Q: I am trying to calculate the total PAYE for an employee who earns $15,868 per year. Tax code M. Monthly pay frequency. I have calculated the PAYE based on the
Paytech Category: Tax calculations & IRD reporting
IRD Forms
Q: Could you please advise on the paperwork requirements for returning employees? Specifically, what timeframe would necessitate re-signing IR330 and KS2 forms? For an employee who left 6 weeks ago and
ESCT query
Q: In preparing for the review of ESCT rates for the coming new financial year, we seek your advice on how the ESCT rates should be applied for employees employed
Cash Up & LSL
Q: Could you please let me know if Cash-up long service leave is included or excluded (like annual leave) as part of gross income. A: As it is an agreed
Taxable Allowances
Q: We are changing to a new payroll system. Can you please confirm a taxable allowance would be included in NZ gross earning annual holiday; BAPS & Order weekly pay
How to tax regular commission payments
Q: We have been overpaying a NZ employee since April 2023. Instead of being set up as a part time employee, they were paid as a full-time employee. What is the
ESCT Rate calculation for commission based employee
Q: The situation is that an employee’s ESCT rate as per their Salary of $185000 is calculated at 33%. When they receive a lumpsum commission e.g 35,000 for a particular pay
Is this a discretionary payment?
Q: An employee suffered an irrecoverable loss of losing his child and the company wants to make a discretionary payment as a good gesture to cover the funeral expenses, etc
Union Allowance
Q: Our company is currently providing a union fee subsidy and below is what was stipulated in a previous collective agreement: “In Recognition of the union, the employer will subsidies
Tax on Hurt and Humiliation
Q: We have a client who has terminated an employee. They have paid out the annual leave and notice period separately. They have an agreement from mediation (MBIE facilitated). –
Changing Tax Codes
Q: Can an employer tell an employee that IRD have changed their tax code? A: Every instruction you get from IRD regarding an employee should be received by the employee
Ministry of Education Allowance
Q: I do payroll for an early childhood centre who have just received their first payment of the Pacific Immersion Teachers Allowance from the Ministry of Education. We have been
Cashing out of leave
Q: If an employee (NZ) cashes out leave, do we include this for the purpose of calculating holiday rate or exclude. A: If you cash out the 1 week in
OWP Calculation
Q: We are having a bit of an issue with a client – they are undergoing an audit by what seems to be an Australian-based company. The crux of it
Annual holiday entitlement pay out – after ACC leave
Q: An employee has been on ACC leave since September 2023 and at the time had exhausted all her annual holiday entitlement. However, since she’s been on ACC leave her
In Lieu notice and Annual Taken In advance
Q: We have a query and hope you can help us. We often have someone terminating and we pay them In Lieu of Notice. Is it correct that not an extra
Relocation Allowance
Q: We have been instructed to pay a relocation allowance to an NZ employee who has had to move location to take up a new position within the company. I
Annual leave cash out
Q: We have an employee who has taken a significant drop in salary and has asked for a week of annual leave cash up, which we have paid (in May).
Included/Not Included in Gross Earnings
Q: We are working on Holiday Pay Calculations and note that employees have received the following: Travel Allowance Meal Allowance Education Allowance Tool Allowance All the above sit under the
Payroll Calendar
Q: When is the first pay period for tax year 2025? Is it week 25-31 March paid on 2 April? Or was 1-7 April paid on 9 April? A: It is