How do I set up a salary sacrifice contribution for $20.00 per week?

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I have a new employee and she would like to pay an additional $20.00 per week to her super via salary sacrifice.

How do I set her up in payroll to show the normal employer contribution @ 9.5% and then her salary sacrifice amount of $20.00?

Many Thanks SL
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SR

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Posted 4 years ago

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John Graetz

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SR.  First create a salary sacrifice payroll item for the particular fund e.g. Salary Sacrifice ABC Fund.  Then go to the employee record then to Payroll and Compensation Tab, then click on Super Details.  This will bring you to where you have previously input the details for SGC.  Click on the drop down arrow where the SGC payroll item is showing and select the Salary Sacrifice Item that you have created.  Then complete the required amount and other necessary fund details.  When setting up the payroll item, make sure that when you get to Tax Tracking Type, you select Gross Payments so that it calculates tax (it will reduce the amount of tax that the employee has to have deducted from their pay).  John L G
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SR

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Thanks John that is really helpful :) LOVE Reckon community :)

SL
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John Graetz

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SL.  A slight amendment.  For Tax Tracking Type, the reason for selecting Gross Payments is so that the value is deducted from the gross salary.  Then, on the next screen under Taxes put a tick against PAYG Tax.  John L G
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John Graetz

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To Sharon Parker.  I hope that you get to see this response to your question which, for some reason, refuses to come up.  However, in response to your question, the process is no different.  In your case, the employee would end up with a zero pay.  I assume that they may not be paid all that much, but if they are, they need to be aware of the super caps which apply and may need to seek professional advice.

John L G