Employees are entitled to superannuation if they earn over a prescribed amount each month. At the time of writing this document, this was $450 (before tax). To confirm this amount, check the Australian Tax Office Website at www.ATO.gov.au

In this topic, we take a look at a few scenarios differing from regular superannuation payments and how these can be entered in LawMaster.

Problem

How to handle the Superannuation payments when the employee does not meet the payment threshold?

Solution

The minimum units field that can be set in Set Parameters > Payroll > Processing Options considers the weekly units and not the total amount in the month. A suggestion where you do not want to calculate the superannuation each pay period and expense it, is to delete the 9.5% or 10% from their employee record on the More tab.

This will result is no superannuation calculation. At the end of each month, run the Payroll and Personnel > Reporting > Print Cumulative Earnings Summary report.

If they have earned more than the $450.00, you can then do a journal for the superannuation against their employee record. This can be done via Payroll & Personnel > Enquiry > Employee Enquiry > Double-click the Employee > Super tab. Right-click on the grid > Add and complete as per screen shot.

 

Do not tick Employee Influenced checkbox.