Hi Vanessa Fromm ,

Thanks for reaching out and welcome to Community Hub! Since you've over-deducted an employee for life and health benefits, there are a few steps you can take to correct this in your next payroll.

1. Calculate the Overdeducted Amount: First, determine the exact amount that was over-deducted from the employee’s pay.

2. Adjust the Deduction in the Next Payroll: In your payroll software, you can create an adjustment in the upcoming payroll cycle to credit the employee back for the overdeducted amount. This adjustment should reduce the deduction for the next period or provide a direct refund.

3. Record the Adjustment Properly: Make sure that this adjustment is documented both for your records and in the employee’s payroll history. If your software allows, label this as a "deduction correction" or similar to maintain clarity in financial records.

4. Compliance Check: It’s a good idea to consult with your payroll administrator or refer to Canadian GAAP guidelines to ensure you’re following correct procedures for deduction adjustments and that your records reflect the accurate payroll expenses for the employee.

For more specific steps within Sage Payroll, it could be helpful to explore their support articles, such as those on creating and editing pay groups, as linked below:

• Correcting Deductions
• Handling Benefits and Premiums
• Pay Groups in Sage Business Cloud Payroll Canada

If this helps, please mark it as verified :) If you have any more questions, feel free to ask—I'd be happy to provide further guidance!

Warm Regards,
Erzsi