Payroll Set Up

Question

I'm sure I am not the only one who has this issue.

For each employee they have an hourly rate (different hourly rates for each employee)

That hourly rate is separated as per ATO STP into 3 different rates

Base Hourly
Task Allowance
Leave Loading

I have 40 employees with 19 different rates between them.

Task allowance is also different for each employee (40 employees 6 different Task amounts)

Leave Loading which is calculated on the Base hourly plus Task Allowance (40 employees 19 different leave loading amounts)

On the Wages Tab

- if I put their actual Hourly Rate (eg. $50) everything in the Standard Pay Tab is calculated on this amount.

- if I put their Base hourly (eg $46) then the overtime in the Standard Pay Tab is calculated on this amount

There seems to be 2 ways to go about setting up employees for figures to calculate correctly

1. Put the actual Hourly Rate in the Wages Tab

- create another Ordinary Earnings for Base Hourly for each employee (19 different items)

- create separate Task Allowances (6 different items)

- create separate Leave Loading (19 different items)

2. Put their Base hourly in to the Wages Tab

- Create separate Task Allowances (6 different items) as its not a % of their base but a fixed hrly amount based on the allowances they are entitled to

- manually calculate and override overtime amounts every week for each employee

I cannot get any support via phone through MYOB as its all offshore and they don't understand my predicament - their response is call your accountant. I moved from Reckon to MYOB on the belief it was going to be easier.

Can Someone Help Me Please???

genreve_s · Answer

Hi CCGOffice,&nbsp;
&nbsp;
Thanks for the detailed explanation of your file's setup. Having hundreds of different pay items per pay is not realistic.
You definitely don’t need 40 different pay items. I’d set up:

One base hourly pay item, and just set each person’s own hourly rate in their employee card/Standard pay.
 One Task allowance pay item (hourly or fixed), and just type the right units/amount per employee in the pay run.
 One Leave loading pay item (e.g., regular rate × 0.175 for 17.5%) and only use it when you actually pay leave loading.

For STP Phase 2, the key is that each of those pay items has the right ATO reporting category (e.g., Gross payments, Allowance – other, the correct leave/leave loading type), not that every employee has their own copy of the item.
More detail here if you need it:

Setting up pay items: https://www.myob.com/au/support/myob-business/payroll/setting-up-pay-items-categories
 Allowances: https://www.myob.com/au/support/myob-business/payroll/wages/allowances
 Leave loading: https://www.myob.com/au/support/myob-business/payroll/leave-and-entitlements/leave-loading

Regards,Genreve&nbsp;

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Payroll Set Up

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