Correct the information included in an STP Submission

No matter what you call them, changes to a previously reported pay run are called " Fixes.” Follow the instructions below that are most appropriate for your particular situation.

• Scenario 1 - The Pay Run Dates were incorrect when sending the STP Submission.

• Scenario 2 - Payee was paid correctly, but an STP Reported Amount was incorrect.
• Scenario 3 - Payee was underpaid.
• Scenario 4 - Payee was overpaid.
• Scenario 5 - Payee was STP Reported and physically paid when they should not have been.
• Scenario 6 - Payee was STP Reported but not physically paid when they should not have been.
• Scenario 7 - Payee was not included when they should have been.
• Scenario 8 - Payee has been physically paid but not STP Reported.
• Scenario 9 - Employer SG (Superannuation Guarantee) is not accruing.
• Scenario 10 - Employer SG (Superannuation Guarantee) is accruing, and it shouldn't be.

Scenario 1 - The Pay Run Dates were incorrect when sending the STP Submission.

To correct a pay run which has been STP Reported with an incorrect Period Start, Period End and/or Pay Day Dates, you can either process 

1. a Missed Pay Run (if the Pay Day Date has passed), OR
2. an Out of Cycle Pay Run if the Pay Day Date is current or future.

Once the Missed or Out of Cycle Pay Run are completed, another Pay Run can be processed using the correct dates. You can either process 

1. a Missed Pay Run (if the Pay Day Date has passed), OR
2. an Out of Cycle Pay Run if the Pay Day Date is current or future.

Scenario 2 - Payee was paid correctly, but an STP Reported Amount was incorrect.

To correct an amount which has been STP Reported and is not the result of an underpayment (Scenario 3) or overpayment (Scenario 4),

1. a Missed Pay Run (if the Pay Day Date has passed), OR
2. an Out of Cycle Pay Run if the Pay Day Date is current or future.

Scenario 3 - Payee was underpaid

🎯 If one or more Payees have not paid despite working this pay period, please follow Process an Out Of Cycle Pay Run for one or more Payees who have not paid, despite working in the pay period rather than the below.

The procedure to correct an underpayment depends on when it was discovered and what Financial Year it relates to.

• Correct an Underpayment that is Less than 12 months overdue.
• Correct an Underpayment that is Equal to or more than 12 months overdue.

Correct an Underpayment that is Less than 12 months overdue

1. Select the relevant Pay Type within Back Payments when composing the Payees Pay.
2. Change the Quantity and Rate if required.
   🎯 If the Rate is incorrect, either the Rate Per Hour set in the Payee Master File or the Pay Rate $ (or % of Rate Per Hour) may require updating.
3. Then, press the TAB key on your keyboard or select the + button.
4. When the Back Payments Alert (Modal) is displayed, Select Less than 12 months overdue, then either Current Financial Year OR Previous Financial Year.
   👉 If Current Financial Year was selected, a list of Pay Runs will be displayed, allowing you to select the Pay Periods the underpayment relates to for the correct calculation of PAYGW.
5. Once completed, select Ok.

Correct an Underpayment that is Equal to or more than 12 months overdue

1. Select the relevant Pay Type within Back Payments when composing the Payees Pay.
2. Change the Quantity and Rate if required.
   🎯 If the Rate is incorrect, either the Rate Per Hour set in the Payee Master File or the Pay Rate $ (or % of Rate Per Hour) may require updating.
3. Then, press the TAB key on your keyboard or select the + button.
4. When the Back Payments Alert (Modal) is displayed, select Equal to or more than 12 months overdue.
   👉 If the underpayment is less than $1,200.00, there are no other options required; therefore, select Ok.
   👉 If the underpayment is equal to or more than $1,200.00, enter the underpayment amount into the relevant Financial Year Field (e.g., if the underpayment occurred on 15th August 2020, the amount would be entered into 2021).
5. Once completed, select Ok.

Scenario 4 - Payee was overpaid.

1. Commence a Regular Pay Run or an Out Of Cycle Pay Run to calculate the NET overpayment, then discuss and decide the best course of action based on the repayment amount.
2. If you have decided to recover the overpayment, and the Payee has; 
   1. Agreed to repay the Net Amount, which is less than $300.00;
      1. In the same pay period as the correction - add all other required pay types to the pay run where you have calculated the NET overpayment.
      2. Over multiple pay periods - Add an Overpayment Deduction then Add the Overpayment Deduction into the Payee's Pay.
   2. Agreed to repay the Net Amount, which is equal to or more than $300.00;
      1. In the same pay period as the correction, and you have determined this payment is, 
         1. subject to FBT, Add an Overpayment Deduction then Add the Overpayment Deduction to the Payee's Pay.
         2. NOT subject to FBT, Add a Loan Repayment Deduction and Add the Loan Repayment Deduction in the Payee's Pay.
      2. Over multiple pay periods - Add a Loan Repayment Deduction then Add the Loan Repayment Deduction in the Payee's Pay.
   3. Not agreed to repay the Net Amount;
      1. Enter a Debt Waiver Reportable Fringe Benefit Balance for a Payee.
3. If you have decided against recovering the overpayment,
   1. Enter a Debt Waiver Reportable Fringe Benefit Balance for a Payee.

