Payroll Kinds

Set up After Tax Deduction Kinds and Staff Deductions

Step 1: Create and map After Tax Deductions kind

Navigate to JobBag menu > Kinds > Payroll category

This kind will be used when posting employee personal expenses from supplier invoices or credit card expenses.

Use the screenshot below as a guide to set up the kind.

Step 2: Add item to After Tax Deduction kind

Use screenshot to guide and check set up

This item will be used to add to the employee payslip to deduct any personal expenses from employee pays

Step 3: Mapping Staff Deduction item

Only the staff deduction items needs to be mapped in payroll mapping and SBR Mapping

Payroll > Map payroll kinds > This is mapped to a balance sheet account, you can also map to an expense account. 

Note: Do not map to salary and wages

Step4: SBR Mapping items

Payroll > SBR Mapping > This is mapped to NOREP - Not reportable

Lump Sum and Termination Kinds

A number of default kinds have been set up to help process lump sum and ETP payment to employees. These can be found under the JobBag menu > Kinds > Termination and Lump Sum payments (node).

These are used when making Genuine redundancy payments, Eligible Termination Payments (ETPs), unused leave on redundancy, return to work. Below are listed some of the more frequently made payments on termination or redundancy together with the ATO Reporting Category that they are allocated to:

Create Sub-Kind Code for Lump Sum A Type R

R (Lump Sum A Type R) – all unused annual leave or annual leave loading, and that component of long service leave that accrued from 16/08/1978, that is paid out on termination only for genuine redundancy, invalidity or early retirement scheme reasons. Services Australia categorise these payments as Lump Sum      

SBR Mapping - Lump Sum A Type R

Create Sub-Kind Code for Lump Sum A Type T

T (Lump Sum A Type T) - Unused annual leave or annual leave loading that accrued before 17/08/1993, and long service leave accrued between 16/08/1978 and 17/08/1993, that is paid out on termination for normal termination (other than for a genuine redundancy, invalidity or early retirement scheme reason). Services Australia categorise these payments as Lump Sum 

SBR Mapping - Lump Sum A Type T

Create Sub-Kind Code for Lump Sum B

B (Lump Sum B) – long service leave that accrued prior to 16/08/1978 that is paid out on termination, no matter the cessation reason. Only 5% of this reported amount is subject to withholding. Services Australia categorise these payments as Lump Sum

SBR Mapping - Lump Sum B

Create Sub-Kind Code for Lump Sum D

D (Lump sum D) - represents the tax-free amount of only a genuine redundancy payment or early retirement scheme payment, up to the limit, based on the payees years of service. Services Australia categorise these payments as Lump Sum

SBR Mapping - LumpSum D

Create Sub-Kind Code for Lump Sum E

E (Lump sum E) - represents the amount for back payment of remuneration that accrued, or was payable, more than 12 months before the date of payment and is greater than the lump sum E threshold amount ($1,200). Services Australia categorise these payments as Lump Sum

SBR Mapping - Lump Sum E

Create Sub-Kind Code for Lump Sum W ( Return to work)

W (Return to Work Payments) – NEW - A return to work amount is paid to induce a person to resume work, for example; to end industrial action or to leave another employer. It does not matter how the payments are described or paid, or by whom they are paid. This was previously reported in gross. Services Australia categorise these payments as Lump Sum . 

SBR Mapping - Lump Sum W

Create Sub-Kind Code for ETP Non Taxable

Only applicable to pre-July 1083 service or invalidity/death termination payments. Tax free redundancy payments are never reported as an ETP tax-free component.

SBR Mapping - ETP Non Taxable

Create Sub-Kind Code for ETP Taxable

Generally includes all amounts paid to an employee on termination:

• non-genuine redundancy
• pay in lieu of notice
• pay out of RDO's / TOIL/ Time in lieu on termination
• excess payment above tax-free portion at Lump Sum D
• golden handshake / severance pay (termination not a redundancy)

SBR Mapping - ETP Taxable