AXISe Pension Systems
Payroll Training
Section 4
Prepared by:
Heywood
2 Victoria Street
Altrincham
Cheshire
WA14 1ET
October 2003
Contents
Introduction
1
Variations
3

Variations in Pay
5

Permanent Variations in Pay
6

Temporary Variations in Pay
7

Variations in Payroll Status
21
Tax & Tax Codes
26

Tax Code Amendment
27

Tax Refunds
28

Overriding Tax
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AXISe Payroll Training - Section 4
Introduction
Introduction
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Introduction
Introduction
This guide explains how to instigate temporary variations in a payee’s payment and
alter their payment status. It also gives a summary of how to process Tax Codes.
It is not designed to be a comprehensive guide to the system but rather an overview.
Further detailed instructions are available within the On-line Help.
The guide assumes that you are familiar with Microsoft’s Windows or NT operating
environment and the use of a mouse, menu bar, toolbar and shortcut keys.
On-line Help and the Advisor
These facilities have already been described in Section 1 of the Training Guides.
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Variations
Variations
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Variations
Variations
Variations in Pay
eg
Arrears
Supplement
Override
Overpayment recovery
Manual Payment
Variation in Payee Payroll Status
eg
No Process
Suspended
Left
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Variations in Pay
Variations in Pay
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Variations in Pay
There are two types of variation in pay 'Permanent' and 'Temporary'.
Permanent Variation in Pay
Manual Amendment
A permanent variation to an amount in payment is processed by amending the
'Amount' field on the relevant Pay Element data view as described in Section 2 of the
Training Guide.
Interfaced Amendment
The following is for information only as it is not appropriate at this stage to
demonstrate the Interfacing aspects of the payroll system.
There are two methods of making permanent amendments using Interfacing.

Bulk Pensions Increase Calculation Interface

Individual Benefit Calculation Interface
In both cases, the Administration system calculates the permanent amendment to the
amount in payment, details of which are then held in an interface holding file.
The payroll user accesses the holding file and authorises the update of the payee’s
records.
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Variations in Pay
Temporary Variation in Pay
A temporary variation for the purposes of this document is usually a 'once only’
variation in the payee’s calculation - ie it is only used for one period. Examples might
be arrears, or a refund of an amount deducted in error.
These variations are processed using the Variation-O/ride data view. This view has a
number of applications and is used by the Normal Payroll system and the Immediate
Payments system.
This guide describes its use within the Normal Payroll system.
Types of Temporary Variation
A variation can be used to
Add/Subtract to or from an existing amount during the calculation

Override an existing amount during the calculation

Introduce a new element into the calculation

Update a payee’s financial accumulations for payments made outside the
system
Creating a Variation-O/Ride
From the member’s data set select from the Data View, Payroll drop-down menu.
A summary screen is displayed.
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Variations in Pay
Summary Screen
The screen may be blank (as illustrated) if Variation - O/Ride data views do not
currently exist
If variation data views do not exist then the following message is displayed at the
bottom of the screen.
To create the data view, regardless of whether it is the first or not, select ‘Create
Another’ from the Current View menu.
The Variation O/Ride data view is then displayed.
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Variations in Pay
Variation Data View
The view has three pages, but when applying an Override to an amount in payment for
the ‘Normal’ payroll only Page 1 and the List page are used - ie the ‘MOPS’ page is
only used for the Immediate Payments system.
List Page
It is on this page that you input the element number and the relevant amount. Details
will follow later
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Variations in Pay
Page 1
In addition to the status line (see below) Page 1 is divided into two areas.
The first area is where you indicate what type of variation it is, and when it is to apply
The second area is used when updating a payee’s accumulations if a payment has
been made outside of the system, or a payment has been reclaimed/returned.
Payment Outside the System
A payment has been made to the payee outside the system and needs to be reflected
in the payee’s accumulations, and at the same time a record of the payment needs to
be created on the system.
Returned Payment
A payment has been made to the payee but it has been returned or reclaimed. This
needs to be reflected in the payee’s accumulations, at the same time creating a record
of the returned payment on the system.
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Variations in Pay
Type of Variation
The first three edit boxes are mandatory!
The allowable values are –

Norm/Immed Pay
‘N’ for Normal Payroll

Add/O/ride
‘A’ to add an amount to the existing amount
‘O’ to override an amount.

