Employing staff Dates
JUL 20Employer deductions payment due for 1 to 15 July if you deduct more than $500,000 PAYE and ECST per year.
JUL 20Employer deductions payment due for June if you deduct less than $500,000 PAYE and ESCT per year.
JUL 20Your FBT quarterly return and payment are due for the period ending 30 June if you have a March balance date.
You and your employee can agree to treating your employer contributions as part of their gross salary or wage.
You pay your employer contributions to the superannuation scheme not your employee.
Your employer contributions are taxed under the PAYE rules.
At any time your employee can ask you to end this agreement and deduct ESCT from each employer contribution instead.
Tell your employee how this will affect other payments
Make sure your employee understands that their increased gross salary or wage will affect any:
- Working for Families payments
- Child support payments
- independent earner tax credits
- student loan repayments.
Work out the value of your employer contribution
Your employer contribution is added to your employee’s gross salary or wage for the pay period. It is taxed using the PAYE rules based on your employee’s current tax code.
Pay the contribution to the superannuation fund
You can either:
- pay the gross amount to the superannuation fund and deduct PAYE on your employee’s gross salary or wage
- pay the net amount to the superannuation fund after deducting the income tax component of PAYE.