Prepare payment summaries

Task 3: Prepare payment summaries

You can use the Payment Summary Assistant to prepare payment summaries, including Employment Termination Payment (ETP) summaries, for your employees using either preprinted forms available from the Australian Taxation Office (ATO) or plain paper. You can also save a copy of your employee’s payment summaries as PDF files, to reprint at a later date.

You can:

▪	lodge your Individual Non-Business and Employment Termination Payment forms electronically and provide copies to your employees by printing them on plain paper.

▪	complete your Individual Non-Business and Employment Termination Payment forms manually using forms provided by the ATO.

▪	prepare Labour Hire payment summary forms provided by the ATO.

See the appropriate procedure below.

Printing payment summaries on plain paper

Plain paper payment summaries are designed to be printed on A4 plain paper. These forms are approved by the ATO. Payment summaries must be printed clearly. You may want to print a sample payment summary to ensure your printer quality is adequate.

Check the information in the payment summary file you send to the ATO

The Payment Summary Assistant will prompt you to save your payment summary data as an EMPDUPE file. This is the file that you send to the ATO.

Before creating the EMPDUPE file, you can check the information it will contain by viewing the Payment Summaries Verification report.

The Payment Summaries Verification report details the individual payment summaries amounts that will be listed in the EMPDUPE file. We recommend you print the verification report and then compare the amounts to other payroll activity information, for example, with information in the Payroll Activity report.

Payroll category totals, gross amounts and tax withheld amounts, etc., should reconcile between the reports. If they do not, you can go back and adjust these figures before you finalise your payment summaries and create the EMPDUPE file.

Sending the EMPDUPE file to the ATO

The EMPDUPE file can be mailed to the ATO or submitted electronically using the Electronic Commerce Interface (ECI) system. If mailing the EMPDUPE, save it to an ATO accepted storage medium, such as a CD, Zip Disk, or other media. The file must be named EMPDUPE.

To prepare individual non-business payment summaries and ETP summaries

1	Go to the Payroll command centre and click Print Payment Summaries. The Payment Summary Assistant window appears.

Select the type of payment summary you want to prepare

2	Select the Individual non-business and Employment termination payment option, then click Next. The Company Information window appears.

Enter company information

3	Enter any company information that does not already appear by default, then click Next. The Payment Summary Fields window appears.

Link payment summary fields to payroll categories

Select a payment summary field in the left column and then select all the payroll categories that are reportable in this field in the right column. For example, select Gross Payments and then click all the payroll categories that are calculated as part of gross payments, such as base salary, base wages, overtime, holiday pay, backpay, etc.

5	If you are preparing ETP payment summaries:

note : ETP payroll categories

You need to have created and set up ETP payroll categories before completing this step. For more information, see ‘Create payroll categories for termination payments’.

a	Link the ETP fields to the relevant payroll categories. These fields are located at the bottom of the list.

b	Link payroll categories used to record bona fide redundancy, approved early retirement or invalidity payments to the Lump Sum Payment A Redundancy field. (For more information, see ‘Processing termination payments’.)

c	Link payroll categories used to record all other Lump Sum Payment A amounts to the Lump Sum Payment A Termination field.

d	Repeat for each required field.

6	Click Next. The Reportable Employer Super window appears.

Report superannuation amounts

7	Select the reportable superannuation payroll categories:

a	Click Link Superannuation Categories. The Link Superannuation Categories window appears, showing a list of your superannuation payroll categories.

b	Click in the column next to each superannuation category you want to select and click OK. The Reportable Employer Super window reappears.

If a selected superannuation category is linked to an employee’s pay, an amount appears next to their name in the list.

c	If you want to, you can type a different amount. Note that if you adjust an amount and then reopen the Link Superannuation Categories window and then click OK, adjusted amounts will reset to the calculated amount.

d	If you manually change an amount in error or if you change an employee’s pay details after starting the Payment Summary Assistant, click Recalc to recalculate the amounts.

8	Click Next. The Reportable Fringe Benefit window appears.

Report Fringe benefit amounts

9	Enter any reportable fringe benefits against the employees whose payment summaries you are preparing, then click Next. The Review the Payment Summaries window appears.

