Q: I have 3 employees that have Commission owed to them for the March 2021 period, however they terminated last pay period and have had their final payments made.

How do I treat the Commission owed to them and how should I tax it?  In Australia we calculate the marginal tax on it but I’m unsure if that is how I should handle this for our NZ employees.

A: As it is after a final pay the payment would included 8% for holiday pay and be taxed as an extra pay.