Hi, I have an employee who has gone off sick part way through a pay period. I have followed the tutorial on entering sickness dates etc but his salary is still calculating as a full month despite only receiving SSP for 6 days. I have used the chat but the advisor said all the figures were right and his supervisor had checked them. I have had to run the payroll as they were due to be paid even though I think he has been overpaid.
When I run the next months payroll, he is also being paid full pay even though he is still off sick and should only be on SSP.
I am convinced that this is not right and that advanced payroll has not deducted pay correctly.
Thank you for the detailed information, @LL44.
Let me provide some insights about paying Statutory Sick Pay (SSP) to your employees and help you from there.
You'll have to form a Period of incapacity for work (PIW) for you to be able to pay SSP to your employee. This is a period of sickness lasting 4 or more consecutive days, this includes non-working days, bank holidays, and weekends.
When a PIW had been formed, the first 3 days are not payable, these are the waiting days after this SSP is due. If the PIW is linked, then the waiting days only apply to the first PIW.
To properly pay SSP for your employee, please follow the detailed steps below:
I'm adding this article for more guidance: Statutory Sick Pay (SSP) in QuickBooks Online Advanced Payroll.
As always, feel free to visit our QuickBooks Community help website if you need tips and related articles in the future.
Keep in touch if you need any more assistance with this, or there's something else I can do for you. I've got your back. Have a good day and keep safe.
Hi Mark, thanks for your reply. I had already followed all the guidance. My accountant has looked at payroll this morning and said it is wrong. It has not deducted the hours he hasn't worked and has deducted and then credited the SSP payment. This means that he has been paid full pay. I spend over an hour on chat yesterday and the agent and his supervisor assured me that everything was correct, they even screen shared. It clearly isn't and now my employee has been paid too much. Payroll would not let me override the hours worked to reduce them or rectify the deduction and then credit of the SSP amount. If I am not able to rectify this before next months payroll I will have to stop using advanced payroll and return to using the HMRC service.
Hi LL44 👋, To understand more we will need to look into the settings on how the employee is set up, this is possibly best if you call so that an agent can talk through the settings with you and set a further screen share up. How many days was the employee on sick for?
Thanks for joining this thread susanwarren, we'd be happy to help you with your SSP calculations.
Could you please first go to the employee's settings and select Statutory payments > Click onto the SSP to edt > view the 'Basic Pay Adjustment' option selected, for reference these are:
Reduce basic pay by statutory amount, (the default) this will both add and subtract the SSP amount from the pay run. This is good when they have a constant salary, not so good when being paid variable hours.
Do not pay basic pay, This will only pay SSP and nothing else.
Pay basic pay as entered, This will add the SSP, and leave everything else unmodified.
Hi Georgia, thanks for replying.
I have already gone through these options (I don't know whether you can track my posts but I have a post about the same thing which I put up last week). The issue I have is that the amount removed under the default is not enough.
For example, I work 4 days a week. If I take a week off, that means 3 days normal pay as waiting days, and 1 day at SSP. I should see my salary reduced by a full day's amount, and the SSP added in as a lower amount.
None of the options are reducing my pay by enough. I should see a reduction in my salary, but the "Reduce basic pay by statutory amount" just reduces by the amount of SSP I am receiving - which is no overall reduction, and therefore means I would be overpaid.
Neither of the other two options are any better, and it seems that all 3 rely on our payroll staff catching when someone is going to be overpaid - not very helpful for a system which offers automatic payruns.
I did call in to the helpdesk last week and am waiting on a return call from Eleanor C, but seeing that someone else had the same issue last year prompted me to ask if they had found a fix for it. I will ring again tomorrow morning to see if anyone can help.