Finance Policy 012 - Handle Rejected Transfers

1. PURPOSE

1.1. Handling rejected payroll and benefits transfers.

2. APPLICABILITY

2.1. All types of employees.

3. DEFINITIONS

3.1. N/A

4. POLICY

4.1. The fastest payment method (check or individual transfer) should be selected when handling rejected transfers.
4.2. The bank transfer is done according to the authorities agreed on with the bank.
4.3. The check should be approved according to the authority matrix.

5. PROCEDURE

5.1. This process should be happening upon receiving the bank statement for accepted and rejected transfers of the payroll.
5.2. The accountant reviews the transfer data, checks on the rejection reasons, and amends the data if needed.
5.2.1. The transfer process might be rejected for any reason such as a mistake, mismatch in beneficiary data, or a problem in the employee’s account.
5.3. After reviewing the data and doing any required amendments, the Chief Accountant directs to either issue a check or make an individual transfer.
5.4. In case of issuing a check for the beneficiary, the accountant of payable prepares the check and he must notify the beneficiary to receive the check. If the beneficiary does not receive the check, the check amount is deposited in the rejected payroll account.
5.5. In case of an individual transfer, the accountant makes the amendment needed then the transfer is done upon the approval of authorized personnel.
5.6. The Chief Accountant gives the final approval for the transfer.

6. RESPONSIBILITIES

6.1. The accountant is responsible to prepare check or an individual transfer.
6.2. The accounts payable is responsible to Identify individual transfer or issuing checks.
6.3. The Chief Accountant gives the final approval for the transfer.
6.4. The CEO is responsible for signing the checks.

7. APPENDICES

8. REFERENCES

8.1. N/A.

9. DEVELOPMENT TEAM