Process Pay

Payroll | Process Pay command

Summary

A Pay Sequence must be fully processed before you can:

Close a Pay
Run certain reports, such as the Pay Calc, Direct Credit, or Payslip reports.

This command fully processes the pay. When you process the pay, additional transactions may be generated by payroll rules or on-cost transactions.

Important: This command is not the same as Processing transactions in Transaction View. When you process transactions in Transaction View, PayGlobal does not update the pay status for the sequence. Therefore you cannot run certain reports or close the pay.

Effects of processing a pay

Processing a pay:

Processes Payroll rules and displays the result of the calculation
Calculates the Transaction total of allowances and deductions when Recalculate = Yes
Calculates Gross, Tax and Nett Payment totals.
(NZ only) Validates employee tax codes. If the employee's tax code is invalid, then pay processing fails and a warning appears in the audit log.

In Australian and UK databases, if you try to process a pay and the pay sequence has a Payment date outside the pay's YTD range, then processing fails and an error message is displayed in the audit log.

In Fijian and NZ databases, if you process a pay in the tax transition period and the associated Period PTD has a Payment date outside the YTD range, then the Which taxation rules should be applied? form appears.

Fully process a pay

When you fully process a pay sequence, make sure that:

The Query and Advanced Filter Option fields are blank or set to their default. The Default option means that no query is applied; it does not refer to the employee's Default Query.
Any queries on the Employees entity are deactivated.
Important: Users who have a active Default Query cannot completely process pay periods (see Security Profiles - Menu). Although processing is successful, the pay status will not change to "Processed". Users must deactivate their Default Query before they can completely process these pays.

Confirming that the pay is successfully processed

If you try to close a pay sequence without processing it, then:

The unprocessed pay will not appear in the Pay Sequence list.
-or-
A message appears: "There are no valid pay sequences".

Click the Pay Status icon on the PayGlobal toolbar to check whether a pay period is fully processed.

A green tick means the pay is open, and fully processed.
A red cross means the pay is open, but not fully processed.

Which taxation rules should be applied?

When you process pays or transactions in the transition timeframe after taxation rules change, the tax rules prompt (Which taxation rules should be applied? form) allows you apply the old tax rules ("Before") or the new tax rules ("From") as appropriate.

Note: The transition timeframe for Australia is 1 - 31 July, and for New Zealand 1 - 15 April.

The tax rules prompt does not appear automatically. PayGlobal applies default options based on the country.

Australian and UK databases:

If the Payment date is before the first day of the new tax rules, then PayGlobal applies the old tax rules.
If the Payment date is on or after the first day of the new tax rules, then PayGlobal applies the new tax rules.

Fijian and NZ databases:

If the Period End Date is before the first day of the new tax rules, then PayGlobal applies the old tax rules.
If the Period End Date is on or after the first day of the new tax rules, then PayGlobal applies the new tax rules.

However, during the transition timeframe, you can use the following options to display the tax rules prompt, if required:

In Transaction View, press Ctrl+F9.
On the Process Pay | Details tab, set Show Tax Rules Prompt to "Yes" (default is "No").
Note: If you are manually selecting taxation rules, then we strongly recommend that you process pays individually to avoid potential problems due to differing Periods and YTD codes.

The processing audit log will indicate which tax rules you selected.

Note: These options are disabled for pays that are not in the transition timeframe.

Employees with Pending Updates

If Employee | Integration tab Has pending update = "Yes" for an employee, this indicates that there are outstanding changes that should be applied to the employee before they are paid. A warning to this effect will be added to the Audit log but this will not prevent the opening, processing or closing of the pay.