Running an extra payroll is similar to running a regular payroll. The key difference is in the first few steps.
To run an extra payroll, you must be on the Unlimited plan. The Solo plan does not accommodate off-cycles.
Run an extra payroll
1. In the navigation menu, go to Payroll.
2. Locate the relevant pay group, click the three dots icon, and select Run extra payroll.
3. Select the reason for the extra payroll run:
- Missed Payment: Annual Canada Pension Plan (CPP) exemption will be applied.
- Termination: Annual CPP exemption will be applied. You are only able to select one employee or contractor who has a status of termination. The pay period is determined based on the person's termination date, meaning the pay period will contain the last day worked.
- On leave: Annual CPP exemption will be applied. You can only select one employee or contractor who has a status of on-leave pending. The pay period is based on the employee’s/contractor’s leave date (their last working date). The final period will be the pay period in which the last working day falls.
- Other: You can select this option to choose if the Annual CPP exemption is applied or not.
4. Use the Select employee(s) and/or contractor(s) drop-down menu to select the relevant people.
5. Under Select pay period, select the pay period associated with the off-cycle.
6. Under Pay date, select your pay date and check the relevant boxes to meet your funding agreement:
- Direct Deposit
- Remit Taxes
Note: These options may be unavailable in some off-cycle payroll configurations; in that case, they will appear greyed out and you will not be able to check the boxes.
7. If you selected Other above, indicate if you would like Annual CPP exemption to be applied.
8. Click Continue. Proceed through the remaining payroll steps as usual.
9. Once you complete your review, click Approve.
Note: The annual Canada Pension Plan (CPP) exemption is a tax exemption applied in Canada to all employees who are subject to CPP or Québec Pension Plan (QPP). In Canada, every employee gets $3,500 in an annual exemption against all CPP contributions for the year against which all regular payrolls that are processed. For example, if a person is paid monthly, $291.66 is applied for each monthly pay period as an exemption against CPP. If you select Not be applied, we will still calculate the CPP/QPP percentage; however, it will not apply the annual exemption.
FAQ: Extra payroll run
- Anytime you wish to issue payment outside of your regularly scheduled pay dates. For example, a missed payment, termination, or bonus.
- You can only run an extra payroll for a pay period cycle that already exists. Consider creating a paystub memo if you need to add any information to the pay stub, such as what dates the pay is for.
- Our subscription plans are based on how many times you run payroll during a billing period. If you run an extra payroll, that means you are running at least two payrolls during the same billing period. If you're on the Solo plan, that means you'll need to change your subscription to Unlimited. Don't worry, you can change it back for the next month!