STP App Superannuation

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  • Updated 6 months ago
  • Not a Problem
How do I differentiate between compulsory superannuation payments and reportable employer superannuation contributions as they have to be reported separately to the ATO.
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Pam Brazier

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Posted 6 months ago

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Rav, Community Manager

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From what the STP team have advised me, RESC is not required for mandatory reporting with STP for microbusinesses (1-4 employees) which the free app is for.
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Pam Brazier

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OK, thank you. Can you confirm that there will be a field for RESC in final end of year summary as ATO requires that information for every employee.
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Robyn

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Hi Rav, I suggest that Reckon should warn clients before they go through the STP App setup process that the App is not suitable for microbusinesses who have RESC / RFBA transactions. Businesses in this category will seek another STP provider who can cater for RESC / RFBA to prevent the double work of both STP lodgement and year end payment summaries. We appreciate that this is a free App, so let us know if you would consider adding this function to the App before 14 July or if we should look elsewhere. Thank you.
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Pam Brazier

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Rav, Will anyone be responding to our query regarding the inclusion of missing fields in the App? Reckon will not take phone calls or provide assistance regarding the App so this is our only communication avenue.
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Rav, Community Manager

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Hi Pam,
There aren't any missing fields in the app. The free STP has been built, designed and approved with the requirements & scope set out by ATO for low cost STP solutions for micro-businesses and is fully compliant.

If your requirements are outside of the scope of what the free app provides ie. RESC etc then you need to use a solution which provides payroll functionality (which the free app does not) ie. standalone Reckon One payroll as an example.
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Pam Brazier

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OK. It's actually an ATO requirement that RESC and RFBA re reported so anyone using the App still has to issue manual PAYG Summaries which defeat the purpose of the App. See below Timothy Mylne's post for details.
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Timothy E Mylne

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Pam
Reading from the ATO Website:

https://www.ato.gov.au/Business/Single-Touch-Payroll/In-detail/Single-Touch-Payroll-employer-reporting-guidelines/?page=4#What_you_need_to_report

You may have to copy and paste this link in your browser.

RESC and RFBA are not included as Mandatory reporting in STP
I quote. Under Voluntary reporting in this link it says:
You can also choose to include reportable employer superannuation contributions (RESC) and reportable fringe benefit amount (RFBA) for your employees. If you choose to include these amounts in a report by 14 July in the next financial year and complete a finalisation declaration you are not obliged to give payment summaries and a payment summary annual report to the Commissioner of Taxation covering these amounts.
If you choose not to report these amounts through STP, you will be required to give payment summaries to your employees and a payment summary annual report to the Commissioner covering these amounts.
So, assuming what I read on the Website is not to be changed then, if you do not report RESC or RFBA through STP reporting, then you must still provide each employee with a PAYG payment summary - individual non-business AND provide the ATO with the PAYG payment summary statement. 
So it seems that if you do not have either RESC or RFBA then STP reporting is all that is needed BUT if you do then you will be reporting through STP as well as the old manual system of employee and employer payment summaries.
I think!!!! 
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Pam Brazier

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Thank you - I just found the same info. So it seems that I will now have use STP and still produce manual PAYG summaries. What a nightmare! Is there any plan to add RESC and RFBA fields to the App as this would streamline and address the issue that I can see many others on this community have.
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Joseph Li

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Both Pam and Tim raised a good point. Currently the STP App does not support RESC and RFBA. So for 2018/19 would have to issue payment summary just for RESC or RFBA If those amounts exist.
Micro employers can pay RESC or RFBA too.
I am sure there are other STP solutions that support RESC and RFBA.
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Chris Townsley

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The issue this raises for me is, what amount do we enter for super ... The SGC portion only or SGC+ Sal Sac [which is reportable]??
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Joseph Li

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Just the SG portion only. See Rav’s comment above on RESC.
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Pam Brazier

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I don’t think enough thought was put into this app and I’m also disappointed that the ATO approved it and have it listed as an approved method of STP reporting for micro employers when it doesn’t allow the reporting of all reportable mounts. Makes it more complicated for micro employers.