SGC on leave loading

KaliKali Member Posts: 151
edited May 21 in Payroll Premier
Hi,

The system isn't calculating SGC on leave loading.

The ATO's SGC checklist states leave loading should form part of OTE when not overtime related: https://www.ato.gov.au/Business/Super-for-employers/How-much-to-pay/Checklist--salary-or-wages-and-o...

Can someone please let me know why Payroll Premier does this and how to fix it?

Comments

  • Tanya BriggsTanya Briggs Member Posts: 81
    edited December 2018
    I looks like this issue has been noted and put into a backlog to be resolved.  The workaround is to edit the rate of superannuation when you are preparing the pay so that the super calculated is enough to cover the leave loading too.
  • KaliKali Member Posts: 151
    edited April 7
    Has this been a recent change by the ATO as i seem to remember that once upon a time LL didn't attract SGC?

    It's a pretty significant miss by Reckon and one i hope they fix ASAP as a lot of people would be unaware the system is doing this and therefore opening them up to SGC penalties.
  • Christine ByrneChristine Byrne Member Posts: 13
    edited April 7

    Does anyone know if the SGC on Leave Loading  has been rectified  as yet???
  • KaliKali Member Posts: 151
    edited March 2019
    No, it hasn't. I would like to think it's a priority for them but it's obviously not.

    Can we please have an update Reckon?
  • JillJill Member Posts: 4
    edited June 2019
    I have added SGC to be calculated on leave loading through the payroll item although the leave liability report is not adding the SGC into the totals - any ideas?

  • KaliKali Member Posts: 151
    edited June 2019
    Where do you mean when you say 'through the payroll item' - we still manually calculate SGC on leave loading.
  • JillJill Member Posts: 4
    edited June 2019
    Go to Lists, Payroll Item List, Select Holiday Loading, edit, when you get to the screen Inclusions select all Superannuation Funds, Finish and close. Do the same with your super funds in the Include payments in contribution select Holiday Loading.
  • KaliKali Member Posts: 151
    edited June 2019
    Hi Jill,

    Is this for Payroll Premier?
  • JillJill Member Posts: 4
    edited June 2019
    Yes
  • KerriKerri Member Posts: 36
    edited August 2019
    Under the Super Guarantee legislation (SGR 2009/2) an annual leave loading is not considered OTE if it relates to a notional loss of opportunity to work overtime. If there are sufficient facts to establish that the purpose of the annual leave ‘loading’ is not for overtime related reasons, it can be considered OTE.
  • KaliKali Member Posts: 151
    edited April 7
    Yes, understand Kerri this has been discussed on a different post. There are a bunch of common Awards where leave loading is paid as an Award condition not due loss of overtime.
  • KaliKali Member Posts: 151
    edited April 7
    Sorry Jill - under 'lists' i don't have 'payroll item list'?


  • JillJill Member Posts: 4
    edited July 2019
    I have Reckon Accounts Premier: Accountant Edition (with Payroll), you might need administrator rights
  • KaliKali Member Posts: 151
    edited April 7
    Ah.. that explains it.

    I'm using the desktop version they're two different products.

    Thanks anyway.
  • Eddy Neumann LawyersEddy Neumann Lawyers Member Posts: 1
    edited April 7
    Hi There

    I have Payroll Premier and was hoping that SGC would now be calculated on Leave Loading.

    Has it? Am I missing something? 

    We too have been doing the SGC manually.

    Thanks :) 
  • KaliKali Member Posts: 151
    edited July 2019
    Nope - hasn't been fixed :(
  • Kris_WilliamsKris_Williams Member Posts: 1,288 ✭✭✭
    edited May 21
    I was always under the impression that leave loading does not attract SGC, I shall have to check up
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