    Value

    Payroll Flow

    QuickPay for J Doe

    Process Date

    Current date

    Payroll Relationship

    Payroll relationship for the person

    Reason

    Corrective Action


  4. On the Submit a Payroll Flow: Enter Flow Interaction page, click Next.

    If you wanted to merge back into the active payroll flow after calculating payroll run results for this person, you would define the flow interaction here.

  5. Review the information and click Next.
  6. Click OK and View Checklist.

Calculate and Verify Run Results

  1. On the Payroll Flow checklist page, click Go to Task for the Calculate QuickPay task.
  2. On the Calculate QuickPay page, select Regular in the Run Type field and verify the remaining information in the Details section.

    The Element Entries section refreshes to display all element entries that are processed in the QuickPay run, based on the settings defined in the Details section and rules defined for the element entries themselves. You can exclude certain element entries from being processed by deselecting them. For this example, do not exclude any element entries.

  3. Click Submit Process.
  4. Click Go to Task for the Verify Payroll Results task.
  5. On the View Person Process Results page, click the person's name in the Search Results.
  6. In the Statement of Earnings section, review the information in each of the Quick Reference Summary tabs and verify its accuracy:
    • Use the Gross to Net tab to verify pay amounts for each balance listed, including gross pay, deductions, and net payment.

    • Use the Paid Time Off tab to verify accruals.

    • Use the Deduction Card tab to review details captured on the employee's deduction card.

    To access detailed earnings information, scroll down below the Quick Reference Summary and expand the detailed information headers.

  7. Display additional results information by clicking Go to Task next to the Statement of Earnings header and then selecting one of the following view options:
    • Costing Results

    • Balance Results

    • Run Results

    • Messages

  8. When you have verified run results, click Done to return to the checklist.
  9. Select the Verify Payroll Results task and then select Actions - Mark as Complete.

Calculate and Verify Prepayments

  1. On the Payroll Flow checklist page, click Go to Task for the Calculate QuickPay Prepayments task.
  2. On the Calculate QuickPay Prepayments page, select an organization payment method, payment source, or both, if they differ from the default payment method and source.
  3. Click Submit Process.
  4. Click Go to Task for the View Prepayment Results task.
  5. On the View Person Process Results page, click the person's name in the Search Results.
  6. Verify the prepayment results, including the payee, payment method, payment source, and payment amount.
  7. Click Done to return to the checklist.
  8. Select the View Prepayment Results task and then select Actions - Mark as Complete.

Make External Payment and Verify Payment Results

  1. On the Payroll Flow checklist page, click Go to Task for the Make External Payment task.
  2. In the External Payments section, select the payment and then select Actions - Make Payment.
  3. Enter a check number and the reason you are generating the check externally, then click OK.

    The application marks the payment as Paid so that it will not be included if you subsequently run the payment process that would normally include this payment.

  4. Click Done to return to the checklist.
  5. Click Go to Task for the Verify Payment task.
  6. On the View Person Process Results page, click the person's name in the Search Results.
  7. Verify the payment results and then click Done to return to the checklist.

    The payment results shown here should match the prepayment results you verified earlier.

  8. Select the Verify Payment task and then select Actions - Mark as Complete.

When to Run QuickPay: Examples

These examples illustrate scenarios where you might want to run a QuickPay flow.

Employee receives a special bonus to be paid in a separate check

An employee receives a special incentive bonus, which is paid separately from their regular pay. The employee does not want any voluntary deductions, such as charitable donations or retirement fund contributions, taken from the bonus pay. You run a QuickPay for the employee and provide the following settings on the Calculate QuickPay page:

HR does not complete the new hire process until after payroll has been processed and paid

A new hire joins the company on the 25th of the month, but the new hire process is not completed until the 28th. By that time, the monthly payroll has already been processed and paid. Rather than make the employee wait until the following month to be paid, you run a QuickPay for the person and make an external payment. Normal processing of the employee's pay will resume with the next payroll cycle.

