Employee total gross in EOFY finalisation report is incorrect

Kath5318
Kath5318 Member Posts: 6 Reckoner Reckoner
in Reckon Payroll

Hi Team,

We transitioned to Reckon Payroll from Payroll Premier in Dec23. When reconciling the EOFY Finalisation report totals, one employee's Gross Pay $ is greater than the total of the YTD Pays Report @ 31Dec23 plus the Pay Summary report for 01Jan-30Jun in Reckon Payroll. Tax and super are correct. The initial YTD figures brought in are correct and I have also checked each individual payrun total since January.

EOFY finalisation Gross + Leave = $38,159.20

Payroll Premier Gross $8782.75 Reckon Pay Summary $24176.13 = $32958.88

All other employees totals are correct. I don't know what else to check for.

Thanks.

Answers

  • klaura
    klaura Reckon Staff Posts: 212 Reckon Staff

    Hi Kath,

    The Initial YTDs entered prior to using Reckon Payroll are not included in the Payroll Summary in Reckon Payroll. It simply generated figures based on the pay runs that have been entered in Reckon Payroll.


    Does the employee's latest payslip for the 23-24 FY gross matches with the EOFY report?

    Best regards,

    Karren

  • Kath5318
    Kath5318 Member Posts: 6 Reckoner Reckoner

    Hi Karren,

    No, the last payslip for 23-24 FY does not match with the EOFY report.

    The total of the Reckon Payroll Summary and Payroll Premier reports is $32958.88 - which is what his last payslip for the 23-24 FY is showing. BUT the EOFY report shows $38159.20.

    Regards,

    Kath

  • klaura
    klaura Reckon Staff Posts: 212 Reckon Staff

    Hi Kath5318,

    Can you send me a screenshot of the payslip and the EOFY report. You can Private message me the details so I can take a closer look.

    Best regards,

    Karren

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    I'm having exactly the same problem. I have verified that the last pay slips for employees have the correct amount and yet the EOFY report produced shows a different gross amount. I know the initial YTD's entered are correct and the final payslips show the correct YTD but the EOFY totals are wrong. I have managed to pinpoint that carer's leave amounts for 3 of 4 staff members seems to be the issue as these match up with the differences. I'm yet to understand why the 4th staff member's numbers are wrong. To summarise… the last pay slips issued (28th June) have the correct YTD totals but the EOFY report generated does not balance. I'm out by over $9K and supposedly the report needs to be submitted by 14th July. There's clearly something wrong on Reckon's side of things. Hellllllllllllllppppppppppppppppp!!!!!!!!!!!

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager
    edited July 4

    Hi folks

    Just adding some general but pertinent info here. The EOFY finalisation displays all balances from both pay runs and any initial YTD balances that will be reported to the ATO as part of your EOFY finalisation process.

    It will not display balances for pay items which are not reported to the ATO via STP.

    You also need to be mindful of the disaggregation of gross which has taken effect under STP Phase 2 this year and how this may affect your gross pay balances before and after switching to STP Phase 2.

    In the first instance I'd highly recommend reviewing our information on how to reconcile your EOFY in Reckon Payroll here - Understanding how to prepare and reconcile your EOFY with Reckon Payroll 📅

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi Rav,

    I had read the Reckon information prior to running the report and took into account the disaggregation. I'm afraid there are still discrepancies. As a specific example I'll use my own gross salary. My initial YTD plus the STP2 summary = the YTD gross payment shown on my final pay slip on 28th June. All good there. When I run the compliance EOFY report it shows $535.22 less than my pay slip YTD which is exactly the amount of carer's leave payment I had included in the initial YTD balances. This seems too coincidental especially when I can see similar comparisons to carer's leave values with other employee discrepancies. I can't help but think this is a bug in the Reckon system. Do you have any further advice?

    Regards,

    Karen

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager

    Hi @KarenO

    Just to clarify in regard to that carer's leave balance, was that paid using the default personal leave item or have you setup a separate custom leave item for that?

    If so, what is the setup of that particular item? That'll probably give us a good indication on why it may be missing from the EOFY finalisation.

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi Rav,

    This is the setup

    image.png

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager

    Thanks @KarenO, that looks to be the initial YTD balance added using that item.

