STP Phase 2 update please

Dianita · May 2023

Hello Team,

With this coming FY 2024, are we going to expect the new template for STP lodgement to automatically cater to the phase 2 STP lodgement from the ATO? I saw some updates for Reckon Hosted and Reckon Payroll App, but not for Reckon Accounts. Just want to make sure there is nothing we will need to do from our end for this roll out.

Thanks and regards,

Nita

Acctd4 · May 2023

Hi Nita

STP2 for Reckon Accounts Desktop & Hosted is due for release mid next month & will meet all the new requirements. Due to it's release being so close to EOFY, Reckon have actually secured a further extension for STP2 implementation - automatically for all Reckon product users - to 30 Sep 2023 😊

Rav · June 2023

Hi Nita

As you've noticed GovConnect has been updated to display additional information as part of STP Phase 2's disaggregation requirements. There's a bit more info in the guide I'll link below on the updates in GovConnect itself.

https://help.reckon.com/article/fcib0llbb3-stp-phase-2-changes-in-reckon-gov-connect

Those additional columns will populate with its respective values on a STP Phase 2 submission IF the pay run includes those specific components eg. bonuses & commission, director's fee etc in Reckon Accounts 2023. You'll need to have upgraded and completed the STP Phase 2 Migration Assistant in Reckon Accounts 2023 in order create a STP Phase 2-compliant pay run & STP submission.

If you're still on the current 2022 edition, you'll still be sending STP Phase 1 submissions. I'm assuming that's the case for you at the moment, is that correct? If so, that's the reason why those columns aren't showing any values.

I'll just add, if you've been thinking of upgrading to 2023, we're investigating an issue with the Migration Assistant in the new 2023 edition at the moment (info HERE) so I'd just recommend holding off for a little bit if you can while we sort that out.

Rav · July 2023

Hi Nita

Did you download and install the updated version of Reckon Accounts Desktop that included the fix to this issue?

The new version with the fix included is v1.01 and you can confirm which version you have by going to Employees ➡ Tax Table Information ➡ Tax Info.

More info HERE.

Dianita · May 2023

Thank you very much Shaz (as always) for your help and prompt reply.

We will keep an eye on the roll out mid of next month. In anyway, also good news on the extension in case there are more things we will need to sort out from our end. I'm suspect it will be similar to the way the first one is, and everything is split automatically for lodgement purposes. But yes, just in case, at least we have until end of Sep this year.

Regards,

Nita

Dianita · June 2023

Hello @Rav just wondering if you know the answer to this, our payroll team just noticed the header changes to the STP phase 1 lodgement. I assumed the information will flow through automatically from Reckon app to the STP file so that when it's uploaded, everything will be populated appropriately, but it has not.

We have however noticed in our 14th Jun lodgement that all these newly added columns are $0, so the wages were not allocated to the appropriate columns. Is there anything we need to do for this? Does it matter if they are zero?

Thanks,

Nita

Acctd4 · June 2023

Hi @Dianita

Just to clarify further ... The portal updates are specific to STP2 so these new columns/fields won't populate until you've upgraded & configured STP2 & start submitting from the new 2023 version ☺️

Dianita · June 2023

Morning Team.

@Rav, thank you. Yes, we are still using Reckon 2022 and therefore lodging STP phase 1 and not updated Reckon yet. We will definitely not upgrade anything until we are done with FY23 a we still have another payroll to run for 28th Jun.

@Acctd4 hello Shaz, thank you, noted on this.

Rav · June 2023

Good stuff, thanks for confirming @Dianita 😊

Dianita · July 2023

Morning Team,

We are trying to lodge our FY23 final STP but it prompted this message below. Just confirming again with you that are getting extension to do this STP phase 2 by Sep 2023? It seems that it's requiring us to do the set up before being able to lodge this. We are planning on doing this set up properly after mid-month (so it will only be for our second payroll July/ of the year). Thoughts on this?

Thanks and regards,

Nita

Rav · July 2023

Hi @Dianita

From the looks of that message, it seems as though you've already upgraded to the new 2023 version, is that correct?

If so, the 2023 edition will only create submissions under STP Phase 2 requirements so in order to create a pay run, STP submission, EOFY finalisation etc, it must contain the required STP Phase 2 information that the message in your screenshot is referring to.

If you're going to continue using the 2023 edition, then I'd recommend you go through the Migration Assistant as your first step so you're compliant with STP Phase 2. Info below -

https://community.reckon.com/discussion/8033400/stp-phase-2-migration-assistant-for-reckon-accounts-desktop-%E2%84%B9

Dianita · July 2023

Hello Rav,

Thanks for this. I was hoping as long as we have not updated to phase 2, we will have a bit more time (regardless of the Reckon version we are using). This makes the timeline a little bit tighter as we are not sure which leave components go to which tax tracking at this stage. E.g. we use other leave 2 for long service leave for its both usages: 'using the leave' and payout. Would that be under two categories? Does that mean we will need to use 2 payroll items for this scenario? Also for annual and personal leave items, do we assign to 'leave - other paid leave (O)'?

Thanks,

Nita

Acctd4 · July 2023

Hi Dianita

Yes, I think most of us use just the one leave type Payroll Item for paying leave taken & normal termination payout (unless it’s Lump Sum A-specific) 😬

I’ve mapped the normal Leave Payroll Items to just the Leave - Other Paid Leave (O) for now (which yes, is where all the standard Leave gets mapped to) These allocations can still be changed in the Payroll Item itself at any time.

