Changing an employee's pay in a completed pay run can result in a correction deduction.

This shows in the current pay run.

You can't remove the correction but you can reverse it.

To do this you create a negative deduction for the same amount.

For example:

Your employee Sam received a bonus in month 2. You included the bonus in month 3 as well, meaning Sam's pay and payslip were not correct.

Later, you edit the completed month 3 pay to remove the bonus and provide Sam with a new payslip.

In month 4, the correction is showing. You reverse the correction as you have already paid Sam the correct amount.

How to reverse a correction

1. Process your pay run up to the Edit stage.
2. Select Add Deduction then Add a new deduction.
3. Select Net Deductions as the deduction category. Select Other Net Deduction as the deduction type.
    NOTE: This is to make sure that the deduction is not subject to tax and NI 
4. Enter a name and description. For example, Manual correction reversal.
5. Set the value as the same amount as the correction, but make it a negative amount. This will reverse the Correction deduction.

Adjust the journal sent to Sage Accounting

You may also subscribe to Sage Accounting and post journals from Payroll. Reversing the correction deduction also creates a difference with your salary journal.

To correct this, you'll need to create a new journal in Accounting: