There are several situations where you may need to create payroll transactions for particular Salary Packages, Enterprise Agreements, Employment Contracts, Salary Packages, Salary Sacrifice and more. In Saasu, pay items help you create a Salary Package. Before doing this you need to know the accounting treatment for the Salary Package components. We recommend you consult an advisor to:
- Establish what the accounting entry looks like.
- Set up the required pay items in Saasu (if they don't already exist) against the employee default pay.
How does Saasu calculate tax when multiple pay items are used?
Wage and Salary and Deductionpay items are taxable. Saasu will calculate tax on the sum of the pay items set as Taxable. To change or check the tax status of pay items:
- Select Settings > Payroll > Manage Pay Items.
- Tick or untick the taxablecheckbox as required.
How will the various components of a salary package be displayed on a payslip?
In a payslip, pay items will always display separately. As you add new and additional pay items to a salary package, these will display separately so the employee receives the detail comprising their payment(s).