Employer Additional Superannuation

lisasnow

I have reckon (basic) and I need to add Employer Additional Super to my payroll. Can I do this on the basic (free) app? And if so how?

Thanks

Lisa

Rav

Hi @lisasnow

The Payroll App allows you to customise the super guarantee % rate for any employee that you're including in a pay run.

There's some info on this in our 'Creating a Pay Run' help video which I'll link below (around the 2:30 mark) -

https://www.youtube.com/watch?v=c0SnZM8TBJo

Gregus

Hi Lisa,

I'm attempting to do the same without success as the video doesn't mention Employer Additional.

Were you able to set it up? If so, would love to know how you did it.

Thanks

swakhlu01 .

@Gregus The Payroll app has no field to separately display the Employer Additional super component also called Reportable Employer Super Contribution (RESC) in the payrun.

However, Payroll App will report any amount calculated with a rate of more than10% in the Super Guarantee field as Additional super once you submit the Payrun. (Make sure you choose a Pay Date and period that is prior to 1st July 2022). But this will only work if the Total earnings reported in Payrun is substantial as the maximum superannuation guarantee rate that can be entered is 99.99 %.

For example -

Total earnings in Payrun = $100.

Super guarantee rate = 99.99% (max you can enter).

Super guarantee amount as calculated = $99.99.

The app will report $10 (10%) as super guarantee and rest $89.99 as RESC to ATO when the Payrun is submitted.

This can be confusing but I understand Reckon might add a separate Additional super calculation feature in this product in future. You do also have the option to use Salary Sacrifice Superannuation to create Additional super contribution but that depends on the circumstances and arrangements under which the contribution is made. You tax agent might b able to clarify this.

You can also report Additional Employer superannuation payment outside of STP by using the appropriate ATO forms. Perhaps your tax accountant can advise you on the best method.

lisasnow

@Gregus I did exactly what @swakhlu01 . has said to do. Hopefully my accountant is ok with this!!! It would be much better if this could be separate in the future as an update to the app.

swakhlu01 .

@lisasnow @Gregus Please note the method I have explained is my personal opinion based on my experience and information on this community page. It is a clarification of the material presented in this post by the Reckon Community support team. I am a Reckon app user like you all.

However, it is best to seek advice from your tax accountant about the way this applies in your circumstance as I had advised.

Rav

Just adding to the above, functionality for employee additional super will be included in the next update coming to the Payroll App targeted for release later this month.

lisasnow

@swakhlu01 . Yes I had already done it a month or so ago after reading the community page.

@Rav that would be fantastic for the next financial year. I’ll look out for it.