Incorrect figures EOFY

debbiepayroll

Hi my name is Debbie, just checking my end of year report and it is 3 payments too many.

I have checked and double checked the payroll entries and they are all correct.

Can I adjust this somehow.

Rav

The balances in the EOFY finalisation (and the Pay Summary screen) within the employee profile is made up of all your paid pay runs PLUS any initial YTD balance that has been entered for the employee either when they were first created or other point in time.

There's a detailed guide on understanding the pay summary balances in the article linked below -

https://community.reckon.com/discussion/8031392/understanding-the-pay-summary-balances-in-the-reckon-payroll-app

Does this apply in your instance? ie. have you entered any initial YTD balances for these employees when they were first created and/or at any other stage throughout the year?

debbiepayroll

Rav, not sure what I have or haven't done, especially with the change of the payroll app last year. Will double check my figures and see if I can find anything.

Rav

Hi Debbie,

Just to expand a bit more on my earlier reply, what I'd recommend you do first is check the Pay Summary in an employee's profile, it will more than likely show the same balances that you see in the EOFY finalisation. As mentioned above its made up of the balances from all your (paid) pay runs + any initial YTD balances.

If you'd like to verify what any initial YTD balances are for an employee, check out the instructions in the post I linked above under the 'How do I view Initial Year to Date (YTD) balances entered for an employee?' section.

debbiepayroll

Hi Rav

As per your suggestion I went into our employee’s pay summary and the amounts in the initial YTDs are the exact amounts that make the EOFY figures incorrect. What do I do now? Can I delete these figures to make the totals right.? Also, the super contributions are not right and there are no YTD amounts for the super.

Rav

Hi @debbiepayroll

Yes you can remove balances from the initial YTD area. Ensure that you've selected the appropriate financial year at the top ie. 2021/22 in this instance.

Then tap on a specific item and select the 'Delete item' option. Click done when you're finished. I've made a quick screen recording as an example below.

Rav

In relation to the super, can you give me a bit more info on that. Are the super balances on the EOFY finalisation over or under what your pay runs add up to?

Just something to keep in mind is, currently the End of Financial Year finalisation screen in the Payroll App displays super balances paid at the default rate only.

RESC components such as salary sacrifice and additional super paid over the default rate are correctly captured by the Payroll app and sent to the ATO as part of your STP submissions including the EOFY finalisation however any balances associated with RESC just do not visibly appear in the finalisation screen at this stage ie. its a display issue only.

Is that relevant to you and what you're seeing at the moment?

debbiepayroll

Hi Rav

the super amount listed is more than what we have paid for the FY

Eric Murphy

Just my opinion but I'd say you'd need to through your pay runs. Check whether you've paid them too much super in one or more of them

debbiepayroll

Thanks for your input Eric but have already done that and the issue has nothing to do with my entry but the program’s inability to be able to adjust to the amount we actually pay rather than assuming how much we are paying. Whatever, the amount is wrong and need to find a way to correct it.

Rav

Hi Debbie,

the program’s inability to be able to adjust to the amount we actually pay rather than assuming how much we are paying.

Can you give me a bit more info on what you mean with the above?

The Payroll App calculates the super component as a % of the earnings entered within that pay run (on earning items that are enabled for super calculation).

Essentially the total balance for super (and other items) should match your pay runs in the app that are marked as paid + any initial YTD balance entered for the employee in the app.

Can I grab a few things -

• The ABN that you've registered to your app account
• The total super balance that you see on-screen in the EOFY finalisation
• The total super balance that you expect to see

debbiepayroll

Sorry Rav but I won’t post my company ABN for all to see, but the amount on the app says $10800.00 and we actually paid $10392.00

This I presume is because we pay super monthly and the app pays per fortnightly payment. This year resulted in an extra pay week therefore the difference in amounts.

can it be changed through the app or do I have to contact the taxation office to clear this up.?

swakhlu01 .

@debbiepayroll if you need to send the ABN to the Community Manager you can do so by clicking on the photo icon in the post and select message. This will be sent as a personal message.

I am going through the details of the issue you have reported with regard to EOFY superannuation amount for your employee. The app will calculate the superannuation based on the earnings you enter for the pay period. In the previous FY that default rate was 10.0%. From this FY it is 10.5%. You can alter this rate upto 4 decimal digits (00.0001 to 99.9999) to calculate the amount of actual superannuation to be reported to ATO. It is unclear why the payrun frequency selected in the app is different to the actual payment frequency for the employee. It should be same. (i.e., monthly if that is when you pay the employee).

To adjust the $10800-$10392 = $408 difference in the EOFY summary -one option would be to create an adjustment payrun for the last submitted Payrun in June and select a superannuation rate that adjusts the excess $408 (assuming the previously reported super for that payrun was greater). Otherwise you may have to adjust the previous few payruns.

https://community.reckon.com/discussion/8031354/how-to-edit-an-existing-pay-run-and-send-an-adjustment-update-event-in-the-payroll-app#latest

The easiest option would have been to adjust the initial YTD summary but that would be possible if the super payment was in arrears not in excess as is your situation.

debbiepayroll

Hi Rav

Further to my issues with superannuation amount being incorrect.

The previous app allowed me to enter the monthly super amount we paid our employee and the eofy amounts equalled correctly.

Because this new app calculates it automatically and no option to change the amount the final figures do not match.

I have looked at the video but it still doesn’t allow for me to alter the superannuation.

to be honest I am over this and would like a firm answer as to how I can fix this problem. Even if I have to add an extra super payment to cover it so long as we get the amounts the same.

because the app is unchanged for this FY I am a guessing the same problem will occur again. The only problem with this is that the monthly amount we will be paying will not match the amount calculated by the app.

any more thoughts on this matter? I would like to finalise my employees tax summary asap.

why the tax department thought that this STP was a good idea for super small businesses with only one employee is beyond me!

debbie

swakhlu01 .

@debbiepayroll Sorry to know you still are having issues with entering superannuation payments for your employee Payruns. The Payroll app allows you to alter the super rate from 0.0001% to 99.9999% of the total earnings of the employee in a Payrun (default comes up as 10.5% which is the minimum super guarantee rate).

For example earnings = $1000 then superannuation calculated can be $0.10 to $99999.90. If you are paying the employees monthly you need to run Payruns monthly in the Payroll app (not fortnightly).

For the excess superannuation reported in FY2021/22 as mentioned previously you will have to adjust the last few Payruns by choosing the superannuation rate as explained above to get the correct amount and that way EOFY report will also show the correct amounts.