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What is proration?

Updated: 9/11/2023

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The adjustment of benefits paid because of a mistake in the amount of the premiums paid or the existence of other insurance covering the same accident or disability.

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What procedures are used each payroll period to prepare the payroll?

Procedures for Preparation of Payroll each Period A Payroll is a list of employees receiving wages or salaries, with amount due to each. Further to this, other details about each employee are kept in the payroll such as sex, date of birth, state of origin etc. The payroll consist of two main sections: (a) Payroll Payments (b) Payroll Deductions PAYROLL PAYMENTSThese vary according to each organisation. For example, In Nigeria where most civil service salary has been consolidated, it consist mainly of consolidated salary and rent allowance. There could be other allowances such as High risk/hazzard, Shift duty, emolument arrears due employee etc. The total of all these makes the total emolument per each employee. Also, where time sheet are used to compute emolument, this forms the basis of payment. PAYROLL DEDUCTIONS Payroll deductions are those deductions that are made out of employees total emolument. The list also vary depending on organisation, these include tax, Labor union due deduction, thrifts or cooperative deductions, and other statutory deduction like pension fund, health insurance scheme, housing scheme, overpayment deduction, salary/wage proration etc. PROCEDURE: The list of all employees and their entitlement emanates from the HR or Registry of any organisation. This list of employees and their emolument/deductions are now maintained manually or automated. First and second check-run may be produced and checked for correctness. Final copy of payment is now produced. (It will be noted that contrary to the era of manual cash payment of salary or wage, salary are processed to individual bank online. This suggests that an employee bank details are kept in the payroll) The final copy may be produced in triplicate, a copy is passed to the internal audit, one is kept in the treasury or financial information system unit and the other for payment to the banks. This however, depends on the procedure of payment to banks adopted by each organisation. Subsequently, there could be variations ranging from Promotion, demotion, over/underpayments, new staff entrant, withdrawing/retiring staff, annual increments, bonuses, loan advances, deductions commencement and stoppages, etc. These are updated periodically as may be contained in the source document called variation sheet. For effectiveness and efficiency, there is what could be called periodic or monthly 'initialization'. This means that all payments and deductions that have to be stopped are wiped off at the beginning of each period to avoid over/underpayment. If the Dbase or Excel Spreadsheet are used for instance, then there could be fields or columns that are permanent and others temporary. The Permanent field store information that are not likely to change in the short run while the Temporary field will store information that are subject to change periodically. PAYROLL RECONCILIATION STATEMENT Different tabulation or schedule follow the payment of salary. These schedules list amount payable to various deductions and payment to banks that have been made. Unlike the normal reconciliation statement, Balance as per grand total emolument less all payment to banks and deduction schedules should give a nil balance. Again, there could be variation analysis report. This report shows the difference between last period and current period payment. Any increase or decrease must be duely accounted for by the variation sheet used/entered in the payroll for the period. BACK-UPS. An effective back-up systems is essential especially in an automated environment. There should be good backups of each period payroll. EFFECTIVE INTERNAL CONTROL SYSTEM It is imperative to stress that there must be an effective internal control system to prevent loop holes for fraudulent act. This properly put in place, will prevent fraud except in a case of syndicate.

Related questions

What does propration mean in math?

proration

What is a Diastasis recti and how does this happen?

The separation of the rectus abdominous, coursed by the stressing of the labia ulna, can happen due to pregnancy or highly obese people. Proration of organs and fatty tissue can be prevalent.

What does cams tax adj mean on pay statement?

CAM = "Common Area Maintenance" Especially in business leases where many of the costs are passed through and paid by the tennents, incl taxes, this is the prorated (or now ajusted proration) of those costs.

Is it required for seller to prorate real estate taxes?

Real estate tax laws in the United States vary state by state. However, I do not know of any state that requires the seller to prorate real estate taxes. Instead the proration of real estate taxes is local custom and generally written into an agreement to buy or sell real estate. Contractually, upon agreement of the parties involved, the real estate taxes are generally prorated so that whoever owned the real estate during the calendar year pays for that same portion of the real estate taxes.

What are some nine letter words with 2nd letter R and 3rd letter O and 5th letter A and 6th letter T?