1. Discuss and decide the best course of action based on the overpayment amount;
   1. If you have decided to recover the overpayment, and the Payee has;
      1. Agreed to repay the Gross Amount;
         1. If the Gross repayment is less than $300.00,
            1. Add an Overpayment Deduction then Add the Overpayment Deduction into the Payee's Pay.
         2. If the Gross repayment is equal to ore more than $300.00,
            1. Add a Loan Repayment Deduction and Add the Loan Repayment Deduction in the Payee's Pay.
      2. Not agreed to repay the Gross Amount;
         1. Enter a Debt Waiver Reportable Fringe Benefit Balance for a Payee.
   2. If you have decided against recovering the overpayment;
      1. Enter a Debt Waiver Reportable Fringe Benefit Balance for a Payee.

Scenario 5 - One or more Payees were included in the Pay Run when they should not have been, and they have been paid.

If you need to correct an overpayment for one or more Payees, please refer to Correct an Overpayment.

Scenario 6 - One or more Payees were included in the Pay Run when they should not have been but they have not been paid.

If you need to correct the amount within;

1. A previous period (e.g., a correction needs to be processed for March but we are currently in May);
   1. Commence a New Missed Pay Run.
   2. Select the required Payees for the Pay Run.
   3. Correct an incorrect Payment in the Payees Pay.
2. In the current or a future period (e.g., a correction needs to be processed for May and we are currently in May);
   1. Include this correction in your next Regular Pay Run OR Commence a new Out Of Cycle Pay Run.
   2. Select the required Payees for the Pay Run.
   3. Correct an incorrect Payment in the Payees Pay.

Scenario 7 - One or more Payees were not included in the Pay Run when they should have been.

If you need process payments for one or more Payees who were missed from the Pay Run, please

1. Commence a new Out Of Cycle Pay Run.
2. Select the required Payees for the Pay Run.
3. Process the required Payee's Pay.

Scenario 8 - One or more Payees have been paid; however, the Pay Run has not been STP Reported.

If the Pay Run Pay Day is in the

• past, the ATO requires this type of correction to be processed as a Missed Pay Run. 
• current or future period, the correction must be processed in an Out Of Cycle Pay Run.

If the Pay Run has been entered but not yet STP Reported, 

1. Change the Pay Run Type to Missed.
2. Post the Pay Run and Notify the ATO.

If the Pay Run has not been entered,

1. Either Commence a new Out Of Cycle Pay Run OR Commence a New Missed Pay Run.
2. Select the required Payees for the Pay Run.
3. Process the required Payee's Pay.

Scenario 9 - Employer SG (Superannuation Guarantee) is not accruing

• STEP 1 - Review the Superannuation Rules within the Payee Master File and change if required.
  • You may need to temporarily change the Payees Pay Period to Weekly to deselect the Domestic or Private Worker Employer SG Rule / Under 18 Super Rule.
    • The Under-18 Employer SG Rule only allows Employer SG to accrue if the employee works more than 30 hours per week or is equal to or greater than 18 years.
    • The Domestic or Private Worker Employer SG Rule allows Employer SG to accrue only if the employee works more than 30 hours per week.
    • If either Super Rules apply, the Hours for Employer SG Checkbox must be selected in all applicable Pay Rates and Allowances.
• STEP 2 - Review the Employer SG Percentage or dollar amount set within the Payee Master File. 
• STEP 3 - Review the Pay Rate Transaction Report to see which Pay Rates have been used for this Payee.
• STEP 4 - Review the OTE (SGAA) and OTE (Industrial Instrument) Settings within each Pay Rate the affected Payee/s have been paid.
• STEP 5 - Review the Allowance Transaction Report to see which Allowances have been used for this Payee.
• STEP 6 - Review the OTE (SGAA) and OTE (Industrial Instrument) Settings within each Allowance the affected Payee/s have been paid
• STEP 7 - Once the correct rules have been set up as required, please calculate the amount by viewing the Process Page and selecting the X-Ray Icon for the affected Payees within the required Pay Runs to confirm the OTE (SGAA) and OTE (Industrial) amounts and then calculating the relevant percentage.
• STEP 8 - Include the correction in the next pay run per Correct the information included in an STP Submission.

Scenario 10 - Employer SG (Superannuation Guarantee) is accruing, and it shouldn't be

1. STEP 1 - Review the Superannuation Rules within the Payee Master File and change if required.
   • You may need to temporarily change the Payees Pay Period to Weekly to deselect the Domestic or Private Worker Employer SG Rule / Under 18 Super Rule.
     • The Under-18 Employer SG Rule only allows Employer SG to accrue if the employee works more than 30 hours per week or is equal to or greater than 18 years.
     • The Domestic or Private Worker Employer SG Rule allows Employer SG to accrue only if the employee works more than 30 hours per week.
     • If either Super Rules apply, the Hours for Employer SG Checkbox must be selected in all applicable Pay Rates and Allowances.
2. STEP 2 - Review the Employer SG Percentage or dollar amount set within the Payee Master File. 
3. STEP 3 - Review the Pay Rate Transaction Report to see which Pay Rates have been used for this Payee.
4. STEP 4 - Review the OTE (SGAA) and OTE (Industrial Instrument) Settings within each Pay Rate the affected Payee/s have been paid.
5. STEP 5 - Review the Allowance Transaction Report to see which Allowances have been used for this Payee.
6. STEP 6 - Review the OTE (SGAA) and OTE (Industrial Instrument) Settings within each Allowance the affected Payee/s have been paid
7. STEP 7 - Once the correct rules have been set up as required, please calculate the amount by viewing the Process Page and selecting the X-Ray Icon for the affected Payees within the required Pay Runs to confirm the OTE (SGAA) and OTE (Industrial) amounts and then calculating the relevant percentage.
8. STEP 8 - Include the correction in the next pay run per Correct the information included in an STP Submission.