This policy sets forth the procedures for wage deductions to recover overpayments made due to mathematical or other clerical error. Best practice in my opinion is to void the overpaid paycheck and reissue corrected amount in your payroll system.An employee's overpayment debt may be waived in whole or in part. In the case of an overpayment or erroneous payment, a refund application is required. Heads of operating units may waive in whole or in part collection of a claim for overpayment of pay and allowances to their employees. State law requires that you repay your overpayment before we can pay further unemployment benefits.