According to SOWPODS (the combination of Scrabble dictionaries used around the world) there are 20 words with the pattern -RO-AT---. That is, nine letter words with 2nd letter R and 3rd letter O and 5th letter A and 6th letter T. In alphabetical order, they are: aromatase aromatics aromatise aromatize brocatels bromating probating probation probative probatory prolately prolating prolation prolative pronating pronation pronators prorating proration prosateur

Am I entitled to last month's rent and security deposit back if landlord entered into a new lease with a new tenant and granted access to my apartment to the new tenant before the end of the month?

If you had already moved out of the unit when the landlord granted access to the new tenant, then the answer is no. If you were living in the unit when the landlord let the new tenant in, then you are entitled to a proration of rent for the days when your possession was interrupted. Remember that in a court of law, you must prove damages, so your damages appear to be only the days of rent where another tenant had access to the unit. Since your state may provide additional protection to tenants, check with an attorney or tenant advocacy group.

What are some nine letter words with 1st letter P and 2nd letter R and 3rd letter O and 9th letter N?

According to SOWPODS (the combination of Scrabble dictionaries used around the world) there are 23 words with the pattern PRO-----N. That is, nine letter words with 1st letter P and 2nd letter R and 3rd letter O and 9th letter N. In alphabetical order, they are: proaction probation procaryon profusion progestin prokaryon prolactin prolation prolusion promodern promotion pronation pronghorn prooemion properdin propodeon proration prosimian prosodian protistan protozoan protozoon provision

What are some nine letter words with 3rd letter O and 7th letter I and 8th letter O and 9th letter N?

According to SOWPODS (the combination of Scrabble dictionaries used around the world) there are 27 words with the pattern --O---ION. That is, nine letter words with 3rd letter O and 7th letter I and 8th letter O and 9th letter N. In alphabetical order, they are: abolition adoration avocation bioregion ecoregion elocution evocation evolution exoration flotation isolation ozonation phonation proaction probation profusion prolation prolusion promotion pronation prooemion proration provision quotation quotition troparion violation

What has eye rhyme with elevation?

RelAxation, recompensation, revalation, alsatian carnation castration causation cessation cetacean citation creation cremation croatian crustacean dalmatian damnation deflation dictation dilation donation duration elation filtration fixation flirtation flotation formation foundation frustration gestation gradation gyration horatian hydration inflation lactation libration ligation location migration mutation narration negation nitration notation optation oration ovation plantation privation probation proration prostration quotation reflation relation rotation salvation sarmatian sedation sensation stagflation stagnation starvation summation taxation temptation translation vacation vaxstation vibration vocation

What are some nine letter words with 1st letter P and 3rd letter O and 8th letter O?

According to SOWPODS (the combination of Scrabble dictionaries used around the world) there are 31 words with the pattern P-O----O-. That is, nine letter words with 1st letter P and 3rd letter O and 8th letter O. In alphabetical order, they are: phonathon phonation ploughboy proaction probation procaryon processor professor profusion projector prokaryon prokaryot prolation prolusion promachos promissor promotion pronation prooemion proofroom propellor propodeon propretor propulsor proration prorector prosector protector protestor protozoon provision

What are some nine letter words with 4th letter R and 5th letter A and 8th letter O?

According to SOWPODS (the combination of Scrabble dictionaries used around the world) there are 43 words with the pattern ---RA--O-. That is, nine letter words with 4th letter R and 5th letter A and 8th letter O. In alphabetical order, they are: adoration attractor barracoon barrancos charangos corrasion courantos detractor embraceor epuration estradiol exaration exoration extractor guarantor huarachos hydration infractor iteration latration libration livraison midrashot migration narration neuration nitration nonrandom operation oviraptor proration refractor retractor serration spiration terrazzos thyratron titration ultracool ultraslow vibration warrantor zebrawood

How many words can you find in transportation?

The letters in transportation can be used to spell the words: airports ant ants antipasto apart apron arson as at inapt into intro iron irons narration no not notation notations oar oat on onion or pain pains paint pairs pan pants parrot parts pasta pastor patio patios patriots patron piano pianos piston point points poison poor porno portions portrait portraits ports positron potato print prints prior priors prison pronto proration ratio ration ratios riots roars roast roost roots rosin rotation rotations rotor saint satin snoop snoot snort sort spoon sport sprain sprint stain stair start stint stoop strain strait strap strip taint tarts tattoo tin tip titan toast torso train trains trait traits traitors transport trap trios trips troop troops trot trots

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