Diagnosis
Certain wagetypes can be changed retroactively when overpayments havebeen made to an employee in a previous tax year. Standard wage typescannot be changed retroactively in a previous year, once statutoryEnd-of-Year Reports have been produced. Therefore, /Z wagetypes arecreated to perform the necessary retrocalculation in the previous taxyear, which appear as negative wagetypes when they are carried forwardto the current payroll period in the current tax year.
Examples of / Z wagetypes are given below:
Wage Type,, /Z WT Equivalent,, Wagetype Name
/101,, /Z01,, Total Gross Pay
/P20,, /ZP0,, Tax-free Pension Contributions
/P21,, /ZP1,, Tax-free AVCs
/SPY,, /ZSP,, SSP Payment
/MPY,, /ZMP,, SMP Payment
/112,, /Z12,, Widows & Orphans Fund
Example:
An employee was incorrectly paid SSP in March of a given tax year. Thiswas entered in wagetype /SPY in the March payroll run and reported inEnd-of #Year processing on statutory forms P14 and P35.
To make a retrocalculation correcting this overpayment in the previoustax year, the SAP R/3 system creates a wagetype SSP EOY Adjustment
(/ASP) for the March payroll run for the employee concerned, tocorrect this overpayment of SSP.
The wagetype /ZSP is then carried forward into the current payrollperiod in the current tax year.This /Z wagetype then creates wagetype/SPY in the current pay period, which has a negative value reflectingthe previous overpayment of SSP to the employee.

System Response
The SAP R/3 system creates the appropriate / Z wagetype as describedabove, resulting in a negative wagetype in the current pay period.