Main Tab

Use this tab to enter the transaction types required to record the back pay lines. These settings are different for Australian and New Zealand and UK companies to enable for the different taxation requirements for the countries.

Australia

Two back pay transaction types are required for each method, one for rate and one for amount type transaction types. Also needed is a tax transaction type for the taxation of the back pay, this needs to be an amount type transaction type.

If some back paid transaction types are not included in the same accumulators as the back pay transaction types, you can set Greentree to base all pay calculations on the source line of the transaction. For example, SGC is only payable on ordinary earnings, not overtime earnings. Setting this option enables Greentree to correctly calculate the special back pay amount, while still calculating SGC on ordinary time earnings, but not overtime earnings.

If using this setting however, back pays are not able to be included on a normal pay, as the back pay lines will be taxed as a back pay, and also as a regular line. So the back pay must be a separate pay which does not have the tax lines default from the employee.

Once setup, the tax transaction type must be included in the selected transaction tax types on the Payment Summary Configuration form.

New Zealand

Back Pays are taxed using the Extra Pay tax transaction types that are set on Module Control.

Once setup, the tax transaction types must be included in the selected transaction types on the Inland Revenue Reporting Configuration form.

United Kingdom

Back Pays are taxed at an employee's regular tax rates so the Back Pay tax transaction types must be added to the accumulators.

Once setup, the tax transaction types must be included in the selected transaction types on the Inland Revenue Reporting Configuration form.

Options Reference

Each option and field on the form is described below. Mandatory options and fields are highlighted in red.

Australia

Rate

Select the rate type pay transaction type that will contain transactions for back pays.

Amount

Select the amount type pay transaction type that will contain transactions for back pays.

Tax

Select the tax transaction type that will contain the tax for back pays. Note this must be an amount type transaction type.

Create back pay when no back pay lines found

When this option is selected, a back pay header record will be created for each employee on the create back pays even if there are no valid lines that require back paying. This enables users to add back pay transactions that are not related to previous lines on a pay.

Use TT from source line for back pay calculations

Select this option to have the calculations based off the source line of the back pay.

New Zealand

Rate

Select the rate type transaction type that the back pay lines will be created for. All original rate type lines will have the difference put to a line with this transaction type.

Amount

Select the amount type transaction type that the back pay lines will be created for. All original amount type lines will have the difference put to a line with this transaction type.

Create back pay when no back pay lines found