Thanks to the inbuilt Migration Assistant, STP2 migration is surprisingly straightforward & doesn’t take long at all ☺️

Just have the ATO handy reference list open/printed to refer to:

https://www.ato.gov.au/business/single-touch-payroll/in-detail/single-touch-payroll-phase-2-employer-reporting-guidelines/?page=12

Dianita · July 2023

Thanks Shaz,

That does make sense and definitely simpler. I mean worse case, we will just create another payroll item for LSL payout (which will be the same (but mapped to different leave) as our holiday payout payroll item).

Regards,

Nita

Dianita · July 2023

Hello Team, a quick one on STP tax tracking field in the wizard, do we need to choose anything? I skipped it earlier when we tested in the Reckon test file and it seems to be ok. Plus, none of the options seem to be applicable to most businesses.

Thoughts on this?

Thanks and regards,

Nita

Acctd4 · July 2023

Hi Nita

No, only if any are relevant. They reference specific Tax Tables but they’re information-only labels & don’t affect any tax calculations ☺️

Rav · July 2023

Hi Nita

That field only applies to employees who are in one of the specified roles.

Check out the info in the article below -

https://community.reckon.com/discussion/8033697/what-is-the-stp-tax-category-field-and-is-it-mandatory-for-stp-phase-2

Dianita · July 2023

Great, thank you Shaz. We thought so too, but just want to check again to be doubly sure that it is fine to leave blank.

Regards,

Nita

Dianita · July 2023

Thank you Rav. NOted on this. Will check out the link.

Regards,

Nita

Dianita · July 2023

Afternoon all,

I think the issue with bank online converted automatically to cheque is still there (after the STP phase 2 migration). We had all employees pay method reverted to 'cheque' which has not been used for years.

We strangely also had 4 employees' income type reverted back to blank in the last STP lodgment 14th Jul 2023. Not sure if it is going to be a one-off occurrence, but yes, that was an issue for us in the last round of lodgement.

Regards,

Nita

Radhika · July 2023

Hi Rav,

As per above msg, we do got these below, so do we need to upgrade Reckon 2023? Your thoughts on this please thanks.

Regards,

Rad

Rav · July 2023

Hi @Radhika

Not sure what happened there but I've cleaned up the screenshots in your post 😊

It looks like you're on an earlier version of Reckon Accounts Desktop 2023 as it doesn't display the v1.01 label on the screen in your second image.

You'll need to download and install the latest version of Reckon Accounts 2023 that was released on 19 June 2023 and I'd recommend reviewing the steps and info HERE

Acctd4 · July 2023

Hi Rad

UPDATE: I see @Rav has just replied noting you still need to install another update. I can only see your Tax Table info screenshot which doesn’t show the version number. I’m on the latest version myself & my Tax Table Version is the same number as yours however pressing Ctrl + 1 does show my Product as being the “… Release R1P” so sounds like you may be still on the initial release (which was pre-STP2 glitch fixes!)

That is the latest 2023 version so you have upgraded already.

You will see the new STP Phase 2 selections under the Employees dropdown menu (This is new in the 2023 version) ☺️

Dianita · July 2023

Morning Rav and Shaz,

We had tested the download of new Reckon version V1.01 in a test server and the employee's payment method are still part bank online, part cheque.

Do we need re-run the STP 2 migration wizard to fix them? We stopped updating them manually after you mentioned a fix with the updated version download & installation. Last update was employee with M, and the rest M-Z are still showing as cheque.

Thanks and regards,

Nita

Rav · July 2023

Hi Nita

Unfortunately it won't change the method back once its already been altered however check out the 4 scenarios listed in the help guide linked below as there are different options depending on what you've actioned so far and how far you've gotten etc.

https://help.reckon.com/article/n0057hac5u#scenario_1_i_ve_upgraded_to_reckon_accounts_2023_but_have_not_launched_the_migration_assistant

Dianita · July 2023

Ok, thanks Rav.

Unfortunately for us, we have done one round of the main payroll and its STP lodgment, along with many runs of out of cycle payroll (or payouts) plus their STP lodgements. Scenario 2 will be applicable to us, hence all the required manual adjustments to individual payroll settings.

I did notice that the accruals (hours) were however fine, but we will run sanity check to confirm.

The payroll items and new tax tracking will also be checked per the link.

Thanks again.

Regards,

Nita

STP Phase 2 update please

Best Answers

Shaz Hughes Dip(Fin) ACQ NSW, MICB

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

Accounted 4 Bookkeeping Services

Ballajura, WA

(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!)

Answers

Shaz Hughes Dip(Fin) ACQ NSW, MICB

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

Accounted 4 Bookkeeping Services

Ballajura, WA

(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!)

Shaz Hughes Dip(Fin) ACQ NSW, MICB

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

Accounted 4 Bookkeeping Services

Ballajura, WA

(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!)

Shaz Hughes Dip(Fin) ACQ NSW, MICB

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

Accounted 4 Bookkeeping Services

Ballajura, WA

(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!)

Shaz Hughes Dip(Fin) ACQ NSW, MICB

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

Accounted 4 Bookkeeping Services

Ballajura, WA

(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!)

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