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How to Setup Salary Sacrifice for an Employee

The purpose of this article is to show how to do a salary sacrifice and deduct it from the Gross or Nett wages of an employee.

There are 2 options for how you wish to setup the Employees Salary Sacrifice; Salary Sacrifice from Net Wage OR Salary Sacrifice from Gross Wage.

1. Salary Sacrifice from Nett Wage

  • Go to Payroll - Category Setup - Superannuation Setup
  • Find and select or Enter in the Description for Salary Sacrifice
  • Select the Company Name of the Employees super company

Salary_Sacrifice.png

  • Enter the Extra Amount OR Percentage the Employee wishes to contribute
  • Tick the Box Employee Contribution (deduct from Nett Wage)

Salary_Sacrifice_3.png

  • F2 to Save
  • Then Go to the Payroll - Employee - Search and Select your Employee
  • Superannuation tab - Add the Extra Salary Sacrifice
  • Enter the Employees Super Number and if it is a set dollar amount, enter the Amount (if it is a percentage, leave it at 0.00) 

Employee_Super.png

 

 

 

 

 

 

This will add the line to the Employees Payroll and will deduct the amount from the Nett Wage.

 

 

 

 

 

2. Salary Sacrifice from Gross Wage   

  •  Go to Payroll - Category Setup - Superannuation Setup
  • Find and select or Enter in the Description for Salary Sacrifice
  • Select the Company Name of the Employees super company

  Salary_Sacrifice.png

  • Enter the Extra Amount OR Percentage the Employee wishes to contribute
  • Do NOT Tick the Box Employee Contribution (deduct from Net Wage)

  SS_unticked_opt.png

  • F2 to Save
  •  Then Go to the Payroll - Employee - Search and Select your Employee
  • Superannuation tab - Add the Extra Salary Sacrifice 
  • Enter the Employees Super Number and if it is a set dollar amount, enter the Amount (if it is a percentage, leave it at 0.00)
  • If you also want to allow the original super calculation on their base wage before deduction, the amount entered must include the additional amount of the current super percentage. 

  Employee_Super.png

If you still need to be pay the Super Percentage for their Normal Pay amount;

  • Go to Payroll - Category Setup - Superannuation Setup
  • Select the Super Company setup for their Normal Super
  • Untick the Super Guarantee option

super_guarantee.png

  • F2 to Save

 

  • Then on the Employee, you enter the amount in super based on their normal pay they should get

Super_amount_3.png

 

  •  Go to the Standard Wages Tab
  • Reduce their Base Wage amount by the amount of salary sacrifice they wish to pay

   Salary_Sacrifice_opt_2a.png

  • F2 to Save

 

 

THIS IS ADVISE ONLY we recommend you do a test run in the training database and check the GL Transactions individual report to make sure all the charges to GL accounts have processed as you require. 

 

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