Setting up an Employee for Additional Voluntary Superannuation

Sunstate_Fruits

I have an employee (Employee A) who requested to deduct an additional $50 per week superannuation from their weekly wage. We have an existing employee (Employee B) who does the same but for a different amount ($10 per week) however Employee B's superannuation is being paid to a different Super Fund.

For this reason I created a new Payroll item for Employee A and mirrored the settings/selections based on the payroll item set up for the Employee B only changing the Superfund and the value. Upon closer inspection, I have just realised that the payment of $50 for Employee A has only deducted once and not in the subsequent pay runs.

I can't understand why this has occurred and what I have done for the deduction not to occur each weekly payroll run.

Sunstate_Fruits

It is possible that this problem is being caused because I have not ticked the checkbox "Tick if the limit is per pay period"?

Acctd4

You need to remove the Limit amount completely! This field is to prevent amounts being deducted in excess of any Limit amount specified, therefore, if you've entered a limit of $ 50, it won't deduct any more than this in total (hence only the one amount of $ 50 has automatically deducted)

Is the employee salary sacrificing (deducting from gross earnings to reduce their PAYG tax) or is the $ 50 to be deducted from their net pay ?

The Member Voluntary type is only if the deduction is not affecting their tax, otherwise the type should be Salary Sacrifice 🙂

Sunstate_Fruits

Hi Shaz,

thank you for your reply. I do want to set up the employee as salary sacrificing.

Do you know the steps on how to set this up in Reckon, as I have not done this before?

Regards,

Sarina