Redundancy Payments Missing from EOFY Finalisation Report

Question

Hi there,

I’m currently reconciling our payroll year-end summary against the general ledger and the EOFY Finalisation report before submitting to the ATO.

This year, we processed a couple of redundancies, which included both redundancy payments and pay in lieu of notice. However, I’ve noticed that these components are not appearing in the Finalisation report, resulting in understated gross earnings.

Has anyone else come across this issue? If so, I’d appreciate any advice or a possible fix you could share.

Lucy

Rav · Answer

Great work! Glad to hear it sorted 🙂

Lucy R · Answer

Thanks for your assistance @Rav , confirming the ETP's have come through to my EOFY finalisation report.

Rav · Answer

Hi @Lucy R

I've been speaking with the Reckon One payroll team about your post today and we've had a look at a couple of things.

Firstly, you've done everything right but there's just one part missing which is the termination tax component and more specifically the ETP code within it. Right now, there is no code added to the termination tax component (see example below).

What you'll need to do is, switch the termination pay back to draft status and add the relevant ETP code to the termination tax item within the pay run.

We've just published a detailed article on processing an ETP which I think will be really helpful for you -

https://help.reckon.com/article/nzzcayh3de

Once you've done that, re-mark the pay run as paid and then generate a new EOFY finalisation. You'll notice the balances will recalculate and any amount attributed to ETP will appear in the ETP column based on the code selected.