Payroll team Update
On the 1st April 2016 the minimum wage will increase by 50c to $15.25 per hour. This rate applies to all employees 18 years and over. The starting-out and training hourly minimum wage rates will increase to $12.20 per hour, remaining at 80% of the adult minimum wage.
PAYE decrease due to ACC Earner Levy reduction
The ACC Earner Premium reduces from 1.45% to 1.39% per $100 liable earnings on 1st April 2016. This results in a small tax reduction for all employees. If your employees are on salaries and you pay by automatic payment you will need to update the net amount they are paid for the first payroll after 1st April 2016.
Holiday Pay Calculations
There has been some misleading information in the media recently regarding the calculation of annual holidays, and it is ironic that the MBIE – Ministry of Business, Innovation & Employment has been caught up with incorrect calculations which they are now rectifying. If you are unsure if you are paying your employees correctly, refer to the link below or please contact us to help you out.
The legislation is in fact very clear that payment is at the HIGHER of either the ORDINARY WEEKLY PAY at the time the holiday is taken, or the AVERAGE WEEKLY EARNINGS over the 12 months before the leave is taken. If it isn't possible to establish the ordinary weekly, the four-week average can be used.
Paid Parental Leave
Paid parental leave has been extended from 16 to 18 weeks from 1st April 2016 for employees who have worked for 6 months or more. Other 1st April changes in the Employment Standards Legislation Bill include: -
- more flexibility taking parental leave;
- extending entitlements to a wider range of primary carers other than biological or formal adoptive parents;
- providing parental leave payments of up to 13 weeks for parents of preterm babies born before 37 weeks;
- job-protected leave of up to 26 weeks;
- extending parental leave payments to casual and seasonal workers, people with more than one employer and workers who have recently changed jobs. See the link below for more information.
Easter falls at the end of March this year with Good Friday on 25th March and Easter Monday on 28th March. Shop opening hours are restricted on both these days with a few exceptions. The link below to the MBIE website covers many topics regarding employees and public holidays.
Payroll team at Accounted4
Anne Bland Extn.831
Carolyn Lawrence Extn. 837
Maree Craig Extn. 825
Kathryn Leong Extn. 859