Employee is terminated and requires payroll to be processed and paid immediately

An employee is terminated in the middle of a payroll period, and HR wants payroll to be processed and paid immediately for this person. Once you update the employee's payroll information, you run a QuickPay and make an external payment for the employee's final pay.

You discover an error in an employee's payroll calculation

You have completed calculating the monthly payroll run results and prepayments when HR informs you that an employee went on unpaid leave earlier in the month.

If payments have not yet been generated, roll back prepayments and then roll back run results for this person, which removes them from the payroll run. You can then continue processing payments for the monthly payroll. Once HR confirms the exact details of the employee's leave of absence, you can update the employee's records and run a QuickPay.

If payments have already been generated, cancel the payment for this employee. Canceling a payment voids the original check, prevents it from being reissued in the normal payment process, rolls back prepayments, and reverses the payroll run results. After canceling the payment, you can run a QuickPay.

You have multiple payroll corrections to make and want to process payments for them all at the end of the day

You process QuickPay for several employees throughout the day and want to use the check payment process to make payments for all of them at the same time.

When you run QuickPay for these employees, complete all tasks through verification of prepayments, and then select the Skip Flow action to skip the remaining tasks (Make External Payment and Verify Payments) and complete the flow. This way, the status of the QuickPay payments will remain Unpaid, and they will be included when you run the check payment process for the appropriate payment date, method, and source at the end of the day.

You want to verify bonus payment amounts before running the main payroll

You are processing several bonus payments in the next payroll run, but want to verify the run results for these payments before running payroll. For each person receiving a bonus, you run a QuickPay. After verifying the results of the Calculate QuickPay process and determining that the bonus amount and deductions are calculated correctly, you roll back the Calculate QuickPay process and then use the Skip Flow action to skip the remainder of the QuickPay flow tasks. This marks the QuickPay flow as complete and removes it from the dashboard. When you run the regular payroll, run results for this person are recalculated and payment is generated.

This scenario also applies if you change an employee's payroll information, such as adding a new deduction or updating the tax code, and want to validate the change before the next payroll run.

Merging a QuickPay with an Active Payroll Run: Examples

These examples illustrate how to merge a QuickPay flow into an active payroll flow. Merging is useful if you are running a normal payroll and discover an error in a person's record during results verification. Once you correct the data that caused the error, you can run a QuickPay to recalculate payroll or recalculate both payroll and prepayments. Then you can merge back into the active payroll flow, rather than continue with the remaining QuickPay tasks.

Merging with an Active Payroll Run after Calculating QuickPay Run Results

Scenario: While verifying payroll run results, you discover an error in the pay amount for an employee. You can:

  1. Correct the person's payroll information.

  2. From the Payroll Flow checklist, navigate to the View Person Process Results page for the payroll calculation process and roll back the payroll calculation for this person, which removes them from the payroll run.

  3. Submit a QuickPay flow for the person.

  4. Complete the Submit a Payroll Flow: Enter Flow Interaction page as follows:

    • Set the From Payroll Flow to the current QuickPay flow.

    • Set the From Task to the Verify Payroll Results task.

    • Set the To Payroll Flow to the active payroll flow.

    • Set the To Task to the Calculate Prepayments task.

  5. Run the first task of the QuickPay flow to calculate payroll.

  6. Verify the run results and mark the manual verification task as complete. The QuickPay flow ends and merges with the Calculate Prepayments task in the active payroll flow.

Merging with an Active Payroll Run after Calculating Prepayments

Scenario: You have calculated payroll run results and calculated prepayments. Upon verifying the prepayments, you discover an error in the deduction amounts for an employee. You can:

  1. Correct the person's deduction information.

  2. From the Payroll Flow checklist, navigate to the View Person Process Results page for the prepayment process and roll back the prepayment calculations for this person.

