A leaver has left the business but owes you money

What to do if you have a leaver who owes you money in Sage 50 Payroll.

If you overpay a leaver, you need to process the correct final payments to establish what the employee owes back.

NOTE: If you don't require the employee to repay any overpayments, you don't need to change their payroll. The employee's payments recorded in payroll already reflect the payments you sent them.

If you've already processed the employee's final payment and need to change it, follow the steps below. Alternatively, if you haven't processed the last payment yet, follow the process an employee's final pay article.

1. Go to Employee, then double-click the relevant employee.
2. Click Employment and delete the leave date.
3. Use the Rollback option to remove the last pay period you updated for this employee.
4. Process the pay period again and make the required deduction from their pay.
5. Update their records and mark them as a leaver again.
6. Submit the new details to HMRC as a full payment submission (FPS) adjustment.

    

If you've already given the employee their P45, don't provide a new one. To let the employee know the corrected values, give them a new payslip.

If the employee owes more than their final payment, roll back further and spread deductions over more than one period. You then need to recover the remaining money owed from the employee outside of payroll.

 TIP: If you're unsure how to handle employee overpayments, contact ACAS for advice. 

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