Payroll correction
A payroll correction is the controlled process of fixing a payroll result after some or all of it has already happened.
Every method starts from the same question: what should have happened, what actually happened, and which events already occurred. An effective date is the date a change takes effect, kept separate from the date it was entered. A wrong one calls for a payroll correction, not a re-entry, because the wrong period may already be paid. Void and reissue are two separate decisions: a void reverses a prior result, and a reissue creates a controlled replacement payment.
Which correction method applies at each stage?
The discovery point decides the method, not preference or convenience. Reopening a finished run the wrong way can turn one known error into several new ones. A correction record opens before anything changes. Every correction accounts for taxes, deductions, contributions, third-party payments, cash, accounting entries, and employee communication, not net payNet pay. Net pay is the amount an employee receives by paycheck or direct deposit after every tax and deduction is subtracted from gross pay.Click to open the term alone. Correct the authoritative source record too, since a payroll-only adjustment leaves the source system wrong for the next run.
| WHEN THE ERROR IS FOUND | METHOD |
|---|---|
| Before calculation | Correct the source data directly |
| After calculation, before approval | Edit the permitted inputs and recalculate |
| After approval, before irreversible activity | Use an approved unlock or correction path |
| After finalization | Evaluate a void, a stop, a reversal, or a replacement |
| After the employee received the payment | Evaluate an off-cycle correction, a recovery, or a future adjustment |
| After a tax deposit or filing | Coordinate the amendment before changing anything else |
General information, not legal or tax advice. Apply current federal and state rules with qualified guidance.