The end of the financial year is coming in hot and fast, with less than a month left! Payroll in Xero makes sure your end of year tasks are as easy to manage as possible.
- There are some upcoming changes in the 2017 year that you need to be aware of:The minimum wage will be increasing by 50c – from $15.25 to $15.75 on the 1 April 2017. The starting out and training minimum wage rates will increase from $12.20 to $12.60 per hour. To see how to update this in your system please visit the Xero Help Centre.
- The annual ACC earner levy threshold is going up to $124,053, and the student loan threshold is increasing to $368 a week. There is nothing you need to do here as Xero takes care of both these updates automatically.
- There are also some changes to scheduler payments rates. Anyone employing contractors will need to get familiar with the new rates and rules on the IRD website.
- From the 1 April 2017, most employee share scheme benefits must be processed through payroll. For more information visit the IRD website.
- Update the salary and wage information to any of your employees that are on minimum wage.
- Before the first pay run of the new tax year, you will need to review the ESCT rates to make sure they are based on what the employee actually earned for the previous tax year. This is done from the employees 'Taxes' tab.
For more information
If you require any more information about Xero Payroll, give us a call on (07) 870 1669 or visit the Help Centre in Xero for 'end-of-year payroll information'.
By Kayla Heeringa
The Good PA