    What I'd like to see though is the actual setup of that custom item itself. You can see this by going to Settings ➡️ Pay Items ➡️ Select your item from the list ➡️ Take a screenshot of the full setup of the item including any selections that appear under the Optional section within the item

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi Rav,

    Appreciate your help on this. See screenshots below. Hopefully this is what you need to see?

    image.png

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    And the second shot:

    image.png

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    And the third one from settings:

    image.png

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi Rav,

    Appreciate your help on this. See screenshots below. Hopefully this is what you need to see?

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi @Rav are you able to provide any feedback on my earlier screen shots?

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager
    edited July 11

    I'm really sorry for the delay in getting back to you @KarenO. I'm going to shoot through an access request to your book so we can take a closer look.

    Also, can you let me know the first name of the employee (or last name if there are multiple employees with the same first name) this is occurring on.

  • Kath5318
    Kath5318 Member Posts: 6 Reckoner Reckoner

    Hi Rav,

    I have been corresponding with Klaura via DM and the dev team have found the issue. I'm now just waiting for them to work their magic in the backend so the employee figures are correct.

    Kath

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    @Rav Thanks for getting back to me. I've had a breakthrough (of sorts) today in that I can identify (to the cent) where the issue seems to be. When I run the EOFY report, there is an amount right at the bottom of the disaggregation under "Total Deductions" which is the amount I'm out. If I add it to the total gross and total leave, I get the number I'm after (which agrees with the payroll expense total in our accounts system). I'm at a loss to understand why it's appearing as deductions though… especially when it's included in individuals' pay slips as part of the overall YTD earnings.

    As a cross check I thought perhaps the EOFY report is reporting only (ie, doesn't impact on what the ATO STP2 YTD earnings will show) so I cross referenced to my own MyGov payment summary history. Unfortunately, it reflects the same as the EOFY report which is $535.52 less than my actual YTD figure.

    There are 4 staff members affected. Surnames are Olliver, Maison, Shears and Khan. For Olliver, Maison and Khan, the problem seems to be carer's leave. Shears' situation in the past 12 months involved PPL and some special leave and the discrepancy in those numbers is far and away the biggest. $7K out of the $9K discrepancy.

    I hope someone can offer assistance as I'm loathe to submit the EOFY report as is :(

    Regards, Karen

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    @Kath5318 Any clues where the issue is?

  • Kath5318
    Kath5318 Member Posts: 6 Reckoner Reckoner

    Hi Karen,

    My issue was to do with the initial YTD amounts when the data was migrated into Reckon Payroll from the old payroll. There were additional amounts that only the dev team could see that appear to have not been overridden when I edited the initial YTD's.

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    OK thanks Kath. Not sure mine is the same but something is completely awry! Hopefully the tech team can offer more insight.

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager
    edited July 11

    Hi @KarenO

    Just taking a look at your book now.

    Can I just confirm if I've got my understanding of this correct? You're saying that the gross of each of those employees is out by the amount of the Carer's Leave balance entered in the initial YTD brought over from Payroll Premier and instead they're showing up under Deductions in the EOFY finalisation screen.

    If the above is correct, can I get you to please create a new EOFY finalisation and take a look at employee Maison specifically and just confirm if the balance now agrees with what you believe it should be. If it does, discard the EOFY finalisation and let me know here.

    Cheers

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi @Rav

    Yes, your understanding is correct for 3 of the 4 employees. I can see that the values for Maison have now changed although the leave + gross on the EOFY report is now slightly higher than the final YTD on the employee's payslip (by $107.71). I had found that same discrepancy when I added STP1 (Payroll Premier) and STP2 summaries together and they didn't agree with what the payslip total. When I added that smaller discrepancy to the difference with the EOFY report, it equalled the initial carer's leave YTD. I hope I'm making sense. In the case of Khan, it was the same thing. A small discrepancy between payslip and STP1+STP2 numbers but a larger discrepancy to the EOFY summary and when added together it equalled the carer's leave figure. In the case of Olliver, it was always just the carer's leave amount. And I'm afraid I don't know where to start with Shears due to a variety of leave absences….

    Many thanks for looking into this!

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager

    Hi @KarenO

    Ok here's a quick summation of sorts.

    I'll be honest, I'm not quite sure why those balances were appearing under deductions in the EOFY finalisation screen however as they look to be an item that was migrated from Payroll Premier rather than being a default item from within Reckon Payroll I'm assuming there's been some form of mismatch.

    After refreshing that item in the initial YTD for employees Maison, Khan and Olliver it seems to have corrected the allocation when it comes to the EOFY. No other changes have been made.