  3. From the View Person Process Results page for the payroll calculation process, roll back the payroll calculations for this person.

  4. Submit a QuickPay flow for the person.

  5. Complete the Submit a Payroll Flow: Enter Flow Interaction page as follows:

    • Set the From Payroll Flow to the current QuickPay flow.

    • Set the From Task to the View Prepayment Results task.

    • Set the To Payroll Flow to the active payroll flow.

    • Set the To Task to the Archive Periodic Payroll Results task (or the next task after prepayments in the payroll cycle flow.)

  6. Run the Calculate QuickPay, Verify Payroll Results, Calculate QuickPay Prepayments, and View Prepayment Results tasks. Verify that the results are accurate and mark the last task as complete.

    The QuickPay flow ends and merges with the Archive Period Payroll Results task in the active payroll flow.

View Results

Viewing and Verifying Payroll Run Results: Points to Consider

View and verify the results of calculating pay for the payroll run or a QuickPay flow to ensure accuracy of your results and to minimize the effort involved in correcting problems you find later. An error in run results typically means an error in your payments as well. You have a choice of ways to review the run results:

Viewing Payroll Run Results

Decide the scope of the results to view:

Controlling the Details to View

The Person Process Results page shows the results for all the run types processed for the payroll run at the payroll relationship level. You can filter the results:

Use these methods to filter the results. For example, if you process a standard run that includes the regular run and regular process separately run types, and the employee has one payroll relationship, with two terms of employment, one of which includes two assignments, you can review the individual results at each level of the employment hierarchy for each run type. For example, you might want to review the taxes deducted for each run type at the payroll relationship level, and the pension amounts calculated at the terms level, and confirm the appropriate earnings at the assignment level.

Running Reports to Verify Payroll Run Results

Use the payroll run reports to view results before calculating prepayments. Reports offer different quantifications of the run results, such as aggregate amounts or detailed listings by element for each payroll relationship. Decide which report to view based on the type of standard verifications your enterprise uses.

From the payroll calculation work area, you can submit and view the results for the following reports:

FAQs for View Results

How can I identify the payroll flow that includes a specific element for an employee?

Submit the Element Result Register to confirm that the payroll included the element, to determine the value paid the employee, and the name of the payroll flow where the element results were calculated. When you submit the Element Result Register, you must enter the payroll name and the end date. If you do not know which payroll the person is assigned to, query the person's payroll details on the Manage Payroll Relationships page to identify the person's assigned payroll.

How can I remove someone from the payroll run?

Roll back the person's record from the View Person Process Result page, which deletes the record. If you have already processed later actions for the person, such as prepayments, you must roll back these actions before you can roll back the payroll run results for the person.

Remove a person from the run if you discover a problem that requires corrections that would delay the payroll run. You can remove the person, make the corrections, and process a QuickPay action.

Why isn't an element included in a person's payroll run results?

Confirm from the Person Process Results page Statement of Earnings section or the Element Results Register whether the element was included in the payroll calculation. If you do not find it in the report or the Statement of Earnings, follow these steps.


Action

Page

Review the parameters for the payroll flow to determine if a payroll relationship group was specified, or an element group was specified that restricts the element processed in the run.

Payroll Flow

If the payroll parameters specified a payroll relationship group and element group, query these groups to confirm that the payroll relationship group includes the person, and that the element group includes the element.

Manage Object Groups

Review the element entries, and if the element is not listed there, review the element eligibility information to ensure the person is entitled to receive the element. For deduction elements, you might review the deduction card information to ensure the details are up-to-date.

Manage Element Entries, Manage Personal Deductions

If you recently hired or terminated the person or transferred the person to a new payroll, query the employee, and review the person's assigned payrolls and element duration dates to ensure that the element falls within the duration dates.

Manage Payroll Relationships

Confirm that the run type for the payroll run includes the element.

Manage Run Types

What's the difference between retrying a payroll process and retrying a payroll calculation?

