Originating Author: Revised by: ISBN th Edition Revised June BSBFIA302A Process Payroll BSBADM308A Process Payroll

(1)

A

S

t

e

p

b

y

S

t

e

p

A

p

r

o

a

c

h

t

o

P

r

o

c

e

s

i

n

g

P

a

y

r

o

l

u

s

i

n

g

M

Y

O

B

A

c

o

u

n

t

R

i

g

h

t

P

l

u

s

v

1

9

C CooppyyrriigghhttNNoottiiccee::

No part of this material may be reproduced or copied in any form or by any means (graphic, electronic or mechanical, including photocopying or by information retrieval systems) without permission in writing from Software Publications

Originating Author:

Marian Brown, Dip Teach [Commerce], MICB BAS Agent

Cert IV Training and Assessment, Cert IV in Financial Services [Bookkeeping] MYOB Certified Consultant for 16 years

MYOB Accredited Author, MYOB Accredited Trainer

Revised by:

Leanne Berry, MICB

Cert IV Workplace Training and Assessment, Cert IV in Small Business Management, Cert IV in Frontline Management, Cert II in Quality Management

MYOB Certified Consultant for 6 years

MYOB Accredited Trainer, Member MYOB Partner Advisory Group BAS Agent

The Numbers Game

[email protected] www.thenumbersgame.com.au

P

Puubblliisshheerrss::

Software Publications Pty Ltd [ABN 75 078 026 150] Head Office – Sydney

Unit 10, 171 Gibbes Street Chatswood NSW 2067 Phone: 1 800 146 542

Web address: www.softwarepublications.com.au

ISBN 978-1-921780-05-9

4th Edition

Revised June 2011

BSBFIA302A – Process Payroll BSBADM308A – Process Payroll

(2)

MYOB®, MYOB AccountEdge®, MYOB AccountRight™, MYOB AccountRight Plus™, MYOB

BusinessBasics™, MYOB FirstEdge®, MYOB M-Powered®, MYOB M-Powered Services™, MYOB M-Powered Bank Statements™, MYOB M-Powered Invoices™, MYOB M-Powered Payments™, MYOB ODBC Direct™, MYOB PowerPay®, MYOB AccountRight Premier® and MYOB AccountRight Enterprise® are registered trademarks or trademarks of MYOB Technology Pty Ltd and their use is prohibited without prior consent. Ceedata, Solution 6 MAS and Xlon are registered trademarks or trademarks of Solution 6 Holdings Limited, a member of the MYOB group.

Bpay® is a registered trademark of Bpay Pty Ltd, ABN 69 079 137 518. MasterCard® is a registered trademark of MasterCard International Inc.

Microsoft, Access, Excel, Internet Explorer, Office, Outlook, Smart Tags, Windows and Word are registered trademarks or trademarks of Microsoft Corporation in the United States or other countries.

VISA® is a registered trademark of Visa International Service Association.

Other products mentioned may be service marks, trademarks or registered trademarks of their respective owners. Screen captures from MYOB AccountRight Plus v19 reproduced with permission.

Limitations of Liability:

This material is designed to provide basic information on how to use MYOB AccountRight/AccountRight Plus v19. Because business circumstances can vary greatly, the material is not designed to provide specific GST or business advice for particular circumstances. Also, because aspects of the GST are complex and detailed, the material is not designed to comprehensively cover all aspects of the GST. Further, the laws implementing GST and rulings and decisions under those laws may change.

Before you rely on this material for any important matter for your business, you should make your own enquiries about whether the material is relevant and still current, and whether it deals accurately and completely with that particular matter; and as appropriate, seek your own professional advice relevant to that particular matter.

This information is for the general information of MYOB clients and is not to be taken as a substitute for specific advice. Consequently Software Publications Pty Ltd, Leanne Berry and Marian Brown will accept no responsibility to any person who acts on information herein without consultation with Software Publications Pty Ltd.

The information in this book is relevant to MYOB AccountRight Plus v19. Earlier or later versions of MYOB AccountRight software could change the instructions in this workbook.

References to websites may also change owing to the changing nature of this type of information.

Please note:

The information in this workbook is accurate at the time of printing [June 2011] only. Because payroll legislation and associated websites are constantly changing, URL’S and screen dumps of websites in this workbook may have changed.

(3)



U

_U

n

_n

i

_i

t

_t

5 ₅

:

_:

P

a

_a

y

_y

m

_m

e

_e

n

_n

t

_t

o

_o

f

_f

D

e

_e

d

_d

u

_u

c

_c

t

_t

i

_i

o

_o

n

_n

s

_s

W

_W

i

_i

t

_t

h

_h

h

_h

e

_e

l

_l

d

_d



Learning Outcomes

On completion of this unit, you will be able to

 record the payment of superannuation to Superannuation Funds;  print an Instalment Activity Statement for the month;

 record the payment of PAYG Withholding to the ATO;  record the payment of deductions; and

(4)



PRINTOUT 9 – Superannuation Accrual by Fund [Detail]

(i) Select “Reports” in the Command Panel. (ii) Select “Payroll” Reports.

