Pay a leaver or temporary rejoiner refers to the process of issuing payments to employees who have left the organization or those who have temporarily rejoined after a period of absence.
This process is important to ensure that all final payments, such as outstanding wages, holiday pay, or any contractual benefits, are accurately calculated and settled upon an employee's departure or return.
To assist in paying a leaver or a temporary rejoiner, please watch the instructional video or follow the steps outlined below.
Change employee status
Firstly, you need to change the employee status from dormant to active. To do this, follow the steps below.
Click Manage Payroll then highlight the relevant pay group.
Click the Inputs tab then click Manage Payroll Employees.
Click the filter
icon then from the Status drop down menu, select Dormant.To further refine the results, in the Leave Date field, enter the leave date.
Click Apply.
Temporary reinstate an employee
After changing the employee status, you need to temporary reinstate the employee. To do this follow the steps below.
Click Manage Payroll then highlight the relevant pay group.
Click the Inputs tab then click Manage Payroll Employees.
In the search field, search for the employee.
Beside the relevant employee, click VIEW.
Search for the employee then click View.
Click Temporary Reinstate.
Add timesheets
Add timesheets to create the relevant payment to be processed. To do this follow the steps below.
Click Manage Payroll then highlight the relevant pay group.
Click the Inputs tab then click Manage Payroll Employees.
In the search field, search for the employee.
Beside the relevant employee, click VIEW.
Click the Timesheets Current Period tab.
If the payment is regular, for example, final payment of wages and salaries, add a timesheet to the record as usual.
If the payment is irregular, such as an unexpected bonus or arrears in salary, enter a value of one in the NI Weeks. This will apply a one-week NI threshold to the pay being processed.
If the payment is a mix of regular and irregular, then the NI Weeks field doesn't need to be completed.
Click Save.
To keep with HMRC regulations, a second P45 will not be produced after a payment is made to an employee using the Temporary Reinstate function.
For further guidance, check the joiners and temporary leavers user guide.