STP ATO Error Messages

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  • Updated 2 weeks ago
I have been merrily going along uploading my STP files and now after receiving an email from Reckon about checking my submissions I have discovered error messages.
This above is one of many errors along this line.

I can see from Reckon Knowledgebase Refere KG5708 for fix that I looks like I need to install a patch 2018 (R2.1) but the info says 

Reckon Accounts exports the STP file as the deduction’s payroll item name. this


Workaround will only work for users who only have one deduction item link for each Deduction tax tracking type. (Workplace Giving and Deductions (Union Fees/etc.)

So my question is after I do the update patch will it even fix my problem/errors as I have multiple union fees deductions?

Thank you
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Michelle

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Posted 2 weeks ago

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Rav, Community Manager

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Workplace Giving and Union Fees are the two types of deduction that are reported through STP, any others are not. 

So my question is after I do the update patch will it even fix my problem/errors as I have multiple union fees deductions?
Do you mean multiple by employee or multiple overall?
If overall, each individual has an individual deductions record so if an employee has multiple union fee deductions they are combined together and sent as one amount to comply with STP
(Edited)
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Michelle

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Hi Rav
Thanks for your reply.
We have multiple union dues deductions to different unions.  We also have within an employee multiple union dues as we have split for coding purposes to our P&L.

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Michelle

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So from reading your reply looks like I can only have one Union dues deductions so I will have to combine them?  Sorry I'm a bit confused.
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Simon Hutchinson, Employee

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Hi Michelle,

No no its all fine, you can have multiple union funds against a single employee and still perform single touch payroll correctly.

So to explain how this works i will use a fictional example.

Lets say you have a employee sarah, who is earning $800 a week and has two union fees of $50 each.

Lets call Union 1 - Aus Union and Union 2 - NSW Union as a sample.

So the way you setup Sarah is to have two payroll items for Union Fees (as it sounds like you have already done), one for each of the unions and have the tax tracking type set to Union Fees. Again it sounds like you have already done this

You then pay Sarah her wage and deduct the $100 for the union fees, individually attributed to the unions as $50

Now with Single Touch Payroll, the ATO does not actually need to or want to know the specifics of the funds, they just want the total amount that has been allocated to Union Fees as a whole.

This is why when you look at the Union Fees on the STP Portal, it will have a combined amount because that is the requirement of Single Touch Payroll reporting. The ATO just wants to know a combined amount (in the case where a employee has multiple deductions) not who its for. The same also applies for Workplace Giving deductions to charity etc.

So whilst in Accounts it will have recorded $50 to Aus Union and $50 to NSW Union, in STP it records as "Fees: $100" as that is what is required.

I hope that explains it for you. So in summary keep doing what you are doing with the payroll items by splitting it up, you absolutely can have more than one deduction for unions per employee in STP its just when it is reported those a combined into a singular "Fees" item which is the requirement of the STP report

Cheers

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Michelle

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Thanks so much for the detailed explanation as yes I am already doing all that.  I have just downloaded the patch so will now try a new STP upload with today's wages and fingers crossed no errors.  I really appreciate your help.  Thank you