By Natasha Monkman and Alyson Frankie ( April 2, 2019, 2:28 PM EDT) -- When an employer overpays an employee, it is tempting to think the solution is simple: arrange for a repayment agreement. However, the rules regarding treatment of income tax and government plan deductions, particularly when the overpayment is in a prior year, are complicated and put most of the onus on the employee. These requirements make an awkward situation all the more difficult, leaving both the employer and the employee frustrated. As a result of the errors created by the Phoenix payroll system, the federal government experienced this frustration firsthand, which has led it to propose a new, more straightforward approach....