There will be occasions where you'll have to pay a backdated salary for your employee in the month following the actual month it should have been processed in (e.g. Processing a backdated salary for June in the month of July instead).
You can include this in the following payroll month (e.g. July) using the steps highlighted below:
Process payroll for the month as per normal for all your employees. Head to Payroll > Payroll Settings > Process Payroll
For the specific employee, include the required backdated salary as an itemised 'Backdated Salary' pay item under the Ad Hoc Payment/Deduction tab in Step 3 - Select Pay Items in Payroll
Do ensure that you have included any remarks (e.g. "Backdated salary for June 2020") under the Remarks section when keying in the pay item for your employee for better clarity
Continue with processing payroll as per normal for the rest of your employees in Talenox 😁
Utilising the "Backdated Salary" pay item in Talenox payroll will classify these backdated salary amounts as part of Additional Wages in CPF calculations for the employee.
If you are unclear if backdated payments for the month contribute to Ordinary or Additional Wages, I'd suggest for you to refer to this FAQ from CPFB's website for reference.
This clearly lays out how backdated wages should be classified below:
Ordinary Wages (OW) - If back payment was due or granted to the employee but was administratively delayed.
Additional Wages (AW) - If you give your employee retrospective salary increments for the past months on top of the current month’s salary increment
Backdated wages classified as OW will be subjected to late payment fines by CPFB.
If you'll need to key in the backdated wages for the employee as OW in the previous month, you'll have to update the employee's payroll for the previous month in Talenox to have this shown in your employee's payslips for the month.
Thereafter, any late payment fines should be settled by the company directly with CPFB. 🙂