The salary overpayment resulted because . Benefits you received to which you were not entitled are known as overpayments.This file contains a sample letter for notifying terminated employees about overpayment issues. What is an overpayment of wages? Can you reclaim an overpayment of wages to employees? Download this Overpayment of Wages Letter template as a Word document to make it easy to negotiate the repayment of overpaid wages with your employee.