Salary Arrears Calculation Sheet Template for Excel

Salary Arrears Calculation Sheet

Business Kate

A company needs to know all about salary arrears, as this is the unpaid wages which an employee is owed. This is for work which has already been done. Sometimes an employer may not pay the employee on time because they do not have sufficient funds, or there may be some delay in processing the payment. Whatever the reason, it is important to know how much needs to be paid, and a salary arrears calculation sheet can be helpful here.

A Salary Arrears Calculation Sheet is a document or spreadsheet used to calculate and record the unpaid salary amounts that an employee is entitled to receive for a previous period.

This sheet is used to calculate the amount an employee is owed for work they have completed but have not yet been paid for.

Salary Arrears Calculation Sheet Template for Excel

Format: MS Excel (.xlsx) -112 KB

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This sheet is important as it ensures an employee is paid what they deserve. The employee will know the payment process is transparent and they are getting paid for the work they did. The employer will also have an idea of how much the employee still needs to be paid. The sheet can be kept as proof in case issues occur related to payment.

The sheet includes details about the employee who needs to be paid. The original salary structure can be mentioned along with the revised salary structure. The sheet will calculate the arrears for every affected month. The total arrears amount will also be known.

A salary arrears calculation sheet has the following:

  • It lets the employer know how much the employee still needs to be paid for the work they did.
  • The employee will know whether they are being paid fairly.
  • The sheet can be kept in the records of the company in case an employee claims they were not paid for the work completed.
  • An organization will know where money is being spent and for what reason.
  • It may take much time to include the relevant details for all employees and calculate the salary arrears.
  • If any mistake occurs in the calculations, the sheet will be invalid.

How to make a Salary Arrears Calculation Sheet?

The sheet must be made carefully if mistakes are to be avoided. The following are some points that can be helpful when making this sheet:

Format of sheet:

The sheet is a professional document and should have a formal format. The heading can be “Salary Arrears Calculation Sheet”. The name and contact information of the company must be mentioned. The period the sheet is dealing with can be included. The name and post of the employee should be mentioned.

Create table:

The table can have a column for the month that mentions the months of the year. A column for basic salary can be included and another one for revised basic salary. The total salary arrears can be calculated in another column. At the bottom of the table, there can be a row that calculates the total salary arrears for the year that needs to be paid to the employee.

Keep it simple:

If the sheet is to be used and if it is to be regarded as professional, it should only include the information that is relevant so that no one gets confused.

Conclusion:

A company that does not regard salary arrears as being important can face legal consequences. All employees must be paid in full what they deserve for the work they have completed. In case any issue arises where they cannot be paid, they must be paid later on.

 It is important that the employee knows they are being paid rightly and the employer needs to calculate this accurately as well. This is where a salary arrears calculation sheet can be helpful when it is made carefully and includes only the required details.