Payee Details Validity Periods (Payroll UK)

The information recorded on the Payee Details tab of the Payee Entry screen is bound by validity periods. This allows the system to determine which set of payee details are applicable depending on the payment date of the pay batch in which the payee is being paid.

When a new payee record is created, a validity period is created automatically and the validity start date is set to the payee's employment start date and the validity end date is left open-ended by default. New validity periods can be added if a payee's payroll details change during the course of their employment. For example, the payee's tax scale may change or the payee may need to be moved to a different pay group.

When a payee is included in a pay batch, the system will refer to the set of payee details that are valid on the payment date of the pay batch. The exception to this are the employee benefits, which are applied based on whatever is valid on the pay period end date of the pay batch in which the payee is included.

While a payee is included in an open pay batch, the corresponding set of payee details are locked down to prevent them from being edited while the pay batch is being processed. Once the pay batch is closed, most of the payee details for the corresponding validity period remain locked down to maintain the integrity of the data that was used to process the payee's pay. If any of the locked down payee details need to be updated, a new validity period can be created.

When a new validity period is created, the payee details default to the same settings as that of the prior validity period to prevent the need to set all of the payee details from scratch. Instead, you need only change the payee details that are to change as of the new validity period. For example, if the payee's tax scale needs to change, the relevant new tax scale can be selected.

You must be aware of the following points regarding creating new validity periods on a payee record:

The new validity start date must fall on a later date than the date displayed in the Last Used Date field, which is displayed in the Payee Details tab in the header at the top of the Payee Entry screen.
The new validity start date must fall on a future start date of a pay period for the pay group to which the payee is assigned. If the payee's pay group has changed in the new validity period, this must be the start date of a future pay period of the new pay group.

If a new validity period is created to transfer a payee from one pay group to another any earnings paid to the payee since the transfer are treated independently of earnings paid prior to the transfer. For example, if a payee's earnings for a prior period need to be adjusted after the payee is transferred to a new pay group, an adjustment pay batch must be processed for the payee's original pay group irrespective of whether the payee's new pay group has matching pay periods. In the adjustment pay batch the system will calculate the adjusted earnings and tax withholding without taking into consideration any earnings paid to the payee since the transfer to the new pay group.

How to Add a New Validity Period

To add a new payee details validity period to a payee record, follow the procedure below.

How to Add a New Validity Period
	If you do not have the relevant payee record open on in the Payee Entry screen, use the Payroll > Payee > Payee Maintenance screen to search for and open the relevant payee record.
2.	In the Payee Details section of the Payee Entry screen, click Add New Period. The Add Validity Date field is then displayed
3.	In the Add Validity Date field, select the date on which the new validity period is to begin. The end date of the prior validity period is set to the date that falls one day before the date you specified. A new open-ended validity period is created.
4.	Click Save & Close to create the new validity period.
5.	Modify any of the payee details as required.
6.	At the top of the Payee Entry screen, click Save. A confirmation message opens to indicate that the payee has been saved successfully.

How to View the Payee Details for a Validity Period

To view the payee details for a specific validity period, follow the procedure below.

How to View the Payee Details for a Validity Period
	If you do not have the relevant payee record open on in the Payee Entry screen, use the Payroll > Payee > Payee Maintenance screen to search for and open the relevant payee record.
2.	In the Payee Details section of the Payee Entry screen, click on the Validity Period field. A list of existing validity periods is displayed.
3.	In the list of existing validity periods, select the period for which the payee details are to be displayed. The tabs on the Payee Details section of the Payee Entry screen update to show the payee details for the validity period you selected.

How to Delete a Validity Period

To delete a payee details validity period, follow the procedure below.

You can only delete one validity period at a time, starting with the validity period with the latest validity start date. You cannot delete any validity period for which the payee details are currently used in an open pay batch or have been used in a closed pay batch.

How to Delete a Validity Period
	If you do not have the relevant payee record open on in the Payee Entry screen, use the Payroll > Payee > Payee Maintenance screen to search for and open the relevant payee record.
2.	In the Payee Details section of the Payee Entry screen, click on the Validity Period field. A list of existing validity periods is displayed.
3.	In the list of existing validity periods, select the validity period to be deleted. The selected validity period is displayed in the Validity Period* field.*
4.	Next to the Validity Period field, click Delete. A confirmation message is displayed.
5.	To continue to delete the validity period, click OK. The confirmation message closes and the selected validity period is deleted.
6.	At the top of the Payee Entry screen, click Save. A confirmation message opens to indicate that the payee has been saved successfully.