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  1. AU Payroll | STP phase 2 - Split allowances from the hourly rate

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    2 comments  ·  For small businesses » Payroll  ·  Admin →
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    submitted  ·  AdminEthan M (Admin, Xero) responded

    Hey community 👋 thanks for the interest in this idea! 


    Just to clarify, when creating a new allowance pay item, you'll have the options to 'Contribute towards annual leave rate' and 'contributes towards overtime rate'.


    This setting will include allowance type pay items in the calculation of annual leave and overtime rates. 


    I can see the main request here was a 'box to indicate an add on allowance'. 


    Can you confirm if this tick box in payroll settings solves that request? 


    -Ethan M

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    Eddie Wellington commented  · 

    Basically the pay rate, plus any allowances (we have tool and industry) form the ordinary earning pay rate. But in saying this, we still need to show them earning the allowances for all types (ie Hourly, Annual Leave, personal leave, etc...). Plus it needs to multiply out on the overtime and crib allowances but still show they are earning these allowances as it forms the base ordinary rate inclusive.

    See attached example of a current pay that I manually generate.

    Eddie Wellington shared this idea  ·