Net Inp/Calc
‘C’ actioned during the calculation.
‘I’ Update the accumulations
Therefore the required input for the three fields is as follows
‘NAC’ Add an amount to an element during the calculation of the normal payroll
‘NOC’ Override an element amount during the calculation of the normal payroll
‘NAI’ Input adjustments to a payee’s accumulations.
Other values, eg Tax Period/Year, tax code are defaulted but only the Tax Period and
year are relevant.
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Variations in Pay
Examples
‘NAC’ Adding to an element in payment.
The element amount input on the list page will be added to the element amount held
on the pay element data view for this calculation only.
In the following example the variation will be actioned in Period 03 of Tax Year 2003
and the payee will have an adjustment of £150 against Element 001, eg if the payee
has a standing amount of £350 for element 001 then for this calculation he/she will
include an extra £150 ie £500 in total.
The remainder of this page is left blank.
Select the List page.
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Variations in Pay
Inserting the Element and Amount
Using your mouse ‘Right’ click in the list box to display the ‘Insert’ option
Click on Insert and an edit line appears. Enter the Element Code and Value.
If you right click in the list box again you will notice that the Modify and Delete are now
available for selection. These allow you to amend the value or delete the element if
required. Simply highlight the appropriate element in the list box and select the
appropriate option.
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Variations in Pay
‘NOC’ Override an element in payment.
The element amount input on the list page will override the element amount held on
the pay element data view for this calculation only.
In the following example, the variation will be actioned in Period 03 of Tax Year 2003
and the payee will have an adjustment of £150 against Element 001. For example, if
the payee has a standing amount of £350 for element 001, then for this calculation the
amount will be overridden, ie £150 instead of £350.
The remainder of this page is left blank.
Select the List page and proceed to Insert the Elements and Amounts as described
above.
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Variations in Pay
‘NAI’ Updating a payee’s accumulations.
Updating a payee’s accumulations with the details of a payment paid external to the
system or a returned payment.
In the example below the ‘Variation’ will reduce the payee’s accumulations by the
amounts detailed on Page 1. The elements making up the amounts are detailed on
the List page. The Payment Summary must be completed in full so that the sum total
of the entries balance, ie Including Tax and Net.
Reason
The reason code can be either a free format field or a validated field and is meant to
indicate the reason for the adjustment. The example above shows a validated field.
The user specifies the codes used.
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Variations in Pay
Deductions
Note how deductions, eg Tax, are still shown as a positive amount. Treat deductions
as positive unless you are refunding them. If you are refunding them then include a
minus sign before the value, eg –35.55
List Page
The amounts on the List page must balance to the totals on the Payment Summary
page (Page 1).
This rule excludes Tax and Net, that is, you don’t input elements for Tax and Net on
the List page.
Deductions
Note the same rule applies for deductions. Treat deductions as positive unless you are
refunding them. If you are refunding them then include a minus sign before the value,
eg –35.55
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Variations in Pay
Confirming the Data View as OK ie Saving the Data
A number of things happen when you create a variation data view with the code ‘NAI’.

The payees accumulations on Page 2 of the Pay Basic details data view are
updated immediately.

The relevant payment/deduction elements Year To Date values (on the detail
page) are updated and a field called ‘Prev Payment Adj’ is also updated

The data view remains on file until Period End update, after which the details are
updated to the Payment History data view. Notice the two entries for Period 3. The
entry marked ‘NORM’ is the normal payroll payment, ‘ADJM’ is the adjustment.
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Variations in Pay
Deleting a Variation – O/Ride data view.
Select Variation O’Ride from the Data View drop down menu or the Current Data View
toolbar.
Double click on the entry you want to delete and the data view is displayed.
Select ‘Current View ‘from the Menu bar and click on Delete.
or press the Delete button…
Confirm the deletion using the displayed dialogue box.
Which Variations can be deleted?
Any existing variation, ie NAC, NOC, NAI can be deleted. If calculations have already
been processed then you will need to re-perform calculations for the appropriate
payees.
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Variations in Pay
If you delete a data view with the code ‘NAI’ then the actions taken on creation ie
updating accumulations etc, are reversed. However, if you have already processed
Period End then the data view will already have been deleted and payment history
updated.
Reversing an Adjustment to Accumulations after Period End
If you have already processed Period End then you are unable to delete the data view
as it has already been deleted by the Period End process, and Payment History has
been updated. In this instance, you will need to create another variation data view
with the code ‘NAI’, but with the values reversed.
This will re-adjust the
accumulations, and at Period End the Payment History will have a second entry
negating the first.
Adjustments to 'Left' Payees
There will be occasions when after marking a payee as 'Left' or 'Suspended' the User
will need to adjust the payee’s accumulations due to the following reasons.

The Bank or the Executors of the deceased payee has returned a full or part
payment.

A full or part payment is made (outside of the system) to the executors of the
deceased.
It is not enough to just amend the Gross Taxable To Date figure and the Tax to Date
because the values that support these totals, ie the elements of pay, will be out of step
and therefore incorrect.
As you access the payee’s payroll data the following message is displayed.
This message does not apply and can be ignored when updating payee
accumulations. In order to update the accumulations create a variation data view.
There is no need to unset the ‘Left ‘ indicator.

