Understanding the Retroactive Payment Printing Process

Recently, some states have changed labor legislation regarding the printing of retroactive pay on employee pay stubs and payment advice slips. Some states now require that any retroactive payments that are included in an employee's payment are printed separately from current earnings, and that the date range that is associated with those retroactive payments is also printed.

To ensure that this information prints correctly for all payments that occur in states that require this information, you must complete these steps:

1. Set up each state that requires retroactive pay to be printed separately.

2. Set the processing options for the Payroll Workbench (P07210) and the Interim Payment Workbench (P07210I).

3. Enter timecards that include work dates that are earlier than the beginning date of the current pay period.

4. Change the From Date of the current payroll cycle to include the retroactive timecards.

To set up retroactive pay information by state, you use the Paystub Retro Pay State Setup program (P07212). This program enables you to specify which states require you to print retroactive pay separately.

After you specify which states require retroactive pay to print separately, you set the processing options to specify that you want to print retroactive pay separately. The same processing option exists for both the Payroll Workbench (P07210) and the Interim Payment Workbench (P07210I). These options must be set to 1 in order for retroactive pay to print separately on employee pay stubs.

After you have set up the system to print retroactive pay correctly, you can enter timecards for retroactive pay. To be considered a retroactive timecard, the work date on the time card must be earlier than the pay period beginning date of the current payroll cycle.

After you have entered retroactive timecards, you can process them through a payroll cycle or through an interim payment process. When you process the payment through a regular payroll cycle, you must first change the date in the From field in the Dates section of the Pre-Payroll Processing form to a date that is earlier than the pay period beginning date. Changing the date enables the system to include the retroactive timecards in the payroll cycle.

Note: You cannot enter a date that is more than two months earlier than the actual pay period beginning date. To process timecards with earlier work dates, you must use the Interim Payment Workbench.

During payroll processing, or interim processing, the system determines whether any timecards exist with a work date that is earlier than the original pay period beginning date. If timecards that meet this criterion exist, the system then determines whether the timecards are associated with a state that has been set up to print retroactive pay separately. If all of the criteria is met, the system prints retroactive pay information as a separate line on the employee's pay stub or payment advice.

Additionally, the system enters a date range in the description below the retroactive pay. The date range that is printed on the payment is the date that is manually entered in the From field and the ending date is one day prior to the original pay period begin date.

For example, if the current pay period is June 15 through June 30, and you want to process retroactive timecards with work dates in May, change the From field in the Dates section of the Pre-Payroll Processing form to May 1. When payments and advices are printed, all retroactive pay will be listed separately, and the description for each item is the date range of May 1 through June 14.

See also:

• "Setting Up the Payroll Cycle Workbench" in the JD Edwards EnterpriseOne Applications Payroll Implementation Guide.

• "Working with Interim Payments" in the JD Edwards EnterpriseOne Applications Payroll Implementation Guide.

• "Setting Time Entry Processing Options" in the JD Edwards EnterpriseOne Applications Time and Labor Implementation Guide.