Fortnightly payroll period ends 30/06/20 but not processed until 01/07/20

[tanya78]

Hi,

I'm just wanting to know if our fortnightly pay cycle finishes on 30/06/20 but our pays are not processed until the next day being 1/07/20 does this pay get included in the 2019/20 financial year or the 2020/21 financial year?

[Tracey_H · Accepted solution]

Hi @tanya78 

Thanks for your post.  The ATO rules on this is that it is the payment date that determines which month/quarter/financial year that wages and super fall into, regardless of the pay period. So, in your case, if the payment date is the 01/07/20, the pay period is included in the 2020-21 financial year.

Having said that, the 2020.2 release of AccountRight has changes to the end of payroll year processes which mean that the software will automatically apply the 2020-21 tax tables for pays with a payment date in July. This blog post, AccountRight 2020.2 is now available, has more information on what has changed in this release.

Please let me know if you need further help.

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