Negative pay occurs when an employees deductions exceed earnings. If deductions exceed income in a period Belina PayrollHR will automatically advance a 'Negative Pay Amount' on the payslip to bring the Net Paid to Zero. In this circumstance the employer is owed the advanced amount which needs to be recovered from the employee in a subsequent period, where income exceeds the deductions,as a 'Negative Pay Recovery'.
Multi-Currency
If Negative Pay is incurred in one currency the system will try recover the shortfall from any other currency that is being processed. Any continuing shortfall will be carried forward to subsequent periods as Negative Pay.
The Negative Pay (Transaction Code 955) and Negative Recovery (Transaction Code 965) Transaction Codes are system generated by Belina PayrollHR.
