Payroll Update 20 June 2022

News for School Payroll Staff


 

Kia ora

In this issue:

  • Matariki holiday and the first SUE Report
  • Visibility of fixed-term end dates
  • Update your printed payroll calendars
  • Leave entitlements in your School Leave Report
  • Tax calculations
  • Salary assessment and ACC claim processing update
  • Update employees' contact details

Matariki holiday and the first SUE Report

This holiday falls on the second Friday of the pay period, the day the first SUE Report is issued. 

In response, we’ll be extending the deadline for you to submit SUE adjustments via EP31s. 

Due to the extension of the SUE adjustment cut-off to 10am on Monday, our payroll advisors will have less time to process and check your EP31 submissions before the pay is run.

What you can do to help us process the pay on time:

  • submit all EdPay transactions on time, by the 5.30pm cut-off on Thursday 23 June
  • prioritise SUE Report checking for early on Monday 27 June 
  • remember that the SUE adjustments are only for corrections of transactions that are already listed on the first SUE Report
  • only call your payroll advisor if you really need to. While they welcome your calls, they will be busy processing your EP31s.
 

Visibility of fixed-term end dates

In response to your feedback we have added fixed-term employees’ current end dates to their pay details screen. 

If you edit their pay details, the current fixed-term end date will be displayed next to the 'update' field.



Update your printed payroll calendars

We have updated the two printable PDF calendars on the EdPay website to reflect the main payday for school employees now being Tuesday (day 14). Previously (prior to PP03), payments would be made late Tuesday/overnight and available in employees' bank accounts Wednesday morning.

Due to the pay cycle changes, we now provide the bank file to Westpac early Tuesday morning and they immediately start processing it. Employees are now being paid during the day on Tuesday and may see payments as early as Tuesday morning (depending on the bank). The calendar on the front page of the website has also been updated to reflect this.

The termination payday is still the Wednesday (day 1).


Leave entitlements in your School Leave Report

Due to pay cycle changes, your School Leave Reports may appear to be incorrect (this applies to any report since the pay period ending 3 May 2022). We are working on improving the accuracy of information in these reports and can assure you that we do hold correct leave information, which will be used for the calculation of leave balances, bookings and termination pay.


Tax calculations

We have recently had some tax calculation queries. Tax is calculated based on the earnings an employee has had in the pay period to date. This means that if an employee receives pay in more than one of the three pays now run each pay period (termination pay, out of cycle pay or main pay) the second and third payments will have their tax calculated based on the total earnings in the pay period.

Example:
An employee on tax code M was paid:

  • $3,668.94 in an out of cycle pay
  • $2,145.95 in a main pay in the same pay period
  • tax calculated on $3,668.94 in the out of cycle pay would have a total PAYE of $915.08

In the main pay, the full earnings for the period of $5,814.89 ($3,668.94 out of cycle pay and $2,145.95 main pay) are used to calculate a total PAYE of $1,646.34 ($915.08 from the out of cycle pay + $731.26 from the main pay).


Salary assessment and ACC claim processing update

As we outlined in our Payroll Update on 31 May, salary assessment applications and ACC claims are taking longer than usual to process. The size of the queue for both is reducing, and we are making headway to clear the backlog. For salary assessments, we have prioritised and worked through the new teacher applications, as this group was disproportionately affected by delays in assessment. We are now working through the rest of the backlog in the order in which they were received. For ACC claims, we are continuing to work through and make progress on outstanding claims, but the team is experiencing reduced capacity due to illness. We appreciate your continued patience while we do this.


Update employees' contact details

Please check all of your employees have current details and make updates in EdPay where necessary. From time to time we do mailouts directly to employees and having correct contact details will ensure that they don't bounce.

Ngā mihi
Education Payroll Limited