Process documentationYear End Adjustment with Non-Periodical Shoyo Payroll

 

You can perform year-end adjustment (YEA) with non-periodical shoyo payroll if the non-periodical shoyo payroll of December is the last payroll of the year. Processing scenario of Year End Adjustment with non-periodical shoyo payroll consists of processes of Year End Adjustment preparation, Non-periodical shoyo payroll of December and reporting of Year End Adjustment results.

For more information on functional features, see Regular Year End Adjustment Calculation

Prerequisites

To process Year End Adjustment with non- periodical shoyo payroll, a customizing set up for specifying the type of Year End Adjustment processing scenario must be properly defined. For more information, see Set Up Type of Y.E.A. Calculation in the Customizing for Payroll Japan.

Process

Unlike a monthly payroll, the non-periodical shoyo payroll function is designed to be performed when the status of the payroll control record for a payroll area is outside of Release Payroll to Exit Payroll.

  1. You print legal forms and maintain employees' Year End Adjustment information.

    Before performing year-end adjustment with non- periodical shoyo payroll, each employee's Y. E. A. Information (Infotype 0146) [External] must be checked and maintained. The following are legal forms used to collect employees' Year End Adjustment information

    You need to collect relevant information for Year End Adjustment, such as, housing acquisition deduction and maintain it in the employees' master data.

  2. You check the status of the payroll control record of a payroll area.

    We recommend that you ensure the status of payroll control record is outside of Release Payroll to Exit Payroll.

  3. You start the Year End Adjustment with non-periodical shoyo payroll.

    The system calls the payroll program and sets specific parameters for the Year-End Adjustment with non-periodical shoyo payroll.

  4. You check whether the payroll has run correctly, or determine where errors have occurred.

    During this phase, unlike monthly payroll, you can change any data which is related to payroll, and which will affect present or past payroll information. The payroll area in question is NOT locked for payroll.

    The SAP System includes a report program (RPCLSTRJ) that reads and checks the stored payroll results. The report allows each employee to see the contents of all internal tables containing payroll results. This allows you to check all partial results for a payroll run and determine the point during the payroll run where an error occurred.

  5. You correct master or time data for personnel numbers which contain errors and which the payroll program cannot process.

    During payroll run the SAP System flags the Payroll Correction field in the Payroll Status infotype (0003) for all rejected personnel numbers. When you correct master or time data for a personnel number this field is also flagged. These personnel numbers are grouped in a list under matchcode W. In payroll with matchcode W, payroll only takes place for the corrected personnel numbers.

  6. You start the Year End Adjustment with non-periodical shoyo payroll with Matchcode W.

  7. You end Year End Adjustment with non- periodical shoyo payroll.

    You can only end Year End Adjustment with non-periodical shoyo payroll when the payroll has run successfully for all personnel numbers in the selected payroll area. This means that payroll is completed for all personnel numbers in the payroll area, including the rejected personnel numbers, and the payroll period is complete.

  8. You print legal statements and report.

    As the closing of Year End Adjustment, you need to print the following legal forms and statements:

Result

You have run Year End Adjustment with non-periodical shoyo payroll for all the personnel numbers in a payroll area and created the following:

  • Employee's Income Tax and Family Dependent Tax Deduction form

  • Life Insurance and Spouse Tax Deduction form

  • Shoyo payroll results

  • Year End Adjustment results

  • Wage Ledger (Gensen Chousyu-Bo / Chingin Dai-Cho)

  • Withholding Tax Statement for Employment Income (Kyuyo Shotoku no Gensenchoshu-Hyo)

  • Salary Income Information Return for Salary Income Earner (Kyuyo Shiharai Houkoku-Sho)

  • Summary of Salary Income Information Return for Salary Income Earner

You can perform the following steps in payroll:

  • Wage and Salary Payments

  • Posting to Accounting

  • Bank Transfer