Guide: Processing an InstaPay deduction

How it works

When an employee requests an InstaPay payment, these transactions will appear in the relevant pay run as a post-tax deduction. Employment Hero bases InstaPay availability on approved timesheets, or a prorated daily amount (for each work day) for salaried employees.

For further information on the employee facing side of the InstaPay feature, refer to the following article.

Important

InstaPay transactions are only available on fortnightly pay schedules.

InstaPay is not available on the employees paid date as shown by your generated pay run.

Availability

Payroll Plan:   Standard   Premium

What you need to do

There are three steps that an administrator needs to complete, to view, process and report on the InstaPay deductions your employees have requested. An administrator needs to complete these actions through the payroll platform. The steps are:

Stage 1: View an InstaPay deduction

Once the employee requests an InstaPay payment, the platform will create a locked post-tax deduction for the withdrawn InstaPay amount in the employees’ payroll file.

The steps on how to view this are:

  1. Log into Employment Hero Payroll
  2. Click the Employee menu.
  3. Click the List submenu.
  4. Click on the employee who needs an InstaPay deduction viewed.
  5. Click the Pay Run Inclusions button.

    Helpful Hint

    You will now see under the deductions section the employee InstaPay post tax deduction.

    InstaPay_1.jpg
Stage 2: Processing an InstaPay deduction

A post-tax deduction appears in the pay run for the employee who conducted the InstaPay withdrawal. The payroll platform pays Employment Hero the withdrawn InstaPay amount into the locked bank account in the employee's payroll file.

Warning

Only have one pay run open when you are processing an InstaPay deduction. If there are multiple pay runs open, this will cause duplicated InstaPay deduction being created by the payroll platform.

Important

This will appear as a payment to Employment Hero on the ABA file.

The steps on how to process this deduction are:

  1. Log into Employment Hero Payroll.
  2. Click the Pay Run menu.
  3. Click the New Pay Run button.
    InstaPay_2.jpg
  4. In the Pay Schedule field select the Fortnightly option.
  5. Complete the following fields:
    • Pay period ending.
    • Date pay run will be paid.
    • Manually add employees to this pay run.
    • Create pay run with empty pay.
    • Import timesheets:
      • Timesheets for this pay period.
      • All unpaid timesheets.
      • Don't import timesheets.
  6. Click the Create button.
    InstaPay_3.jpg
  7. Click on the employee's name who InstaPay deduction verified.

    Helpful Hint

    You will now see the payroll platform has automatically applied the employees InstaPay deduction to the pay run.

    InstaPay_5.jpg

    Important

    Repeat instructional step 7 for each employee who needs an InstaPay deduction verified.

  8. Click the Finalise button.
    InstaPay_6.jpg
  9. Complete the following fields:
    • Date paid.
    • Create pay event:
      • Create pay event manually at a later date.
      • Create pay event immediately.
  10. Click the Finalise button.
    InstaPay_7.jpg
Stage 3: Reporting on an InstaPay deduction

The Payroll platform allows you to run a report that will show the InstaPay transactions processed within your organisation.

The steps on how to run this report are:

  1. Log into Employment Hero Payroll
  2. Click the Reports menu.
  3. Click the Deductions submenu.
  4. In the Deduction Category, select EH InstaPay Post-Tax Deduction.
  5. Complete the following fields:
    1. Data range.
    2. Pay schedule.
    3. Employee defaul location.
    4. Employee.
    5. Employing entity.
  6.  Click the Run Report button.
    InstaPay_8.jpg
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