Manual cheque scenarios

If an employee is being, or has been, terminated and the manual cheque is the employee's final pay, any vacation earnings entered on the Manual page would generally be for No Time Taken.

This is not always the case, however. For example, an employee leaving on maternity leave might find it to her advantage to take her holidays as Time Taken at the beginning of the leave. Each situation should be examined individually.

You may also choose to select one of the "Do not process current pay" options from the Status Change / ROE page. From the Payroll menu, select ROE / Employee Status Change > Status Change / ROE. as part of the termination process, if the employee is not to receive any earnings from a regular pay or a second payment.

You can process a manual cheque for an employee regardless of the employee's status (for example, even if the employee is Terminated or On Leave).

If you intend to change the employee's permanent rate of pay (on the Employee Profile page. From the Payroll menu, select Hire/Profile > Employee Profile. or the Permanent Rates, Factors, Earnings page. From the Payroll menu, select Regular Payment > Permanent Rates, Factors, Earnings.) during the same payroll period as you enter a manual cheque for that employee, and the manual cheque must use the employee's former hourly rate of pay, enter the old rate of pay in the Exception Rate field.

This must be done because a change to the employee's permanent rate of pay is effective immediately upon entry and will make a manual cheque using the old rate out of balance. It does not matter whether the manual cheque was entered before or after the change in rate was made.

Only one manual can be entered for the same employee in the same pay period. If you need to update more than one cheque, you must manually add like earnings, deductions and benefit amounts together to fill in the fields on the Manual page. From the Payroll menu, select Adjustments > Manual. For example, add the regular hours from all cheques and add the EI amounts from all cheques.

Note: Make sure that different hours types, rates, and exception departments are retained as separate entries so that the entry is backed out completely for ROE, year-to-date and General Ledger requirements. For example, enter regular hours with no exceptions on one line, and enter regular hours worked for an exception department or at an exception rate on another line.

The end result is that you enter one manual in Powerpay that represents the totals for all cheques issued to that one employee.

Important: Contact your Customer Support Team for assistance with these entries if Dayforce remits on your behalf.

For certain vendors, Dayforce can collect and submit a remittance file to the vendor for the total value of deductions and contributions for employees enrolled in a plan.

Provided there are no negatives entered for any employee within the same processing run for the deduction or contribution involved, the remittance will occur without issue. However, if a negative value is entered, the payment to a third-party benefit vendor will be rejected.

Benefit vendors do NOT accept negative amounts (the reversal of a deduction or contribution) because the money is for an investment plan and the funds are already in the employee's account.

If you enter a negative deduction or contribution as part of your correction entry, the negative entry is accepted by Powerpay, and the year-to-date values are adjusted accordingly. However, the negative adjustment amount is not included with the file to that benefit vendor. The employer must seek restitution for the over-contribution from the employee or from the benefit vendor directly.

It is your responsibility to determine which of your vendors accept negative deductions and which do not.

Important: Contact your Customer Support Team for assistance with these entries if Dayforce remits on your behalf.

If the manual cheque should include the reversal of deduction amounts (negative values) for a third-party payment, the year-to-date amounts for the employee are adjusted to reflect this reversal but NO monies are automatically credited to your company's account. It is your responsibility to reimburse the employee or the third-party provider.

The following instructions only apply if a target amount was previously entered for an employee deduction. This would be an extremely rare situation.

If you enter a value in the Amount field for a deduction that surpasses the remaining target amount for an employee and the manual entry is in balance, Powerpay displays a warning message and the portion of the deduction that exceeds the target is automatically paid back to the employee by Dayforce as a cheque when the entry is processed.

If an employee (salaried or hourly) is normally paid vacation pay each pay period, enter the vacation value in the Earnings section as Vacation $ - No Time Taken (NTT). This ensures that no Insurable Hours are calculated on the amount in accordance with payroll legislation.

If an employee (salaried or hourly) is normally paid additional accumulator pay each pay period, enter this pay value in the Earnings section as Auto Stat Pay $ - No Time Taken (NTT).

Note: Additional Accumulator Pay, when it is paid each pay period, is ALWAYS entered as Auto Stat Pay. This does NOT apply to "previous vac."

If an employee (salaried or hourly) is normally paid both vacation pay and additional accumulator pay each pay period, enter:

• the regular vacation pay amount in the Earnings section as Vacation $ - No Time Taken (NTT)
• the regular additional accumulator pay amount in the Earnings section as Auto Stat Pay $ - No Time Taken (NTT).