(iii) Under the “Superannuation” heading, double-click on “Accrual by

Fund Detail”.

(iv) In “Report Customisation”, select “All” Funds for the “Current” month.

(v) Select the “Report Field” TAB and select “Employee Membership #” like this:

(vi) Select “Display”.

(vii) In “Screen Report”, change the width of columns so that this report can be printed on A4 Portrait paper like this:

Column width can be adjusted by clicking and dragging on the indicators next to the column headings.

(5)

Your report should look like this.

(6)

of next month

To record the payment to “Asgard Superannuation Fund”:

(i) Select the “Payroll” Command Centre. (ii) Select “Pay Liabilities”.

(iii) Select the following options to pay superannuation to “Asgard”

(iv) Check the amount with Printout 9 on the previous page. (v) Select the payment of this amount and complete the cheque. (vi) Record the payment.

(7)

@ Superannuation Guarantee – a guide for employers

As the employee processing pays, you should have access to the above document. Go to www.ato.gov.au or google and search for “NAT 1987” [mentioned in Unit 2].

This document is almost 40 pages long. View the document and be aware of the content so that you can refer to this document at any time.

Reprinted below are the payment rules and regulations.

Quarter Cut off dates for contributions

1 July – 30 September 28 October

1 October – 31 December 28 January

1 January – 31 March 28 April

1 April – 30 June 28 July

If you currently make more frequent contributions due to the conditions of your industry fund, an award obligation, an agreement or through personal choice, you should continue to do so.

From 1 July 2005, employees could choose their own Superannuation Fund. If eligible, employer must hand the Standard Choice Form to new employees within 28 days of starting work.

To print the Standard Choice Form in AccountRight, select the following option in the employees “Payroll Details”.

If no fund is selected by an employee, then superannuation will be paid into the employer’s default fund. This fund must have provisions for default death cover and must be a complying fund with minimum life insurance.

Employees will be able to exercise choice of super fund every 12 months. Employers must keep fund records for 5 years after termination.

For more information on Choice of Fund:

http://www.ato.gov.au/individuals/content.asp?doc=/content/00105466.htm&pc=001/002/064/002/001& mnu=1101&mfp=001/002&st=&cy=1

(8)

Go to www.ato.gov.au and search for “Employer guide for reportable employer

superannuation contributions”.

Federal legislation that took effect from 1 July 2009, requires that some superannuation contributions that are additional to the compulsory superannuation guarantee rate of 9%, be reported to the ATO.

Contributions are reportable if;

 The employee influenced the rate or amount of super that the employer contributes

 The contributions are additional to the compulsory contributions the employer must make under any of the following;

 super guarantee law

 an industrial agreement

 the trust deed or governing rules of a super fund

 a federal, state or territory law

Contributions an employer makes where the employee did not influence the amount, and any after-tax contributions, are not reportable

Reportable employer super contributions are not included in your employee’s assessable income, however:

 you must report them on the Payment Summary

 your employee must report them in their income tax return

 reportable employer super contributions will affect a range of government entitlements and obligations for individuals because these payments are now considered when calculating the following benefits:

 Medicare levy surcharge threshold calculation

 Medicare levy surcharge (lump sum payment in arrears) tax offset

(9)



Notes on Payment of PAYG Withholding Taxes

The amount of PAYG Withholding Taxes $2,142.08 is now paid with your GST, Fringe Benefits Tax and PAYG Instalment.

The ATO will send the business a Business Activity Statement [if your business is registered for GST] or an Instalment Activity Statement [if your business is not registered for GST or reporting PAYG monthly and GST quarterly].

Small withholders [up to $25,000 annual withholdings] need to complete the PAYG withholding fields of the Activity Statement and pay any amount owing for each quarter [or monthly if they choose].

Medium withholders [$25,000 to $1 million annual withholdings] need to complete the PAYG withholding fields of the Activity Statement and pay any amount owing for each month.

Large withholders [over $1 million annual withholdings] complete the BAS differently to report their PAYG withholding. [not covered in this workbook]



Completing the PAYG Withholding Fields on the BAS

(i) Select the “Accounts” Command Centre.

(ii) Select “BASlink”

(iii) Select “BAS Info”.

(iv) In this workbook, complete the BAS Information like this.

(v) Click on “OK” to return to “BASlink”.

(vi) Select your “Current Month” of the correct financial year, then select “Prepare Statement” and “OK”.