Payroll crossing over 2 financial years.

Question

Hi Everyone.I have looked everywhere for an answer for this but cant really find a clear one, so I thought i would try my luck here and ask.I pay our employees fortnightly.So the next pay day is Monday the 3rd of July which is for fortnight of 19th June to Sunday 2nd of July. All employees only work Monday to Friday therefore no one is actually working a July day.So does this mean the new award increases apply or not??Or do they apply from 1st of July for days worked in July.I am very confusedthank you heaps

betts23 · Answer

Hi,&nbsp;&nbsp;The increase to the National Minimum Wage and Modern Award minimums will take effect from the first full pay period on or after&nbsp;1 July 2023.&nbsp;&nbsp;In your case the increase will first apply for payments on 17th of July.&nbsp;

celia_b · Answer

Hi KylieD&nbsp;
&nbsp;
Thanks for your post.&nbsp;
&nbsp;
Generally speaking, when that transaction should be recorded/reported and what payroll tax tables be used will depend on the payment date of that transaction. If the payment date falls in July, you would complete your end of payroll year task, roll your payroll year and &nbsp;update the tax tables before processing that transaction in the new payroll year.
&nbsp;
If the payment date falls in June, you would record the pays in June and then complete your end of payroll year task. And as for Betts23 has mentioned, yes, The National Minimum wage will take effect on July 1 and it will reflect on your first pay run.&nbsp;
&nbsp;
If you need further assistance with this. feel free to post again. We're happy to assist.&nbsp;
&nbsp;
Kind Regards,
Cel
&nbsp;
&nbsp;

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Payroll crossing over 2 financial years.

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