Why Employer additional super STP showing as personal super instead of Employer additional super?

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NickCardenas
NickCardenas Member Posts: 4

Set up checked and seems correct unless under tax tracking need to add anything for these?

payment summaries/income statements do include the RESC which is fine but unfortunately something not quite right in payroll / STP as these should be reported as additional Reportable employer super contributions but for some reason in STP (ATO) is coming as personal super so Super fund not taxing 15% and not counted towards concessional caps

So in theory in the ATO/super fund system should say employer voluntary or additional but says personal.

 Thanks

Answers

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited August 2023
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    Hi Nick

    Can you clarify exactly which platform you're referring to that it's displaying as personal ? eg in employer ATO portal, employee myGov, Reckon GovConnect portal or in your Hosted payroll reports ?

    To confirm:

    Personal super contribution (NOT RESC) = paid by the employee out of their NET pay (eg it doesn't reduce the employee's PAYG)

    Salary Sacrifice super contribution (also classed as RESC) = Paid by the employee out of their GROSS pay (reducing PAYG)

    Employer Additional super contribution (also classed as RESC) = Additional (in excess of the compulsory SG percentage) paid by the employer direct to the employee's fund (eg not affecting employee's gross or get pay amount)

    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!)
  • NickCardenas
    NickCardenas Member Posts: 4
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    Thank you. It was employer additional = RESC and set up like that in Reckon (no tax tracking tho)

    But showing as personal in ATO portal and employee MyGov and also in the employees super fund as well.

    Thanks

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited August 2023
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    Hi Nick

    Check these particular sections:

    & in particular, this one (... which sounds like the issue in your case as only SG Super should be set to None):

    (This one's not worded well as it still needs to be mapped as SS here, even though it's not! Because there's not a separate Tax tracking type for "non-SS" RESC, this allocation is required to put it under the "RESC" category) 😊

    If applicable, once you've amended it, you may need to re-generate/export & upload a new STP submission - (eg the Finalise Year, if it's for last FY)

    NOTE: STP submissions don't actually report the applicable "pay run" amounts, instead they update YTD balances each time. If the error is just what's displaying now, you can do an Update Event for the affected applicable employee if you really want to OR - if they're still being paid, it will automatically override with your changes when you lodge your next pay run submission anyway 😊

    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!)
  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    🛑 Just a updated note on this ... since the recent Fix update, Employer Additional RESC now needs to revert back to being mapped to None (NOT Salary Sacrifice Super) ! 🛑

    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!)
  • NickCardenas
    NickCardenas Member Posts: 4
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    Thanks BUT we did what you suggested initially and that did not fixed the problem. So we still have the same issue and when we call Reckon they havent been helpful so still the same issue.

    So if you have any other suggestions please advise. Thanks

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited September 2023
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    Hi Nick

    Prior to the fix, Reckon's advice was for EA Super to be mapped to SS (even though it wasn't actually being "sacrificed")

    Following the recent patch update fix, EA Super now needs to be changed back to None again (like it was pre-STP2)

    NOTE: You need to change these mappings in the Payroll Item(s) themselves & then generate a NEW STP file afterwards.

    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!)
  • NickCardenas
    NickCardenas Member Posts: 4
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    Thanks but we did that and did not work. Still the same issue as before.

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    Hi Nick

    I've just re-read your original post again.

    In STP2, these EA contributions should show under RESC only but NOT anywhere else. This is what tells the fund they are RESC (& therefore counted towards concessional contributions cap)

    If you're still having problems, feel free to email me direct. I'm onsite with a client all day today but am happy to take a quick look tomorrow morning for you, if you need 😊

    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!)
  • GinaTsiakos
    GinaTsiakos Member Posts: 7
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    Hello Shaz,

    Can you please confirm the mapping for the Employer Additional super contributions for STP2.

    I am having problems with it flowing through to the ATO as personal super and it needs to show as additional employer super for it to be taxed correctly at 15%.

    And once I change the mapping do I need to lodge all the STP for the payment made on 18/5/2023 and the Year End STP file or just the Year End STP file for FY22/23?

    Thank you

    Gina

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    Hi Gina

    As per above, the STP2 Tax Tracking Type mapping for EA Super is None but you need to make sure it's correctly set up here:

    This ensures it is still reported as RESC but doesn't impact the employee gross 😊

    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!)
  • GinaTsiakos
    GinaTsiakos Member Posts: 7
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    Thank you Shaz.

    Now do I have to relodge all the STPs since 18th May 2023, when this was paid, or just the year end one?

    Cheers😀

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,596 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
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    Hi Gina

    STP submissions just update YTD balances (rather than just the specific pay run’s figures) so you only need to redo the Finalise Year ☺️

    NOTE: ALWAYS check your figures first - This ensures accuracy all year round AND for finalising.

    You’ll find my details on how to do this in this thread here:

    ☺️

    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!)