Senior payroll practitioners or consultants who want more understanding of complex payroll calculations in various payment situations and in the configuration of a payroll system.


How complex payroll becomes within a business depends of the range of terms and conditions provided to employees by their employer. This practical course will cover a range of the more complex payroll calculations used in payroll and explore when and how they are applied.

Participants will be provided with a comprehensive manual that includes fully worked examples. Participants will also undertake a range of exercises to understand these calculations.

1 Day


Holidays Act 2003:

  • Defining payments to be included in different periods of gross earnings.
  • Changing the working week (by agreement) and the impact on annual holiday entitlement.
  • Calculating leave in hours, days and weeks to still ensure compliance.
  • Converting hours, days, and weeks when entitlement changes by agreement.
  • Understanding the divisor for leave calculations (AWE, OWP, ADP).
  • Determining an otherwise working day when the employee works a variable work pattern.
  • Transferring public holidays: Christmas/New Year, Waitangi Day and Anzac Day.
  • Determining an accrual rate for annual leave based on a day/week/month (by agreement).

Payments from Holidays Act Remediation

  • Effects of underpayments on gross earnings.
  • How remediation payments are taxed and how it impacts on gross earnings going forward.

Parental Leave:

  • Extended examples of the impact of parental leave on gross earnings for annual holiday entitlement before, during and on return to work from parental leave.

KiwiSaver, Superannuation and ESCT

  • Working out on the grossed-up amount of the ESCT
  • ESCT rate calculation examples
  • Taxing contributions at the employee’s personal tax rate.
  • Definition of salary and wages for KiwiSaver purposes
  • What superannuation/KiwiSaver scheme an employer need not contribute to

Extra pays (Lump sum):

  • Step through the extra pay tax calculation
  • Defining the 4 weeks for extra pay (start point, what payments are included/excluded)
  • Extra pay is paid outside the standard pay period
  • Extra pay calculation as secondary tax

Regular Bonuses

  • Calculate a regular bonus over more than one pay period
  • Calculate a regular bonus over more than a month

Employee Share Schemes (ESS)

  • What income is included or not included in ESS benefits
  • Vesting examples
  • Calculate ESS (deducting and not deducting PAYE)

Child Support

  • Protected net earnings (step-to-step) walkthrough

Calculating other protected net earnings on other attachment orders

  • Attachment types and example
  • Hierarchy of deductions (which comes out first)

IRD Arrears payments

  • Calculating Section 157 notice

Injury Prevention, Rehabilitation and Compensation Act 2001:

  • Calculating the 7 days to determine the first-week workplace accident at the 80%
  • Calculating a top-up payment to ACC using leave under the Holidays Act
  • ACC on termination, impact on annual leave being paid out.
  • Calculating abatement of compensation

NZPPA Legal & Best Practice Procedures:

Purchasing Leave Scheme

  • The advantages and disadvantages of purchasing leave scheme.
  • What rate?
  • How it relates to other leave provided by law
  • How purchased, taxed and issues to be aware of.

For multiple bookings from the 2nd attendees 25% off, contact [email protected]

Member Price: NZ$895.00 + GST
Non-member Price: NZ$1,095.00 + GST

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