Child Support Deduction
Hi, I have to start deducting child support payments for an employee, all I know is I will have to set up a Payroll Item in deductions? Are there any instructions for doing this?
- Do I need to set up a deduction individually for each employee?
- Where does the reference number go so when it gets transferred the child support agency knows who it's from?
- Do I have to send this separately to the pays?
Comments
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Hi Roslyn
- No, just like with any other Payroll Item, this Deduction should be set-up to be generic (eg with no amount on it) & able to be used for any employee as required. The specific amount/calculation should instead be in the relevant employee's record:
- It's the same as when you pay any other liability - you need to include the relevant reference number on the EFT/BPAY payment itself
- As per previous point, yes 😊
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Perfect, thanks for your help Shaz.
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Hi, Although I have set employee child support deductions up already the amount is no being deducted of his pay slip. I cannot work out why. Any advice would be great.
regards
Anne
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Hi @762300
Do you have the Payroll Item set up as a Deduction & does it show & deduct correctly on the Paycheque itself on screen ?
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Hi Shaz, I have set the deduction up and it shows on the pay slip but amount deducted is zero
Anne
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What does it show on the Paycheque itself on the screen ?
If it shows the same there, it sounds like just a configuration issue with the Child Support Payroll Item or in the employee record itself.
On the Payroll Item, check:
Calculate based on ...
NOTE: If you've selected the first (... quantity) option, you will need to enter a quantity on the Paycheque to generate the auto-calc
Default rate and limit (These should be blank as the specific amounts should be on the employee record itself):
In the Employee record, check there's no limit entered:
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Hi
Previously CSA was part of the STP Gross Figure . To balance I took the Gross figure and added the CSA but I now notice it is not part of the Gross Figure . Is this correct?
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Hi Kathy
I'm not sure if I'm understanding your question ... Although often calculated on Gross, Child Support is normally deducted from Net (otherwise this would be salary sacrifice!) Therefore it wouldn't be shown separately in STP2 at the moment (meaning the Gross would be reflecting pre-deduction).
Reporting of it is currently voluntary so Reckon haven't incorporated this as yet.
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Sorry for the confusion.
CSA Payroll Item:
Type: Dedcution
Tax Tracking : NIL
Gross or Net : Gross
It has been appearing in Payroll Summary :
Previously I would take the Adjusted Gross and add the CSA to equal the STP Gross Figure.
Now under STP2 the Gross Figure equal the STP2 Gross Figure. ( I do not need to add the CSA)_
Is this correct?
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Yes, that's correct.
The old STP "Gross ..." figure was the "Adjusted Gross Pay" in RA but the new STP2 is now the "Total Gross Pay" with the specific components also reflecting under each of their respective columns in the GovConnect portal 😊
(To confirm ... This is NOT a double-up, it's simply a change in how it's displayed)
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Many thanks Shaz for mentoring, its appreciated
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