What is included in the Reconciliation Invoice?

Article author
Nneka
  • Updated

We issue the Reconciliation invoice (Invoice #2) after the Payroll Pre-funding invoice (Invoice #1). The Reconciliation invoice, will compare costs actually incurred during the month to the amount collected on Invoice #1, the Payroll Pre-funding invoice. While we do all we can to ensure the Payroll Pre-funding invoice amount is as close as possible to what the actual charges will be, there are several common factors that can cause discrepancies: employees onboarding or off-boarding during the month, changes in local regulations, benefits changes, and variability in leave/working hours for each employee. Many of these factors can’t be known until the exact time payroll is run.

See also: What do the different invoice items mean?

The Reconciliation invoice includes:

  • Base monthly salary
  • Incentives
  • Expenses
  • Employer monthly social contributions
  • On Payslip Benefits
  • Management fee
  • Off Payslips costs
  • Other costs
  • Adjustments

Sample invoice

This is what a Reconciliation invoice with an outstanding credit looks like.

reconciliation_invoice.png

  • The Previously Billed column of the invoice shows the amounts we've billed you previously (on the Payroll Pre-funding invoice), by category. This is to allow you to have one consolidated invoice that includes all amounts.
  • The Final Actual column is the actual payroll costs for that month, and includes all items discussed above.
  • The Net Due is the total of these two, and can result in a positive or negative number. A customer has to pay the net total of the Payroll Pre-funding and Reconciliation invoice each month. 

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