How to clear out Negative Wages
This article explains how to clear negative wages for a person that either doesn’t need posting towards your accounting system, or that is wrong.
Description
Sometimes an employee might end up with a negative net wage balance at the end of the month. If this is the case, the system will automatically transfer this amount to the next payroll period where the person has wages and then deduct it as if it was an advance.
If you want to clear out the wages, the normal procedure is to have an entry code where you post the reverse amount so that this is reflected in the Accounting Voucher. In some cases though, if the negative wage amount was for some reason wrong, or you just want to clear it out without any further postings in your accounting system, you can clear out the amount. This is done by setting the incoming accumulator for Negative Wages to 0.
How to
Open Payroll on the specific person and go to the tab Accumulators tab
Find line 12 and set the amount in the column Balance B/F to 0
Go back to the Entries tab and calculate the person. Entry codes 998/999 Negative Wages C/F and B/F will be cleared out.
