To correct or adjust a previous period, you can use either Manual Calculation or Transaction Adjustment. Often Manual Calculation is the preferred option, as it:
includes the adjustment on an EFT file,
produces a Pay Advice,
includes the adjustment in Super processing or Super Clearing,
includes the values in reports for the current period end date,
and you can enter adjustments for multiple periods.
For more information, see process a Manual Calculation.
Use Transaction Adjustment if you don't need the above, or to enter previous earnings or opening balances for new employees, if the employee has been paid through MicrOpay.
Before entering a Transaction Adjustment, consider:
Values entered through a Transaction Adjustment are included in reports for the Period End Date selected in the transaction.
It is a 'history only' transaction, so it does not affect the current pay period.
A Transaction Adjustment does not generate a payment or a pay advice.
Superannuation entered on the Transaction Adjustment will not be included in Super Processing or Super Clearing.
A Transaction Adjustment can only be used to adjust pays from prior pay periods.
You can only enter one Transaction Adjustment Add and one Transaction Adjustment Subtract in a period. If you need to enter multiple adjustments, you will need to complete the whole payrun process after entering each adjustment.
You will need to calculate all components manually
Backup your payroll database and enter the description “Before Transaction Adjustment for employee xxx”, for example.
To process a Transaction Adjustment
Go to Payroll, Transactions, Adjustments, Transaction Adjustment.
Select the Employee.
Click either Add or Subtract.
Select the Period End Date you want to adjust.
Enter the Number of Periods. This is used especially with Previous Earnings, eg. if entering earnings for a weekly employee for the period 01/07/2025 to 31/12/2025, the number of periods would be 26.
Select the component (e.g. Normal Hours) from the Adjustment Pay Summary on the left-hand side and click Add.
Select or change the relevant fields, e.g. Cost Account, Pay Class, Rate Type. Some of these will default from the employee's record and can be overwritten.
Enter the total number of Hours.
Enter the amount of the component in Value. This will not calculate automatically and must be entered.
Continue to enter the rest of the earnings by selecting the relevant pay component from the Adjustment Pay Summary.
Select Employer Contribution to enter Superannuation.
As this transaction reflects past payments, the employee's current Superannuation details do not appear. Select the Fund and Contribution and enter the superannuation value calculated for the earnings period in This Advice.
Once all components have been entered, ensure that Net Pay in the Adjustment Pay Summary is correct.
Click Process.
Note: If you are entering ETP, you need to enter Termination Tax for ETP on the Termination Components line in Term Tax and include it in Tax (incl Adj).