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What’s News in the World of Payroll?

Did you know you’re in Certified Payroll Consultant Hands?

The Accounted4 Payroll Team each hold a NZPPA (New Zealand Payroll Practitioners) Payroll Certificate.

To maintain their certification, they are required to complete CPD training (Continuing Professional Development) and undergo annual re-certification.

Anne Bland                   Level 5 Certified Payroll Leader (the highest level)

Kate Crookston             Level 4 Certified Payroll Consultant

Carolyn Lawrence          Level 4 Certified Payroll Consultant

Employing young people for the holidays

There are different types of Minimum Wage Rates that you need to be aware of:

-       15 and under – there is no minimum rate

-       Starting-out minimum wage – $18.52 per hour

-       Adult Minimum Wage – $23.15 per hour

PLEASE: check the criteria of the STARTING-OUT WAGE as this may apply for 16 to 19 year olds.

Pay and wages - Minimum wage rates and types

The upcoming Public Holiday Season and Christmas Payrolls Planning!

Public Holidays

Labour Day, Monday 28th of October, is almost upon us highlighting that the public holiday season is about to begin.

Your employees are entitled to a paid day off if a public holiday falls on an otherwise working day for them.

If you require your employee to work on a public holiday, you are required to pay them at least time and a half for the hours they work. In addition you must also give them an alternative holiday, even if only part of their shift fell on the public holiday.

Our Pay Day falls on a Public Holiday – what should I do?

Our recommendation is to pay the last business day BEFORE the Public Holiday. However, if your employee is happy to be paid after the Public Holidays this is fine however remember all discussions with employees should be made in ‘good faith’.

Some other useful links

Public Holidays

Managing public holidays as an employer  

Leave and holidays - Public holidays - Alternative holidays

Christmas Holidays and your team’s leave

It’s that time of the year when we recommend you talk with your team about leave over the summer holidays.

If your business traditionally shuts down over the festive season you need to plan closing and opening days, check if anyone needs to work during the closedown, get your team sending in their leave requests, and start organising! 

Check out People in Mind’s excellent article on ‘Planning Leave for the festive season’: Here

Public Holiday Dates this Festive Season     

·         Christmas Day – Wednesday 25 December 2024

·         Boxing Day – Thursday 26 December 2024

·         New Year’s Day – Wednesday 1 January 2025

·         Day after New Year’s Day – Thursday 2 January 2025

For further dates, please check out:
Leave and holidays - Public-holidays and anniversary dates

Paying a Christmas Bonuses – Are they discretionary?

If the payment is not in an employee’s employment agreement, then it’s a DISCRETIONARY PAYMENT, and will not be included in the gross earnings when calculating the value of annual leave. This may apply to a Christmas bonus however check your employment agreement.

‘Discretionary payments’ definition: A discretionary payment is one given at the sole discretion of the employer. The key is that the employer hasn't set the expectation of a bonus if employees meet certain goals. Additionally, the amount and timing of the bonus isn't known in advance.

How do I TAX a Christmas Bonus or a Lump Sum Payment

Lump Sum Payments must be taxed on a Lump Sum Basis per IR requirements.

Your payroll software should be able to assist with this, however if you are unsure, please reach out to our A4 Payroll Team, we’re here to HELP!

Check out: https://www.ird.govt.nz/employing-staff/payday-filing/non-standard-filing-of-employment-information/lump-sum-payments

For any questions on these changes, please contact the Accounted4 Payroll team.