Tax Periods:
Payroll requires a tax period to be set up for every employee before pay slips can be generated. A tax period represents an IRP5 certificate and all pay slip transactions are linked to a tax period. After an employee has been added, go Main Menu / Employees(Monthly Mike) / Tax Periods / Add, provide ‘Date of next Transaction’ and then press ‘Calculate Number of pay Periods’. Number of pay periods is rounded to a full decimal.
Remember, “Period employed to” is usually the end of the tax year, but if an employee leaves the company or dies, this date must be changed to the last day he/she worked for the company. Remember to press the “Calculate Number of Pay Periods” if “Period employed to” changes. Also remember that if “Period employed to” changes, “Date of next transaction” must be blank.
(NB: Date of Next Transaction is used by Payroll to determine when the next pay slip/transaction should be generated.)
Base Package
A base package defines what an employee should normally be paid per pay slip. Go Main Menu / Employees(Monthly Mike) / Base Package / Earnings / Add, and specify a Base Salary of R10,000.00. (Note: Earning type “Salary” and “Wages” should be used if employees are paid per hour.)
Allways click on Assign defaults after making changes to the base package.