Use the Retry Payroll Process task to reprocess all tasks except the tasks to Calculate Payroll and Recalculate Payroll for Retroactive Changes. Submit the task to rerun the selected payroll process and to recalculate the results.

Use the Retry Payroll or Retroactive Calculation task to retry only the tasks to Calculate Payroll and Recalculate Payroll for Retroactive Changes. Submit the task to recalculate the payroll run results, such as the gross-to-net results, or to recalculate retrospective changes that were not included in the original payroll run.

When does a balance display on the Statement of Earnings?

After you calculate the payroll, you can view balances on the Statement of Earnings section of the Person Process Results page. Balances are not automatically included for the Information balance group, nor for the Gross-to-Net balance group for legislations not predefined by Oracle. You must load these balances and the balance groups before you can view their results in the Statement of Earnings.

View Reports

Payroll Calculation Reports: Overview

Payroll managers can use a number of reports to verify payroll calculations and payroll run results. Run these reports from the Payroll Checklist and Payroll Calculation work areas.


Report Task

Purpose

When to Run

Example of Usage

Run Balance Exception Report

Identify values that vary compared to other values for the same balance dimension that could indicate potential overpayments or underpayments.

Run after calculating the payroll run or QuickPay run.

View to identify potentially incorrect payments or amounts withheld.

Run Gross-to-Net Report

View summary or detail listings for the total results calculated in the payroll run, such as the total earnings, deductions, and employer charges.

Run after each payroll run or, at a minimum, on a quarterly basis.

Obtain totals for the results calculated from payroll runs, QuickPay runs, and payroll reversals by earnings, deductions, and other elements of pay. These balances are used by the prepayments process.

Run Payroll Balance Report

View balance results of the payroll run. Extracts the run balance results for a specific period. Supplies detailed balance information for a specific employee over a defined period of time.

Run as needed for diagnostic purposes.

Verify the values of other reports. You can use this report to pinpoint a problem discovered by another diagnostic report.

Run Payroll Activity Report

View details of the payroll run, QuickPay, such as balance adjustments, reversals, and balance initializations, taxes withheld, earnings, deductions, payment information, employer liability, and quarter and year-to-date details.

You can run this report independently of other processes, such as prepayments. Run the report before processing prepayments.

Verify, validate, and audit run results before processing payments.

Run Element Result Register

View a listing of the elements and pay values processed for each payroll relationship action.

Usually run every pay period after running the Payroll Activity Report.

Use for diagnostic purposes with the Balance Results and Statement of Earnings on the Person Process Results page and the Payroll Activity Report.

Run Deduction Report

View details of payroll deductions processed for the specified period.

Run every pay period

Validate the deduction amounts being processed.

Balance Exceptions: Examples

Balance exceptions define the criteria that you want to use in Balance Exception reports to identify overpayments, underpayments, and trends. This information can help detect the balance adjustments needed to correct payments and identify people in your organization who are leading in specific areas such as sales. The following examples illustrate two of the different types of balance exceptions that you may want to include in your Balance Exception reports.

Tracking Increases in Commissions

InFusion US plans to train incoming sales staff on productivity techniques. To identify exceptional sales staff in the organization, you can run a report that lists workers whose commissions increased by 25 percent from the previous period. To find out who the sales leaders are, set up a balance exception using the values described in the following table.


Field

Values

Balance Exception Name

Commission Increases Over 25 Percent

Comparison Value

1

Comparison Type

Previous period

Variance Type

Percent

Balance Name

Commissions

Variance Operator

Greater than

Dimension Name

Relationship Period to Date

Variance Value

25

Tracking Gross Earnings

Before InFusion US certifies its current payroll run, the payroll manager wants to know if gross payments are in line with the previous payroll run, which verified the established levels of earnings that it wants to maintain for the remainder of the quarter. These entries are reviewed for reasonableness. The table below explains how to set up a balance exception to find out if gross earnings exceed 10 percent compared to the previous period:


Field

Values

Balance Exception Name

Gross Earnings

Comparison Value

1

Comparison Type

Previous period

Variance Type

Percent

Balance Name

Gross Earnings

Variance Operator

Greater than

Dimension Name

Relationship Period to Date

Variance Value

10

Creating a Balance Exception Report: Worked Example

This example demonstrates how to create and run a balance exception report. The report compares the total payments you made to your employee population for the current payroll period with the payments that were made to your employee population in the previous payroll period.