    I haven't made any changes to employee Shears as yet because I'm not sure what I'm looking at there. If its the same as the other employees though, then all I'm doing is refreshing the initial YTD balance for that specific leave item by removing it from the initial YTD then re-adding it then saving the employee profile.

    We could potentially do that for Shears as well by removing those 'other' leave items from their initial YTD and then re-adding it but can I just confirm that those 'other' leave items they have in their initial YTD account for their specific discrepancy?

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner
    edited July 11

    Hi @Rav

    Thanks for your help and I can see we're making some progress. After reviewing the new EOFY report there is still an amount showing as "deductions" and I've verified that it is the sum of the initial YTD value for Long Service Leave.

    If removing and re-adding has the same effect, it will bring the discrepancy for employee Shears to an amount of $2260.50 which is the exact amount of Special Leave that was paid as a supplement during a PPL absence. This amount does not show in the initial YTD balance as a separate item so it may be another casualty of the migration.

    Migrating from Payroll Premier to the hosted Reckon Payroll was quite problematic last year and a lot of data didn't get picked up I remember. I've attempted to add it myself but it's not saving (even though it tells me of a successful update).

    Are you able to implement the changes with re-entering the LSL and adding another Special Leave field with the amount of $2260.50. That will balance employee Shears numbers although there are still 2 minor discrepancies with Maison and Khan that I'm yet to pinpoint.

    Regards Karen

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager
    edited July 11

    Morning @KarenO

    image.png

    Just checked in this morning and it seems like the changes you made for Shears were successful as I can't see any deductions for them (or any employees) if generating a new 2023/24 EOFY finalisation.

    With that said, if I look at their initial YTD I can see there are two separate Special Leave entries each with slightly differing effective date entries.

    image.png

    If you look at a new EOFY finalisation today, is the total balance for Shears correct or do one of the above Special Leave entries need to be removed?

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi @Rav

    Ok, that's strange although I did try and add the Special Leave twice when it didn't seem to take the first time but what's showing in your screen shot is definitely a duplication. Can you please remove one and I'll re-run the report to see how it's looking.

    Thanks so much Rav,

    Regards

    Karen

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager

    No problem, I've gone ahead and done that now.

    If you're logged in currently, please refresh any page that you're on so any changes take effect (or just logout and back in) and then check to see if things are looking better in terms of the overall picture.

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi @Rav

    OK…. so we were almost there except employees Maison and Khan were still out by some smaller random amounts. (I managed to get Shears to balance after re-adding LSL). I've just now discovered the problem with Maison and Khan is that the initial YTD for annual leave also added leave loading which isn't paid by our company. I have no idea why it was randomly applied and can only put it down to a migration gremlin. All employees were set up identically for annual leave under Payroll Premier. I have tried to bring the 2 numbers back to zero and save the information, logged out and back in… however it's still showing both with leave loading values and therefore affecting the EOFY report.

    Are you able to change this for me?

    Thanks, Karen

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager

    Hey @KarenO

    Really sorry but I can't change actual employee data ie. altering balances (not allowed to) but what I'd suggest is for you to remove the annual leave initial YTD from each employee and enter it again then save the profile.

    Once that is done, refresh then create a new EOFY finalisation.

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi @Rav

    Thanks again for your help. I have now made all the adjustments and can balance the actual wages to the EOFY summary. However, one question remains…

    As a cross check on everything, I have asked the affected employees to check their income statement figures through MyGov. The last pay (28/6/24) is yet to show up in the running totals but I've verified that if the gross amounts are added to the existing MyGov balances, they will be incorrect.

    Can you tell me if the submission of the EOFY report will overwrite the individual employee's totals? Otherwise I have no idea how to correct the numbers through the ATO.

    Thanks, Karen

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,400 Reckon Community Manager Community Manager

    Awesome, glad to hear we're almost there.

    And to answer your question, yes an EOFY finalisation overwrites any and all balances that have come before it. The balances that are present in the EOFY finalisation will be the full and final balances for each employee and once successfully processed by the ATO it will mark them as Tax Ready.

  • KarenO
    KarenO Member Posts: 17 Reckoner Reckoner

    Hi @Rav

    Thanks so much. I've now finalised the report and cross checked everything. Got there in the end! Report submitted!

    Enjoy your weekend.

    Regards, Karen.

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