Setting Up a Casual Employee in Account Right 2020.2

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Setting Up a Casual Employee in Account Right 2020.2

I wish to set up a Casual Employee with MYOB calculating the various Penalties based on a General Rate;

I have setup the Personal Details showing Casual;

I have setup the Wages with the Casual rate published by Fair Work;

This is a General Rate not the Base Rate;

Fair Work also publishes the Penalties based on the Base Rate;

Why does MYOB calculate from the General Rate;

If I adjust the Penalty Percentage the Pay Slip will look odd;

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Setting up Payroll

I wish to set up a Casual Employee with MYOB calculating the various Penalties based on a General Rate;

I have setup the Personal Details showing Casual;

I have setup the Wages with the Casual rate published by Fair Work;

This is a General Rate not the Base Rate;

Fair Work also publishes the Penalties based on the Base Rate;

Why does MYOB calculate from the General Rate;

If I adjust the Penalty Percentage the Pay Slip will look odd;

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Re: Setting Up a Casual Employee in Account Right 2020.2

Hello @ROBERT 

 

As Casual workers don't get a confirmed amount of hours, the field under the Wages tab in the Employees Payroll Information is designed as an "estimate" field for their hours. That said, assuming you have selected 'Base Hourly,' you should be able to go into the Standard Pay tab on the left hand side and make the hours 0 under 'Base Hourly.' This way, when you process pays for your Casual employee, no hours will be automatically calculated and the correct number of hours can be input. 

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As for the details that display on the Payslip, an Annual Salary amount is pulled from the fields in their Card File based on the estimated hourly rate. This cannot be edited to be 0, though you can have 2 options:

1. Advise the Employee of this information on their Payslip.

2. Remove the annual salary field from the Payslip form (This affects all employees).

Kind regards,
Emily

MYOB Community Support

Online Help| Forum Search| my.MYOB| Download Page

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Re: Setting Up a Casual Employee in Account Right 2020.2

Hello Emily,

Thank you for the reply - your comments are helpful but I will try again to convey my enquiry:

With regard to a Casual Employee - MYOB confuses 'Base Hourly' with 'Regular Hourly';

'Base Hourly' is the amount nominated by an Award as the Base or starting point for a 'Full Time' Employee;

In the case of a 'Casual Employee' the 'Regular Hourly' amount is the Base amount plus a prescribed Penalty;

If we apply a further Penalty to the Regular rate then we are doubling up on the Casual Penalty;

How can I avoid this and present the situation suitably on the Pay Slip;

Bob

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Re: Setting Up a Casual Employee in Account Right 2020.2

Hello @ROBERT 

 

Apologies if I did misunderstand your query. To better answer your question: The standard hourly amount that casual employees are paid (not including loading or penalties) should be input in the Employee Card as Base Hourly. Then, any penalties or loading should be reported separately via their own, individual Wage Categories. It is not advised to set up a casual employee's Base Hourly as the standard hourly rate plus their casual loading, as Fairwork does ask that all additional loading, awards, overtime, or penalties are clearly indicated separately on payslips. 

 

As per FairWork, payslips should include: any loadings (including casual loading), allowances, bonuses, incentive-based payments, penalty rates or other paid entitlements that can be separated out from an employee’s ordinary hourly rate. This will avoid confusion with employees who may misinterpret a combined hourly rate as potentially not including the loading they are entitled to.

 

Please refer to this Help Article on creating Wage Categories, for more information on how to create a new Wage Category for "Casual Loading" and link it to the applicable employees. These forum posts have a similar query as well: here, here, and here

Kind regards,
Emily

MYOB Community Support

Online Help| Forum Search| my.MYOB| Download Page

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