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Friday, 20 December 2013
For many, the level of complexity for processing contributions to multiple funds, each with their own criteria for accepting data and payments, can be high and time consuming.
The new Superannuation Data and Payment Standard is designed to standardise the process for making contributions. This standard applies to medium to large businesses from 1 July 2014 (20 or more employees) and for small businesses from 1 July 2015 (19 or fewer employees).
The standard will help ensure employers can make employee superannuation contributions in a more consistent, timely and efficient manner without the current complexities employers face.
The standard will require employers to only make contributions electronically by providing a payment reference number that can be reconciled by the receiving fund to the data sent and payment amount made.
Furthermore, from now until the standard applies the Tax Office will offer validation services to assist employers with the information sent under the new standard. One such service will be the EmployerTICK service which allows employers and service providers to match an employee’s TFN to their superannuation fund details before a contribution is made.
Lastly, the Tax Office will provide education and support tools in relation to the new standard.
For more information click here.
Sunday, 15 December 2013
- The expenditure is considered to be excluded prepaid expenditure;
- The 12-month rule applies; or
- It is related to a pre-Review of Business Taxation (RBT) obligation.
For more information click here
From 1 July 2014, if you have 20 or more employees, you can use the new Superannuation Data and Payment Standard when making super contributions.
The standard offers a simpler way of making super contributions and, for many employers, will provide a single channel for making contributions to multiple super funds.
Under the standard, employers will need to:
- send all super data electronically (such as the employee's details and the amount of super being paid)
- make contribution payments electronically
- link data and payments with a unique payment reference number
- send data and payments on the same day
- upgrading your software so that it complies with the standard
- engaging a service provider who can meet the standard on your behalf
- getting advice from your super fund on how your business can meet the standard.
Find out more about the Data and Payment Standard on the ATO website.
We are a strong believer and proponent in business efficiency. Accordingly giving business the ability to comply with all their superannuation obligations quickly and easily and make payments from within their normal business software is a great step forward.
What does it mean?
Sunday, 10 November 2013
The employer must take care of the protected earnings amount, currently set at $333.53 per week. Generally with this method the amount instructed by DHS will preserve the protected earnings amount, however if the worker’s earnings varies for any reason it is up to the employer to preserve this amount.
Section 72A Payroll Setup
End-of-year Payment Summary
Child Support deduction is to be detailed on the payment summary in the deduction fields. Within the payment summary setup, link the child support deduction wage category to one of the Deductions fields, listing Child Support Agency in the Description field, so it will appear separately on the Payment Summary.
|You don't need to pay employees for time spent opening/closing a store or attending training outside normal work hours.||You must pay employees for all the time they are required to work.|
|Casual employees don't get leave.||Casual employees are entitled to some unpaid leave.|
|You don't have to give employees pay slips.||You must give all employees pay slips within 1 working day of pay-day.|
|As an employer you have to give employees three warnings before firing them.||There is no legal requirement that says you have to give three warnings.|
To find out more about employee rights and obligations, click here.
To find out more about other workplace myths and facts, click here.
Keeping in Touch is an arrangement between an employer and employee that allows an employee to remain connected to their workplace, assists in the transition back to work and has no effect on the PPL payments.
- An employee cannot use a day within the first two weeks following birth or adoption of their child;
- An employer cannot ask an employee to use a day within their first six weeks of birth or adoption;
- Both the employer and employee must agree in unison to do a Keeping in Touch activity on the chosen day, otherwise it will not proceed;
- An activity only counts towards an employee’s 10 day limit if the duration is one hour or more on the day that it is taken; and
- An employee using more than the 10 day limit will result in their PPL to end and be considered to have returned back to the workplace.
For more information on Keeping in Touch provisions, including related activities click here.
The booklet addresses the advantages of the new online business register, such as:
- Time savings - one central location to renew, register, update and search for business names;
- Lower compliances costs;
- A lower annual registration fee of $33 or $76 for 3 years;
- Single registration with nation-wide effect; and
- Free online searches for name availability, registration details and business ownership.
An ASIC key is a unique 11 digit number that is used for verification for each business name you have registered.
The booklet also goes through further points, which include:
- How to register for a business name;
- How to renew a business name;
- How to transfer a business name; and
- How to use the search function
To access the National Business Names register guide, click here.
Sunday, 13 October 2013
The new high income threshold for 2013-2014 is