Year End Adjustment

Use

In this section, special processing of year end adjustment for non-resident employee are described

Year End Adjustment at Departure Date :

For non-resident employee, Year End Adjustment must be performed for payments received from the beginning of a year until the departure date when the last domestic payroll is to be provided. Thus all information related Year End Adjustment must be maintained in infotypes just like for regular employees before performing the last domestic payroll.

Year End Adjustment after Returning :

Regular Case

When an employee returned from overseas assignment, only the payments made from returning date till the end on the year must be accounted for Year End Adjustment of the year in question. This is done automatically by cumulating taxable wage types and non-taxable wage types separately. And only cumulated results of taxable wage types are accounted in the Year End Adjustment process.

Irregular Case

There are cases in which an employee had proceeded overseas assignment once and returned to Japan within the same year. In this case, this employee once became a non-resident and Year End Adjustment was performed. In this circumstances, the previous Year End Adjustment results must be considered and additional Year End Adjustment must be performed. This special processing is taken care by the system so that you do not have to perform special operation except maintaining Year End Adjustment related information in infotypes for the second time.