How to Run an Off-Cycle Payroll in GoCo Embedded Payroll

You need to run an off-cycle payroll in GoCo outside of your regular payroll schedule. Here's a step-by-step guide to running an off-cycle payroll in GoCo Embedded Payroll.

With this feature, you will be able to name your off-cycle payrolls to easily identify them in reports and audits, specify how you want the earnings in an off-cycle to be taxed, and report on your off-cycles through payroll journals. Use the links below to navigate. 

• How To Run an Off-Cycle Payroll Run
• How to Pull Payroll Journal Report for Off-Cycle Run 
• Can I use an Off-Cycle pay run for a Termination pay run? 
• Can I use an Off-Cycle pay run for a Bonus pay run?

How do I Run an Off-Cycle Payroll? 

1. Log into Your GoCo Account

• Use your credentials to log into your GoCo account. Make sure you have the necessary permissions to run payroll (Full Access Admin).

2. Navigate to Payroll

• From the GoCo dashboard, click on the Payroll tab to enter the GoCo Embedded Payroll processing dashboard

3. Select Off-Cycle Payroll

• In the payroll section, look for an option to start an Off-Cycle Payroll. This will allow you to process payroll outside of the regular schedule.

4. Provide Details of the Off Cycle Pay Run

• Here you will provide the following details:
  • Pay Period Date Range
  • Pay Date
  • Name your Off Cycle Payroll
  • Select Tax Withholdings (Standard or Bonus) 
  • Earning Calculations (Gross to Net or Gross-up) 
  • Deductions

📌 Note: When deciding on Earning Calculations deductions cannot be applied when choosing Gross-Up (net to gross) or Bonus Payrolls. 

You will find the Net to Gross earnings amount in a new column in the payroll grid like the one below.

5. Choose Employees to Include

• Select the employees you want to include in this off-cycle payroll from the Grid View. You can choose one or multiple employees, depending on the payment you’re issuing (e.g., correction, or missed payment).

• Once selected you will need to select the “Needs Review” button per employee. 

6. Enter Payroll Details

• Enter the relevant payroll information for the selected employee:
  
  
  • Corrections: Make any necessary corrections, such as adjustments to missed wages or overtime.
  • Reimbursements: Add any reimbursements, such as for business expenses, if applicable.

Our example here is $500 Additional Earnings from Missed Compensation on a previous Payroll. 

 

Note: Make sure you save entries made to each section edited. 

7. Review and Adjust Deductions 

• Mandatory Deductions: Mandatory Deductions are benefits from our system, that you opted to deduct or ignore when entering the set up details of the Off Cycle pay run in Step 4. 
  
  If deductions were selected, they cannot be adjusted at this step and you would need to start a new Off-Cycle Pay run. 
• Garnishments: Garnishments are not adjustable and will show on the Preview screen in the next step, if applicable. 
  
  

8. Preview Off-Cycle Payroll

• You will first select the Preview Button in the bottom right corner once all our entries are completed. 

• After selecting the Preview button, GoCo will get to work preparing your OffCycle Payroll Preview Details 

Before finalizing, GoCo provides an Off-Cycle Payroll Preview. This is your chance to review:

• Gross wages
• Tax withholdings
• Deductions (both mandatory and voluntary)
• Net pay for each employee 
  ⚠️ Net Pay will not include "Reimbursements", since they are not taxable

• Check for any errors or inconsistencies, and make adjustments if necessary.

9. Submit Off-Cycle Payroll

• Once you've reviewed and confirmed everything is accurate, click Submit Payroll to finalize the off-cycle payroll run.

• GoCo will process the payments, including handling direct deposits and generating pay stubs for the employees involved.

10. Receive Confirmation

• After submission, you’ll receive a confirmation that the off-cycle payroll was successfully processed. You can review the details or download reports for record-keeping.
• If you need to access the payroll journal after exiting this screen, you can find a copy in the Reports section
  
  

11. Pay Stub Distribution

• Employees will receive their pay stubs through their GoCo accounts automatically, detailing their off-cycle payment. Pay stubs are available on the Pay Date of the check. Employees will also receive an email notification. 

How to Pull Payroll Journal Report for Off-Cycle Run 

To view your payroll journal report for this off-cycle payroll run simply navigate to your Reports app as usual and select "Payroll Journal".

Now select "Off-Cycle" & then choose your run.

Can I use an Off-Cycle pay run for a Termination pay run?

GoCo strongly advises against using Off-Cycle pay runs for processing employee terminations. Off-Cycle pay runs are designed to issue payments outside of the regular payroll schedule for various other reasons. Below are some common scenarios where Off-Cycle pay runs are typically used:

• Correcting payroll errors, such as underpayments or missed hours
• Issuing special payments
• Paying overtime or reimbursements that weren't included in the regular payroll
• Providing retroactive pay adjustments
• Paying new hires before the next scheduled payroll

Termination pay runs are specifically designed to handle the final payment for an employee who is leaving the company, whether voluntarily or involuntarily. These payments are legally required to be processed within a specific time frame, which varies based on your state or jurisdiction's regulations.

Can I use an Off-Cycle pay run for a Bonus pay run?

Bonus earnings on an off cycle payroll will tax the bonus as regular wage. You will need to run a separate Bonus Payroll to receive the  supplemental 22% withholding rate.

For detailed instructions on how to process a termination pay run using GoCo's Embedded Payroll, please visit our guide: How to Run a Termination Payroll.

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There are several scenarios in which running an off-cycle payroll might be necessary. Check out Understanding Off-Cycle Payroll

For any additional questions, please reach out to us at support@goco.io 💚