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TERMED EMPLOYEE OVERPAYMENT Expand / Collapse
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Posted 2/22/2008 8:43:27 AM
 
We overpaid a termed employee, our payroll company generated an additional check automatically deposited in to the termed employees checking account, we had already processed a manuel check at termination, so they were paid twice.

Can we recoup this overpayment?
Post #1785
Posted 3/14/2008 2:42:28 PM
 
YES, IF IT WAS A DIRECT DEPOSIT THAT WENT INTO THE TERM EE ACCOUNT ALL YOU HAVE TO DO IS CALL THE BANK AND TELL THEM WHAT HAPPENED. THEY WILL EMAIL YOU A REVERSAL FORM TO FILL OUT AND SEND BACK. ONCE THE BANK RECEIVES THE REVERAL FORM THEY CAN REVERSE THE FUNDS BACK INTO YOUR COMPANY ACCOUNT. IF IT WAS NOT A DIRECT DEPOSIT JUST CALL THE BANK AND STOP PAYMENT ON THE CHECK. WHEN AN EMPLOYEE FILLS OUT A DIRECT DEPOSIT AGREEMENT FORM THERE SHOULD BE A CLAUSE ON THE FORM THAT LETS THE EMPLOYEE KNOW THAT FUNDS CAN BE REVERSED IN THE EVENT THAT A CREDIT ENTRY IS MADE IN ERROR. HOPEFULLY ITS NOT TOO LATE. YOU ONLY HAVE 5 DAYS TO REVERSE THE ENTRY.

TG
Post #1799
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