The following table summarizes the key decisions for this scenario.


Decisions to Consider

In This Example

What legislative data group should I use?

InFusion US

Which balance type should be used?

Net Pay

What period of time should the balances be compared to?

Previous period

How many periods do you want to compare the net pay balances to?

1

Creating a balance exception report includes the creation of a balance exception, the creation of the report, and then running the report.

Creating a Balance Exception

To derive net pay amounts for the previous period:

  1. Open the Payroll Calculation work area, and then click Manage Balance Exceptions.
  2. Click Create.
  3. Select the InFusion US legislative data group and click OK.
  4. Complete the fields as shown in this table:

    Field

    Value

    Balance Exception Name

    Compare Net Payment Amounts to the Previous Period

    Balance Name

    Net Payment

    Dimension Name

    Relationship Period to Date

    Comparison Type

    Previous period

    Comparison Value

    1

    Note

    For comparison types that begin with Previous, the application enters 1 as the default value and makes it read only.

    Variance Type

    Percent

    Variance Operator

    Greater than

    Variance Value

    10


  5. Click Save and then click Submit.

Creating a Balance Exception Report

  1. In the Tasks pane, click Manage Balance Exceptions and Reports.
  2. Click Create.
  3. Select the InFusion US legislative data group and click OK.
  4. Complete the fields as shown in this table:

    Field

    Value

    Exception Report Name

    Compare Net Payment Amounts to the Previous Period

    Consolidation Group

    InFusion US Weekly

    Payroll

    InFusion US Weekly Payroll


  5. Click Add.
  6. Select the Compare Net Payment Amounts to the Previous Period balance exception name and then click OK.
  7. Click Save and then click Submit.

Running the Balance Exception Report

  1. In the Tasks pane, click Submit a Process or Report.
  2. Select the InFusion US legislative data group.
  3. Select the Run Balance Exception Report flow pattern and then click Next.
  4. Complete the fields as shown in this table:

    Field

    Value

    Payroll Flow

    InFusion Weekly Balance Report

    Process End Date

    9/7/12

    Balance Exception Report

    Compare Net Payment Amounts to the Previous Period

    Payroll

    InFusion US Weekly


  5. Click Next.
  6. Click Next.
  7. Click Submit.
  8. Click OK and View Checklist.
  9. In the task list click Go to Task for the Run Balance Exception Report.
  10. Click the View Results link associated with the process number for the report.
  11. When the View results page opens, click the report link. The output is in PDF format.

Deduction Report

Run the Deduction Report every pay period to validate the deduction amounts being processed.

Payroll managers can run this report from the Payroll Calculation work area.

Report Parameters

The parameter values determine which records to include in the report. Most parameters are self-explanatory, while the following have special meaning in the context of this report:

Process End Date

The last effective date of the payroll runs or QuickPay runs to include in the report.

Process Start Date

The first effective date of the payroll or QuickPay runs to include in the report. Leave this blank to include all effective dates up to the Process End Date.

Report Results

The report provides details of payroll deductions processed for the specified period, including the following key fields:


Report Field

Description

Process Date

The effective date of the payroll or QuickPay run. The report can include multiple payroll runs depending on the process date range specified when the report was run.

Actual Deduction

Amount deducted from the person's pay for this deduction element.

Current Arrears

Amount of arrears taken within the specified period.

Remaining Amount

Balance of the total owed less the amount accrued for the deduction.