Q: We have one employee that has passed away.

So can you confirm we should suspense employee’s pay and then wait for the estate executor as per pay voice below .

In regards to termination process, we just process as per normal termination as no special tax rate to use.

A: If the termination pay is under $15,000 (if approached by a family member that meets the criteria) if greater than $15,000 then yes wait for the executor.  The employee gets taxed normally based on what type of payments to be paid.  See NZPPA Best Practice Procedure on this in the members only portal.