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VIDEO: Create Allowances

 

This video takes you through:

  • Types of allowances
  • Setting up allowances before the pay run
  • Taxable and non taxable allowances
  • Attaching allowances to the employees' records

 

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The central allowance records hold information regarding additions to the pay such as travel allowance, and deductions from the pay such as staff club fees. These can be applied automatically to selected employees, every time their pay slip is produced.

You may edit existing allowance records or create your own if the existing records do not cover your employees. The allowance records are managed via the Allowances option of the Setup menu. It is best to create the allowance records before setting up the employee files, although it is easy to create allowances later, if required. The following will outline steps to create an Allowance.

  1. Navigate to Setup > Allowances image001.png
  2. Click Add to display the Wizard to appear image002.png
  3. Select Next at the Allowance Wizard's welcome screen image003.png
  4. Choose Standard Allowance or Unit Based Allowance image004.png
  5. Complete the Allowance Details image005.png
    • Description: Enter a description of the allowance
    • Type: Select if it’s a deduction or addition
      • Addition: Select this option if you want the amount to be added to the employee's pay
      • Deduction: Select this option if you want the amount to be deducted from their pay
    • Amount: Enter the allowance amount
    • Minimum: Leave as $0
    • Maximum: Leave as $0
    • Frequency: Select how this allowance is paid (eg Each pay period, Hourly, Each shift, etc)
    • Taxed: Check this box if the allowance is to be taxed
    • Include in Super Calculation: Check if the allowance if super is to be paid on this amount
  6. At the ATO Payment Summary screen, make your selection. We recommend you check with your accountant if the allowances need to be shown on the ATO Payment Summary. Otherwise leave both options unchecked
  7. Leave as default because you are using Agrimaster as the accounting system - the allowance account code can be set in Agrimaster. Click Next 

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  8. Select Finish to confirm the new allowance created image008.png
  9. The Allowance screen will list the newly created allowance. Click Close to complete the process image009.png

 

 

Next Step: Set up your employees' base pay rates (this is how much your staff are paid)

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