Annual leave on termination

Kali
Kali Member Posts: 389 Reckon Star Reckon Star
edited January 2024 in Reckon Payroll

Hi Rav,

I urgently need to pay out someone's annual leave on termination and the system is not calculating the PAYG. I have called the help desk and all they're saying is that it could be a glitch and they need to time to look into it.

I need to pay this person today! Surely - that response is unacceptable.

Why cannot i not even manually override the PAYG so i can just calculate it myself?



Comments

  • Tanvi_kataria
    Tanvi_kataria Reckon Staff Posts: 388 Reckon Staff

    Hi @Kali

    Regarding the PAYG Tax for Annual Leave, it will not be calculating the tax only for a leave as a pay item and hence is getting this message.

    To be able to add the PAYG and edit the tax, there is a need to add some gross amount as well along with the leave item and the Gross amount can be $1 as well.

    What it will do is?

    When you add a Gross and Annual Leave Item, it will enable the option for Tax withheld which you can further edit as well.

    Please find the attached article for your reference -


    Feel free to let us know for any concerns/issues. Thank you!


    Regards

    Tanvi

  • Kali
    Kali Member Posts: 389 Reckon Star Reckon Star

    Hi Tanvi,

    The attached article isn't relevant as it is not a lump sum A. Lump Sum A is for Leave - paid on termination - annual leave or leave loading accrued after 17 August 1993, termination for a genuine redundancy, invalidity or early retirement scheme reasons.

    This termination is simply leave - paid on termination - annual leave or leave loading accrued after 17 August 1993 paid on NORMAL termination and the STP phase 2 code should be 'Unused leave on termination (paid leave type U)'.

    Adding an additional $1.00 to their pay is not an acceptable work around. This causes issues from both our client and employee questioning why they're being paid $1.00 - it is not professional.

    Can you please advise if this is being looked at as a matter or urgency for rectification?

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