So I made a post recently about how the payroll place gave me such a hard time about getting back the $5,000 I set aside for childcare. I wanted to give you an update:
I was sent a check in the mail. For $4,999.80.
I don't understand this. What happened to that extra 20 cents? I clearly spent over $5,000. Why did they deduct that 20 cents? I went to the website and it just said the 20 cents were "pending."
Obviously, I don't care about 20 cents. But I find it perplexing. Why didn't they give me that 20 cents. Is this some sort of scam where they take 20 cents from every client and it ends up somehow adding up to millions and skip off to another country?
I would push them hard for it, make them justify why it is short, the amount does not matter
ReplyDeleteMe too. It's not the amount, it's the principle behind it. If the money is mine, you can't have it, period.
DeleteInteresting. Maybe you're right about them doing that on purpose to generate income. I don't think banks will process checks for under $1 and the ACH won't process electronic transfers for less than $1 as far as I know.
ReplyDeleteYou could report them to your AG or the IRS if you don't get the full balance.
As an retired accountant, I would consider two possible things going on here. 1. There is a gov. regulation that states if the check is $5K or over it generates a whole bunch of paper work and reporting for them and possibly you. Or 2. This is a common method to embezzle. It doesn't sound like much, and it isn't for one check. But take that .20 and multiply it say 10,000 times or more and it will become a tidy little sum. Auditors look for this type of embezzling all the time.
ReplyDeleteI'm going to go with $.20 for postage and printing
ReplyDeleteFizzy is a physician. If she's paid monthly, her check is over $5000 all the time. For many physicians, if paid every 2 weeks it will be over $5000 so that shouldn't be the issue.
ReplyDeleteAnd I don't know what paperwork my bank deals with, but I've never had any issue at all with my paychecks.
This is now a different income that has a different tax treatment. Usually it was not taxed before it was withdrawn from her gross income and put into the Med Savings account.Paying it in specific increments may keep the income from going over a tax threshold. Paying over the threshold may make it a taxable event.
DeleteIf it were a matter of keeping the amount under $5,000.00, why couldn't they just send two checks for $2,500.00?
ReplyDeleteUsually for this to happen in offices it must be requested. There is very tight internal control when issuing checks. I used to run accounting departments.
DeletePostage?
ReplyDeleteThey did this just to irritate you.
ReplyDeleteSome would say it's only $.20 what's the big deal? But like many others, the first thing that came to mind was that $.20 from everyone could add up to a lot of money for whomever manages your FS (hospital vs. outside company)! While I was still teaching, FS was handled in district and many didn't want to use it for privacy issues (myself included)! Once it was taken over by an outside agency the number of users increased by what I felt like was an insane amount! Let us know!
ReplyDelete***Unrelated: I was sent to collections by the main hospital I use for $.01 (YES, ONE PENNY)! I paid about $8 to get the attention of the hospital CEO & it was worth every "penny!" He called me personally to apologize w/in four days of me mailing the letter.