Payroll Review- Xero or MYOB plus Top Tips
You see stories in the media often about people being underpaid and then penalties and back payments that then apply. Simply ‘not knowing’ isn’t a valid reason to not be paying your staff the right entitlements. We can provide a xero payroll review (or any system you use) and also bookkeeping training to any small businesses Australia wide. As we have done this for years now, here are some of our top tips:
Get your information from the right source
When working out rates, penalties and conditions, get your information from Fair Work Australia or your leading industry body. Don’t rely on hearsay or past practice, as laws change frequently.
Be careful when you ‘pay above the award’
Don’t get caught out. You can absolutely pay above the award rate however ensure that you have also looked into any allowances associated for that role. You will also need to ensure they are also reflected in the payroll. Often, people fall into the trap of paying a little bit extra per hour but then overlook allowances the employee might be entitled to. This is usally results in a costly, unbudgeted back payment so the best place to check this is under the award via the Fair Work website.
Ensure you are meeting superannuation requirements
There has never been as much focus on superannuation and employers as there is now. Employers will be held to account and significant penalties apply for: wrong payments, late payments and missing payments. The current guarantee is 10% so ensure your payroll system reflects this. This will increase to 10.5% from 1st July 2022. You can read more about the yearly increases on the ATO website here.
At Sum and Substance we know the importance and need for accurate payroll. Please contact us if you would like more information on our xero payroll review service. We can provide bookkeeping training both broadly or specific to payroll. We can be reached at (03) 9424 9447 or firstname.lastname@example.org. You can directly book in a time to chat by clicking here.
For Practice Managers/ Accountants, we offer a comprehensive course here on Xero & Payroll.