Create the variation with the indicators ‘NAI’
The values input will update the payee’s cumulative values immediately and the
record will be deleted during 'Period End'.
A payment history record will be created as part of period end processing.
Remember values can be positive or negative.
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Variations in Pay
Multiple Variation-O/Rides
A payee can have more than one variation data view present.
To select one of the data views double click the entry in the list
Multiple variations are useful in cases where it is necessary to claw back an
overpayment over a number of periods. To achieve this additional variations with
future pay periods would be created. The system will take into account the data view in
the calculation as and when the relevant period is reached.
Additional variations are created in the usual manner ie using the ‘Create Another’
option.
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Variations in Payroll Status
Variations in Payroll Status
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Variations in Payroll Status
Payroll Status
Status in this context is the status of the payee in processing terms, for example

Setting payee as ‘Left’.

Setting payee as ‘Suspended’.

Setting payee as ‘Do Not Process’ this period.
This is achieved using the Status/Misc Adjust data view.
The screen is not really a data view but rather a screen of sub-options at individual
payee level that allows the User to set/unset indicators on the payee’s data set.
Setting the various indicators will amend the status line on the payroll data views.
Every payee has this screen as a matter of course but it is not indicated on the Current
Data View task bar.
Access the data view from the Data Views drop down menu.
Examples showing the more common aspects now follow.





Clear All Input
No Process
Suspend
Left
P45
Other options are available and these will be discussed by the Consultant if it is
thought appropriate.
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Variations in Payroll Status
Status/Misc Adjust data view.
Setting indicators after calculation
NB Calculations will be cleared when 'Left', ' Suspended', or 'Do Not Process' are set
Setting Payee as ‘LEFT’ – Remember to input the date !
P45 Forms
If P45 forms are produced from the system the appropriate indicators in the ‘P45 Tax
Per’ and the P45 field will need to be set:


‘P45 Tax Per’ is the tax period to be shown on the form.
‘P45’ - the values are
N - do not produce P45
Y - produce P45
D - produce P45 marked ‘D’ for deceased.
NB A Variation O/ride data view 'NAI' can be processed against a payee set as 'LEFT'
in order to make the accumulations correct. This enables the payee’s accumulations
to be adjusted in respect of any overpayment or returned payment.
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Variations in Payroll Status
Unsetting Payee from Left status.
Access the Status/Misc Adjust data view from the Data Views drop down menu.
You will see that the payee’s status is shown as ‘Left Current Year This Period’
Using the ‘Left’ field again, set the value to ‘R’ for reinstate.
Exit and confirm in the usual manner.
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Variations in Payroll Status
Do not Process this Period
This setting only applies for one period and is unset by Period End update.
The ‘Reason field will also need completing.
Payee Status – set to ‘No Proc’:
Reset
To reset the payee before Period End, ie put the payee back into payment, input R’ in
‘Do Not Process’.
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Tax & Tax Codes
Tax & Tax Codes
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Tax & Tax Codes
Tax Code Amendment
This section describes briefly the various ways in which payees tax codes can be
updated.

Manually via the ‘Pay Basic Details’ data view.

In bulk via Option R31 using Surnames.
Input a range of surnames and the relevant payees with their current tax codes
and basis will be displayed enabling new tax codes to be input.

In bulk via Option R32 using NI Number.
Input a list of NI Numbers (not temporary numbers) and the relevant payees
with their current tax codes and basis will be displayed enabling new tax codes
to be input.

In bulk via Option R33 using Tax Suffixes i.e. A, L, H, P, V & Y
Input the relevant suffixes together with the value by which they are to change
(positive or negative) and the system will update every record with the suffix.

In bulk via Option R34 utilising a magnetic tape issued by the Inland
Revenue.
This facility can be processed in 'Provisional' mode, that is as a test, without
performing an update.
Further information on the ‘Bulk’ processes can be found in the appropriate on line
Help sections
Tax Refunds
There are times when as a result of tax code change there are other implications to
consider.
A System parameter level Tax Refund value can be set by the user (Option R722).
Any tax refunds in excess of this value are automatically paid, but the relevant payees
are reported on the calculation report.
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Tax & Tax Codes
Refunding Tax Paid When Code Amended to 'NT' (ie Basis 7)
You must only use this option if you have received authority from the Inland Revenue
to refund tax to a payee with a tax code of NT.
In order to automatically refund 'Tax Paid' when amending the payees tax code to 'NT'
input the following:
Tax Code
-
Spaces
Pre-Suff
-
'R'
Tax Basis
-
'7'
After calculations any tax held in the 'Tax To Date' will be refunded. After Period End
Update has been run the 'R' in Pre-Suff will be replaced with a space.
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Tax & Tax Codes
Overriding Tax
There may be instances where you wish to deduct a certain amount of tax rather than
the amount arrived at in the calculation.
Select ‘Tax Override’ from the Data View drop down menu.
The following data view is displayed
The only field allowing input is the Tax field. Inputting a new value will automatically
recalculate the Net pay amount.
Note that the calculation must already have been processed before this facility can be
used. If a further calculation is performed for this Payee the Tax will be reset, and any
‘Tax Override’ will have to be set up again.
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