A payroll adjustment is an addition or deduction to an employees pay which can be managed through the payroll.
Some adjustments are added to or taken from Gross Pay (pay before tax) and some are added to or taken from Net Pay (pay after tax).
Paycircle automatically manages the tax treatment for the most widely used adjustments, you can also set up your own custom adjustments if you have any which do not appear in the Paycircle adjustments list.
If you do not know or are unsure whether an adjustment should be applied to someone’s Gross or Net pay, please contact the Paycircle Support Team who will help you set up the adjustment correctly.
Typical adjustments include overtime, bonuses and commission payments, expenses, pension contributions, holiday pay, statutory payments (e.g. sickness or maternity) and childcare vouchers.