Disaggregation of gross in your EOFY finalisation in Reckon Payroll 📅

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As you know STP Phase 2 reporting took effect this 2023/24 financial year and you're more than likely well into it and accustomed to it at this stage.

As we head into End of Financial Year, this is just a little heads up to keep in mind how balances appear in your EOFY finalisation in Reckon Payroll since the disaggregation of gross took effect under STP Phase 2 vs any balances sent under STP Phase 1 this financial year.

↩️ Gross earnings BEFORE switching to STP Phase 2

Any earnings & leave that were actioned while under STP1 will remain attributed to gross and be presented as such in the EOFY finalisation screen in Reckon Payroll.

↪️ Gross earnings AFTER switching to STP Phase 2

Any earnings & leave that were actioned after switching to STP2 will be disaggregated and broken down in the EOFY finalisation screen to their respective criteria.

ℹ️ Which pay items does this affect?

• Paid Leave
• Allowances
• Overtime
• Bonuses and Commissions
• Directors Fees
• Lump Sum Payments

Example

Let's take a look at a general example with leave. Annual leave was attributed to gross earnings under STP Phase 1. This means any annual leave balances you paid to employees under STP1 will still appear attributed to gross in the EOFY finalisation screen in Reckon Payroll.

Any subsequent pay runs you have created AFTER switching to STP2 that include annual leave will be disaggregated and any balances paid for leave will not be attributed to gross but rather their new STP2 reporting criteria.

You'll see an example of this in the screenshot below which shows how leave is separated from gross in the EOFY finalisation when paid in pay runs since switching to STP Phase 2 and is designated under Leave. Any annual leave paid in pay runs prior to switching to STP Phase 2 is attributed to Gross Pay.