10	Click the zoom arrow next to an employee’s name. The Employee Payment Summary Information window appears.

Review the payment summary details

11	Review the details of the amounts in the top section of the window and make any required changes.

12	[ETP summaries only] In the Employment Termination Payment Additional Information section of the window enter the payment date and select appropriate options relating to the payment.

13	Click OK. The Review the Payment Summaries window reappears.

14	Repeat from step 11 for each employee.

Save or print employee payment summaries.

15	If you want to:

a	save payment summaries as PDFs, click in the select column next to the employee’s name and click Save Payment Summaries.

b	print payment summaries for employees, click in the select column next to the employee’s name and click Print Payment Summaries.

16	Click Next. The Verify your Payroll Information window appears. A summary of the total individual non-business and ETP amounts is displayed in the window. You can check these amounts against other payroll reports.

Verify your payment summary information

17	If you want to verify your payment summary information before preparing the EMPDUPE file:

a	Click Preview Verification Report and print the Payment Summaries Verification Report.

b	Check that these amounts reconcile with other payroll activity reports before creating the EMPDUPE file. If they don’t reconcile, you can go back and adjust them.

18	If you are manually completing the ATO payment summary forms

a	Click Preview Verification Report and print the Payment Summaries Verification report.

b	Click Close to close the Payment Summaries Assistant and use the Payment Summaries Verification report to complete your ATO forms. You do not need to complete the rest of this procedure.

19	Click Next. The Create EMPDUPE File window appears.

Create the EMPDUPE file

20	Click Create EMPDUPE File. The Save As window appears.

21	Select the location to store the EMPDUPE file and click Save. A window appears giving you the option to print the Magnetic Media Information form.

note : Print a Magnetic Media Information information form

If you are sending an EMPDUPE file to the ATO on magnetic media (for example, on CD-ROM), you will need to include a Magnetic Media Information form. You can print this form by clicking Print Magnetic Media Form.

22	Click Next. The Make a Backup window appears.

Back up your company file

23	If you want to back up your company file:

a	Click Backup. A window appears with backup options and company file error checking options.

b	Select the options you want and click Continue. The Back Up window appears.

c	Select the location to store the backup file and click Save. The Payment Summaries Assistant closes.

24	If you do not want to back up your company file, click Finish. The Payment Summaries Assistant .

To print the Labour Hire and Other Specified Payments report

1	Go to the Payroll command centre and click Print Payment Summaries. The Payment Summary Assistant window appears.

2	Select the Business and Personal Services Income - Labour Hire and other specified payments option.

3	Click Next. The Payment Summary Fields window appears.

4	Link the Labour Hire and Specified Payments summary fields with your payroll categories.

a	Select the payment summary field in the list on the left side of the window.

b	In the list on the right side of the window, click the payroll categories that should appear in the payment summary field you’ve selected.

5	Click Next. The Reportable Employer Super window appears.

6	Select the reportable superannuation payroll categories:

a	Click Link Superannuation Categories. The Link Superannuation Categories window appears, showing a list of your superannuation payroll categories.

b	Click in the column next to each superannuation category you want to select and click OK. The Reportable Employer Super window reappears.

If a selected superannuation category is linked to an employee’s pay, an amount appears next to their name in the list.

7	If you want to, you can type a different amount. Note that if you adjust an amount and then reopen the Link Superannuation Categories window and then click OK, adjusted amounts will reset to the calculated amount.

8	If you manually change an amount in error or if you change an employee’s pay details after starting the Payment Summary Assistant, click Recalc to recalculate the amounts.

9	Click Next. The Review Payment Summaries window appears.

10	If you want to view or edit an employee’s payment summary information, click the zoom arrow next to the employee. The Employee Payment Summary Information window appears.

a	Make any required changes, such as adding the employee’s tax file number

Click OK.

note : Print the Labour Hire report

Use the Labour Hire report to help you complete the PAYG payment summary—labour hire and other specified payments (NAT 3282) forms supplied by the ATO. To print the Labour Hire report, click Print Labour Hire Reports and then Print.

11	Click Next. The Finish window appears. This window provides general instructions for submitting Labour Hire and Other Specified Payments information to the ATO.

12	Click Finish to close the Payment Summary Assistant window.

13	Manually transfer the payment summary report information onto the forms provided by the ATO.