Misc B. Year-End Adjustments Run (Optional)

What is a Year-End Adjustment Run?

To make changes to employee information, for example employee address, name, S.I.N., etc., or to amend year-to-date payroll values after the last payroll of the year has been processed, a Year-End Adjustment entry must be made. A Year-End Adjustment run can be created from within Powerpay:

• after the first regular run of the current or new year has been processed, and
• before March 1st of the current year.

Note: A Year-End Adjustment entry will only update the year completed or previous year. If employee profile information is to be updated for the current year as well, a separate entry is required.

Why do I have to do this?

A Year-End Adjustment entry is required if:

• any existing employee's profile information that affects that employee's tax form information has changed, for example, employee address, name, or S.I.N.
• a new employee's profile needs to be added.
• any amendments are required to year-to-date earnings and deductions and/or contributions amounts.

For example, if an employee's year-to-date deduction amount for the company pension plan was supposed to be $2000 but in fact, was only $1700, a $300 Year-End Adjustment entry would need to be made.

Common reasons to make a Year-End Adjustment entry are for values that are not available until after Dec 31st, such as a Taxable Benefit amount or a Pension Benefit Adjustment amount.