There are many mistakes that humans make and it is reasonable for mistakes to be made but when it comes to payroll error then the mistake is a serious one. There are several kinds of payroll errors that can be made. The payroll error should be rectified the very moment the error is detected. There is a likelihood of a long time being spent for the correction of a payroll error. When a payroll error is noticed, that is the moment that an employer should take to start fixing the problem and consulting a professional on the matter is ideal. There are many of those professionals that the employer may use either from the company or business or an external professional may be of help. This may benefit the employer in many ways.
The mistakes that are commonly made on the payroll are miscalculation of hours and so on. The employer is liable for fixing any payroll error that may be realized. The error must, however, be realized within ninety days of the release of the payroll. The employer should be aware of the period that he or she has to fix the payroll error. Ever payroll mistake may have its time frame to be rectified depending on the complication of the error. Click on this homepage to discover more about the period that an employer may take to resolve a payroll error that is detected.
Among the instances when there is need for a payroll error fixing is when there is an underpayment of an employee. When an employee wins the administrative claim on underpayment then there are penalties that the employee may be paid. During the underpayment period, there are damages that the employee gets and the employer should pay the employee for those damages. The employer may be given two years to ensure that he or she pays the employee. The two years is after the time when the underpayment was noticed and for the employers that deliberately underpaid, the period goes to three years.
The other payroll error that may need fixing is an overpayment. The time that an employer takes to fix an overpayment error is dependent on the time when an employee reports an overpayment. Collection of an overpayment is done from up to eight weeks when you tell the employer about the overpayment. There is an allowance of six weeks for the employer to ensure that the overpayment error is fixed.