Negative Payroll Liabilities
Q&A Video Training: Handling Negative Payroll Liabilities 04.25.24
Description: PLEASE submit a FranConnect ticket to OPS if there are negative payroll liabilities. Also, make sure to check page 2 of the Summary Report each payroll to make sure that there aren't any hidden credits.
Summary of Video:
- If you have any negative tax liabilities, submit an OPS ticket.
- Negative ACH files sent to the Corporate Tax Impound Account WILL BE BLOCKED.
- The Dates Matter: The voided check date needs to match the original check date. Fixes need to happen in the quarter where the wages were paid.
- Have any of the taxes been paid? Submit an OPS ticket
- Is it the last pay of the quarter? Submit an OPS ticket
- Are the credits larger than the next regular payroll liability? Submit an OPS ticket
- If a rate adjustment results in a positive liability, collect the funds and let the Tax Team know that there are taxes that need to be paid ASAP.
- If a rate adjustment results in a negative liability, submit an OPS ticket so we can make sure the funds are being applied correctly BEFORE the payroll is finalized.
- Refer to Correcting Common Payroll Mistakes on how to void checks for overpaid employees.