Hi LKJAMES17
Thank you for your post and welcome to the Community Forum.
As for this matter, We are not permitted to provide which ATO Reporting Category to choose and we don't have permission to change reporting categories from the ATO. Our recommendation for this is to contact the your Accountant if you are unsure.
Your ideas are important to us. Rest assured that we will raise this to our relevant team and this looked as a priority. I also encourage you to please take a moment to post on the AccountRight Ideas Exchange board for consideration. Kindly check on this link. https://community.myob.com/t5/AccountRight-Idea-Exchange/idb-p/AccountRightIdeas.
If you need further assistance in the future, don't hesitate to contact us again. We're happy to assist you.
Thanks,
Cel
I've re-read the wall of text several times (It is very difficult to follow when you don't paragraph). I think I have the jist of what the issue is.
"So the ATO will not know to deduct these amounts from the employee's taxable income." I've never heard of the ATO doing any of the maths on behalf of the employers. Software does it and then reports the answers to the ATO.
What you need is a work-a-round due to that fact (for your case) you cannot control PAYGW calcs on Superannuation Pay Catagories (thanks very much MYOB.Not).
Fun fact: the Superannuation Tab in the category list did not always exist in MYOB, Super items were spread out in the Deductions & Expense tabs originally.
Option 1:
Think about adding your non-reportable Salary Sacrifice to the deductions tab and set it to exclude that category from the PAYGW calc.
Downside of this work-a-round will be when it comes to actually paying the super I don't believe there is any way to make it appear in the 'Pay Superannuation' screen if you use that function. If you use the 'Pay Liabilities' then it will appear under deductions.
Also bear in mind that when the 'pay super at the same time as the actual pay run' comes in (1/7/2026) this work-a-round might fail there too.
Option 2 (More complex but easier to explain)
See if it is viable to split the non-reportable Super amount out of the base hourlyin the Wages Category (using multiplier to get the correct calc). Exempt the non--reportable Salary Sacrifice wages from the PAYGW calc
Then set up a Super deduction (non-reportable) and set it to equal 100% of the of the wage category you split out.
If you have lots of complex calcs going on in your payroll this method will need extensive testing to ensure you don't inadvertantly cause issues else where in payroll. But its up side is it retains the super liability category in the correct place.
Incase it wasn't obvious: "set up a Super deduction (non-reportable)" you can't use the 'Salary Sacrifice' one from the list since as you know there is no option to call it 'Not Reportable', pick one of the other deduction types. (It does not matter which one, since you are going to tell it its not to be reported)
Option 2 (additional info for working out multipliers)
Lets say the NRSS (non-reportable Salary Sacrifice) is 2%
Splitting that out of Base hourly will need a couple of multipliers calc'd as follows;
Base Hourly Multiplier calc
100% ÷ (100% + NRSS)
or
100% ÷ 102% = 98.04% or for our purposes 0.9804 (MYOB only lets you have 4 decimal places)
The split out NRSS new wage category
Base Hourly NRSS (come up with a better name) Multiplier calc
1 - 0.9804 (from above calc)
= 0.0196
