Reversing Payroll
Use these procedures to process necessary actions when reversing an employee’s payroll, such as requesting to recover funds using either the ACH reversal or warrant cancelation process, and reversing the payroll in HRMS with the Off-Cycle Workbench.
While these actions can be used in conjunction with each other, it is important to only process the necessary procedures. If you are uncertain of which should be completed, please email HereToHelp@ofm.wa.gov.
Processing an ACH reversal or a warrant cancelation does not reverse a payment in HRMS.
Do not perform an Off-Cycle Workbench reversal unless the funds have been returned or recovered by the agency through the ACH Reversal or the Warrant Cancellation process.
The initiation of an ACH reversal request does not guarantee funds will be returned from a financial institution. After an ACH reversal has been initiated, the requesting agency will receive a provisional credit in the Agency Payroll Revolving Account (035), General Ledger 5124 effective the reversal effective date. These provisional funds do not indicate the Reversal was successful. A financial institution has up to 6 banking days to send an ACH Return indicating the reversal failed or report that the funds will be unpaid via the HRMS Corrections and Returns Report. OFM does not recommend processing an off-cycle workbench until a minimum of 7 banking days after the effective date of the EFT Reversal has passed and the funds are still present in GL 5124. If you have not received a notice of ACH return after waiting 7 banking days, you may complete the Off-cycle using the Reversing Payroll – Reverse Payroll Using Off-Cycle Workbench procedure.
If a warrant is being reissued because it was lost, destroyed, or stolen, do not take any action in HRMS. These reissues are only dealing with net pay and do not affect payroll costs or the IRS Form W-2.