How to close the 2020 income year
When the 2020 income year ends and the new one begins, there are a number of areas you need to pay attention to. With the checklist below, you'll get safely through the turn of the year with Zenegy.
Meet the last deadline for pay runs in 2020
It's important that you meet the deadline for the last pay run in 2020. The deadline for the pay run in Zenegy is
Tuesday 29 December 2020 at 10:00 (08:00 if you use NemKonto).
Salary payments
Make sure the pay's disposition date matches the period the pay is for. The disposition date decides which income year the pay belongs to.
If, for example, the pay for the period 1 December 2020 to 31 December 2020 is paid with a disposition date of 4 January 2021, the pay will be counted in the 2021 income year, which has tax consequences for the employee.
Check SH and free choice savings
If you have an employee covered by an SH and/or free choice scheme, be aware that it must be paid out before the turn of the year.
Turn on the payment of SH and free choice in the pay run under ‘Advanced options’.
If the savings are to be paid out in a fixed month, you can choose this on the employee's salary profile.
Registrations
It's important to include all registrations for the 2020 income year in the December pay. Go through all registrations (mileage, days of holiday and holiday pay, hours, supplements and deductions) and make sure they are approved and included in the pay.
All registrations approved before the last day of the pay period are automatically included in the last pay run.
Remember that with Zenegy you can easily approve registrations as they come in and save administration time.
Employees leaving
Do you have an employee leaving this year?
If so, it must be registered in Zenegy before 2021. You need to make sure the employee's holiday account, SH savings, free choice savings, termination date etc. are done correctly and paid out with the last pay in December. Otherwise, the employee will be taxed extra.
You can easily see the terminations registered in the period when you do the pay run.
Reconciliation
Before you approve the last pay run, you can download a number of reports for checking and reconciliation. You can check for any deviations in the pay, download or check the draft payslips and reconcile the tax report with eIncome.
Start in good time
It's always a good idea to start the pay run in good time and have more peace of mind in the run-up to the deadline. Zenegy saves your entries as you go, so you can always come back and make corrections.
Also read our blog post on efficient pay runs, with tips for correct pay.
