FOR

Intermediate-level payroll practitioners, or advanced practitioners wanting a refresher, covering all areas of an employee’s termination pay.

Important point: This course is not suited to someone new to payroll or in an entry-level payroll position.

PURPOSE

There are two critical points in the lifecycle of an employee that payroll must get right: when an employee starts employment and when their employment ends.

For payroll, it is essential to fully understand the reason for termination, as this determines how termination pay is processed. Outside standard payroll processing, termination pay is a business-critical activity because of the substantial risk to the business if not processed correctly and the direct impact on the employee.

This course provides the information payroll practitioners need to assess and understand what their payroll system is doing regarding termination pay, based on legislative compliance and payroll best practice.

Participants will receive a comprehensive manual with fully worked examples and references. Participants will also undertake a range of termination pay calculation exercises.

DURATION

• 1 day, virtual online training.
• Runs from 9.00 am to 4.15 pm.
• The course link will be sent at the start of the course week.

COURSE CONTENT

• Reasons for termination and legal factors: resignation, redundancy, disciplinary termination, retirement, abandonment of employment, not returning from parental leave, long-term sickness or incapacity, not returning from ACC, death, and frustration of contract.
• Employment agreement clauses: termination clauses, notice periods, redundancy compensation, and when final pay will be paid.
• Special agreed terms: garden leave and bonding agreements.
• Legislative payments: minimum wage, Holidays Act 2003 requirements, annual holidays on termination before and after 12 months, upcoming public holidays, alternative holidays, ACC impacts, parental leave situations, extra pay, exit inducement payments, restrictive covenant payments, and personal grievance payments.
• Common agreed payments: working notice, payment in lieu of notice, extended notice, bonuses, commissions, long service leave, TOIL, additional agreed annual leave, redundancy compensation, retirement allowances, and reimbursing allowances.
• Deductions from termination pay: Wages Protection Act 1983 requirements, payments owed to the employer, overpayments, child support, student loans, MSD deductions, court fines, IRD 157 notices, KiwiSaver treatment, and ACC earner levy exclusions.
• Tax treatment: how different termination payments are taxed, how leave payments are taxed, and which payments are treated as extra pay or lump sum payments.
• Termination documentation: resignation letters, termination checklists, final timesheets, final payslips, and required payroll records.
• Final pay exercises: practical exercises covering a range of final pay scenarios.

LEARNING OUTCOMES

At the end of the course, participants will be able to:

• Understand the different termination situations payroll needs to process and the legal factors involved.
• Explain the difference between legislative and agreed-upon payments.
• Identify payments, deductions, and documentation required for termination pay.
• Calculate a range of different termination pay scenarios.

On completion of the course, attendees will receive a Certificate of Attendance.

NZPPA CERTIFICATION

This course will, in part, help you meet the online assessment requirements for NZPPA Certification, which is required to become a recognised payroll professional.

CANCELLATIONS, TRANSFERS AND REFUNDS

We require ten clear business days’ notice of cancellation to allow for a full refund or transfer to another course. Only registrations cancelled with less than ten business days’ notice will be eligible for a transfer or refund. Substitute participants are always welcome.