Enhancements to Applying Closed Deductions for Prior Period Payments

Description

Previously, a field labelled Closed Deduction Applied to Adjustments was available on the Payroll > Maintenance > Deduction Header > Deduction Header Entry > Deduction Settings screen to allow payee deductions that are linked to the deduction header to be applied when an adjustment pay batch was processed for a prior, closed pay period even if the deduction was valid during the adjustment period even if the validity period of the deduction had expired prior to the current pay period.

Because from the introduction of Multi-period Payroll (MPP) functionality in this release, it is now possible to process timesheets and other transactions that belong to prior periods in a normal pay batch for the current period without having to process a separate adjustment pay batch, the Closed Deduction Applied to Adjustments field has now been relabeled Closed Deductions Apply to Prior Period Payments, as highlighted in the example below.

Open

Now, if the Closed Deductions Apply to Prior Period Payments field is ticked a payee deduction that is linked to the deduction header will be applied in a multi-period pay batch where all the following conditions apply:

• the payee has a timesheet, which belongs to a prior pay period, in the pay batch

• the deduction was valid based on the deduction validity that is defined on the Payee record, during the prior pay period to which the timesheet belongs, irrespective of whether the deduction is valid in the current pay period.

Benefits

This enhancement compliments the introduction of MPP functionality in this release by providing backwards compatibility with the pre-existing functionality in the context of simultaneously processing payments for prior periods and the current, open pay period in the same pay batch.

Configuration

On upgrade, the Closed Deductions Apply to Prior Period Payments field will automatically be ticked for any deduction header settings validity period where the Closed Deduction Applied to Adjustments field had been ticked prior to upgrade. Therefore, no manual configuration is required unless you need to turn off the option where it had previously been enabled prior to upgrade or you need to enable the option for a deduction header where the option was not enabled prior to upgrade. For information on how to do that, see Deduction Header Maintenance.