Reverse a Paycheck

Avionté Web Platform - Paycheck Corrections

This article is part of series that describes the considerations and processes when correcting a payroll check. This specific article is italicized and bold in the series table of contents below.
This article ONLY describes how to correct a paycheck. For more information on processing an invoice correction, see the Invoice Corrections help article.
Reverse a check if there was an error and the employee has already cashed the check or has deposited it via ACH. A reversal will create an Advance Bank transaction which will deduct or add funds to the employee's future paycheck to remove the outstanding balance.

For more information on reversing a paycheck with transaction-level adjustments, such as reimbursements, per diems, equipment deductions, etc., see the Reverse a Paycheck with Transaction-Level Adjustments help page.

Reversing a paycheck will affect the Tax Report. Taxes are always tied to the date on the check. If the check was issued in Q2, and a reversal was done in Q3, the correction will be shown in Q3. The reversal will not appear in Q2.  

Related Notes

  • The Advance Bank in the employee's record doesn't affect any reports until the new check/next check is processed for the employee.

  • If a check has an incorrect deduction, but has not yet been distributed nor cashed, could be voided instead of reversed. 

  • Any Agency or non-employee check that has not yet been distributed or cashed should be voided instead of reversed. In versions 16.1 and newer, an error message will display preventing any non-employee checks from being reversed.

Tutorial Video


Process a Paycheck Reversal

  1. From the Main Menu, navigate to Back Office > Paycheck

  2. Perform a search, using the search field at the top of the window, to display results in the Paycheck search grid.

  3. Select the paycheck to reverse by double-clicking on its row.

  4. Click the Actions menu.

  5. Click Reverse Paychecks. The Reversal Paycheck window displays.

  6. Fill in the fields with the appropriate information: 
    Note: The Errors & Warning tab is only available in versions 16.1 and newer. 
    Note: Generate Original Pay Units should be checked when you need to bring the transaction back into Time Entry to adjust hours or rates. 

    Field Description
    Accounting Period

    Select the appropriate accounting period.

    Note: Avionté best practice is to process any paycheck corrections in the current accounting period.
    Check Date

    If the original check and the corrected check are issued in the same filing year, set the date to either today's date or a date in the future. 

    Note: All corrections should be made in the current accounting period when possible. Do NOT backdate the check date unless it meets the special circumstance outlined below. Manipulating this information will affect quarterly and year end tax filings.


    If the original check was issued in the previous year (i.e. December 2017) and the correction is processed in the current year (i.e. any time in 2018), set the check date to the last day of the previous year (i.e. December 31, 2017). Processing the correction in this way will avoid negative wages in the current year. If this is not done it can lead to severe errors in your end of year process.

    Note: If the check correction was processed across filing years, as described above, it is necessary to amend the previous year filings. Consult your financial adviser for more information.

    In versions 16.1 and newer, the config option CheckCorrectionWindow controls the window in which the date can be set. A red exclamation point will indicate if the chosen date falls outside of the window. View the CheckCorrectionWindow help page for more information. 

    Run Type "Check Reverse"
    Bank Select the Bank account that will be used to processed this reversed check.

    Enter information regarding the reversal of the check.

    Note: This is an optional field.
    Generate Original Pay Units Check this box to insert a transaction back into Time Entry so that the pay units can be readjusted. Only check this box if you need to update the transactions (units, quantities, etc.).


    Apply State Minimum Wage

    Check this box to apply the state minimum wage to the pay units. In some states you can elect to pay the employee the state's minimum wage if the employee walked off the job.

    Reason Enter or select a reason why the check is being reversed.
  7. Click Finish. The check has been processed, and a message that says "Paycheck reversal has been processed" displays.

  8. Click OK.
    Note: Certain DRMs will run prior to the batch process and any errors will appear in the "Error & Warning" tab.

    • Mark the Approve checkbox to approve of any warnings.
      Note: The user will have to cancel the batch and fix severe errors prior to processing and posting the batch.  
    • Click Finish to finish the batch processing. 

  9. Another message that says "Payroll has been posted" will display. Click OK.
  10. If you clicked Generate Original Pay Units in step 6 you will now return to Time Entry to make any adjustments, and then proceed through the payroll process as you would for any normal check.
    Note: Please double check that the check date selected when issuing the new check is the same year and quarter as the initial check being corrected. If it is issued in a different year or quarter as the initial check, it can cause severe errors during your year-end process.



Employee Ann Smith’s check (#12345) was paid a gross amount of $550.00. Taxes amounting to 125.00 were then deducted, leaving her with a Net amount of $425.00. She was given a reimbursement of $450.00 (a negative deduction created in Time Entry) leaving her with a check total of $875.00.

Ann Smith #12345

Gross: $550.00 -
Taxes: $125.00 -
Deduction: -$450.00
Total: $875.00

She cashed this check, before it was voided, necessitating a reversal. If we reverse check #12345, the system will create rv12345 that voids out check #12345, creating a net pay of $0.00 between the two checks and keeps Avionté’s record complete.

Ann Smith rv12345

Gross: -$550.00 -
Taxes: -$125 -
Deduction: $450.00
New Advance Bank Total: 875.00

The system will also produce an Advance Bank deduction of $875.00 on the employee’s record to recoup the original funds from her next check. However, when reprocessing the new check, we will need to edit the check to increase the Advance Bank deduction make up for the $450.00 reimbursement paid on the reversed check.


Ann Smith #12346

Gross: $550.00 -
Taxes: $125 -
Deduction: -$450.00 -
Advance Bank Total: 425.00
Check Amount: 450.00

Make Edit in Payroll > Checks

Ann Smith #12346

Gross: $550.00 -
Taxes: $125 -
Deduction: -$450.00 -
New Advance Bank Total: $875.00
Check Amount: $0.00


Increasing this to match the Advance Bank amount listed in the Employee record will subtract this amount from the next check and recoup lost money.

Note: The Advance Bank amount should not be increased to the point where the final check delivered check is negative. 



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