Recording Timesheets with STP2 Disaggregation of Payments

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I use timesheet data, allocated to job sites to prepare pays. The new disaggregated hourly rate for my employess includes 3 components plus a travel allowance. Previously I added all these together and called it "daily rate inc. travel". This meant 1 line item in the timesheet per job/day.

Do I now need to create 4 line items for each day when recording a timesheet?

It is typical that my employees work on multiple sites/jobs each day.

If so, recording timesheets is going to be very time consuming and contain many entries

Answers

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,483 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    Hi Johanna

    It depends how it’s specified in the award or contract. If it specifically states a combined rate there, then it’s fine. However if it specifies the amounts individually as separate allowances & it can be broken down (disaggregated) then it must be.

    Note: Travel allowances have specific STP2 category mappings, depending on the type & purpose.

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Johanna
    Johanna Member Posts: 7
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    Yes, I get that. My award specifies 3 components of the hourly rate plus a travel allowance - yes with disaggregation all 4 components need to be reported.

    Is there any way in Reckon for items to somehow be linked so that they are reported via STP2 separately, but recorded in the timesheet area as a group?


    If not, my timesheet recordings are going to become very long.

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,483 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited July 2023
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    Unfortunately not - Allowances aren’t normally able to be added to a timesheet anyway (only Wage-type Payroll Items) ? 🤔

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Johanna
    Johanna Member Posts: 7
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    So, when I record timesheet entries, it is now VERY cumbersome.

    My employees receive an award hourly rate that is broken up into 3 types plus a travel allowance. When I record them working an 8.5 hour day with 4 line entries - 8.5 hours for each hourly rate component, plus the travel allowance, recorded as 1, it shows that my worker has worked 26.5 hours per day. This triggers a warning when entering and again when saving the timesheet because it appears that my employee is working more than 24 hours in a day.

    Surely there has to be a better way???

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,483 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    Allowances are not normally recorded on time sheets as they’re not a time-based quantity 😬

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Johanna
    Johanna Member Posts: 7
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    Shaz,

    You don't seem to be understanding. The hourly rate is divided into 3 components that all need to be reported. 8.5 hours worked per day means that I am recording 3 lines for that day at 8.5 hours each. Total that Reckon thinks my employee worked is 25.5 hours each day.

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,483 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited July 2023
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    The advice from our industry expert (who is on the panel with the ATO for STP) advised that the disaggregation is only necessary IF it’s possible to do so.

    What are the other “components” specifically ? They may not require splitting out. In fact, they may all actually be mapped to the same tax category anyway for STP 🤔

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Johanna
    Johanna Member Posts: 7
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    Shaz,

    I employ carpenters. Queensland Master Builders Association have provided the following summary of the award:

    Carpenter - 1st year - $16.64 including industry and tool allowances.

    STP2 Breakdown:

    Industry - residential $1.26 - ATO mapped to Task Allowances

    Tool - Carpenter $0.98 - ATO mapped to Tool Allowances

    1st year wage level $14.40 - ATO mapped to Gross


    Hence my comment that every timesheet entry requires 3 separate lines and I therefore get warning messages that my staff are working more than 24 hours per day.

  • Graham Boast
    Graham Boast Accredited Partner Posts: 331 Accredited Partner Accredited Partner
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    This is my method of handling this.

    Disaggregation of Gross with Rolled Up / All Purpose Allowances under STP2 — Reckon Community

    Graham Boast 0409317366

    graham@reckonhelp.com.au

    Graham Boast | 0409 317366 | graham@reckonhelp.com.au

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,483 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited July 2023
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    @Johanna As the Timesheet is specifically to record hours worked, Allowances wouldn't normally be added to it, just the normal hours (so in your example you would normally only have the 1st year wage level $14.40 - ATO mapped to Gross hourly one on there)

    Allowances would normally be added on the Paycheque itself 😬

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Johanna
    Johanna Member Posts: 7
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    Shaz,

    You still fail to understand that I am job costing and all components paid to my staff need to be allocated to jobs via the timesheet function. All parts of their wage are to be allocated to a job. The timesheet is recording hours worked, but I need to show that they are working hours worked at the various components of the wage. Graham Boast has given me a good insight of what to do.

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,483 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    Good to hear Graham’s solution within the Paycheque itself works for you @Johanna ☺️

    (I didn’t see anything to do with the Timesheet in it though ? 🤔)

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)