The Payroll Exception Report helps you identify and correct employees with incorrect withholdings. Incorrect withholdings are often the result of manually calculated payroll checks that were figured incorrectly. The report shows the taxable gross amount, amount withheld, calculated amount and difference, and actual amount withheld (as entered into Sage 50) as opposed to the calculated amount withheld.
Note: This report uses payroll formulas to calculate the amounts. You must subscribe to a Sage Business Care plan in order to use payroll formulas to run this report. Otherwise, the report will not show any data. You may run this report for any years in which you had a subscription to a Sage 50 Payroll Solution even if you are not currently subscribed.
Options
Click the Options button to determine the data criteria for the reports you want to see or print. For this report Sage 50 displays the following filter options:
- Dates: Select the quarter to print from the drop-down list box.
- Sort by: You can sort by employee ID or employee name.
- Select a filter: First, select a filter on the left. Then, define the options for that filter on the right. The options differ based on the filter selected. Tell me more about the types of filter options.
- Tax to Check: This list box contains calculable Payroll Fields that use tax formulas set up to appear on Payroll Tax Report menus under the Tax Formulas selection of the File menu. The tax table is then used to calculate Payroll fields. The Payroll field information is set in Employee Defaults .
- Tax to Adjust to: This list box contains a list of all Payroll Fields. You only need to select one of these if the Prepare Correcting Entries box is checked. The tax field cannot be the same one you selected in the Tax to Check list box. Your selection will be used to create a payroll journal entry that fixes the Tax to Check, and puts the error into the Tax to Adjust To. Employer taxes cannot be adjusted here, only Employee taxes can be adjusted in this report.
- Prepare Correcting Entries: If this box is checked, the program prepares correcting journal entries and enters them into the Payroll Journal. Once there, you can modify or remove them and, of course, post them to the General Ledger and the employee records. If you are using the batch method of posting, be sure to post Payroll after running this report.
Note: If you make errors in your manually calculated payroll, you need to technically refund money to your employee, or withhold extra in the next pay period. This is awkward for you and your employee, so for small errors you can simply move the error to something like Federal Income Tax Withheld. This way employees get the benefit of your error when they file their 1040.