Forum Discussion

Annie31's avatar
Annie31
Experienced User
12 months ago

STP2

Sorry to bring this up again; Has anyone found a way to deal with STP2 & All-purpose allowances (Electrical, electronic & communications contracting award 2020)

 

Our electricians get paid 3 all-purpose allowances which make up their base wage and is used for calculating weekly wage, overtime, annual leave loading, superannuation etc.  How do I report the 3 allowances $$ separately to the ATO under STP2 without affecting the base wage where the allowances have already been included? 

 

I have now been calculating wages manually for 18 months :(

  • Hi, Annie31

     

    Thanks for your prompt response.

     

    Yes, you may need to create an overtime payroll category for each employee if they different hourly rate.

     

    If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

     

    Best regards,

    Doreen

  • Doreen_P's avatar
    Doreen_P
    MYOB Moderator

    Hi, Annie31

     

    Thanks for your post.

     

    When creating an all-purpose allowance, you may need to set up separate wage categories for each allowance you will need to pay and assign it to the applicable ATO Reporting Category for those allowances. To do this, we recommend checking the Help Article: Allowances for further details on how to set up an all-purpose allowance.

     

    Please lt us know if you require any further assistance with this.

     

    Best regards,

    Doreen

  • Annie31's avatar
    Annie31
    Experienced User

    Sorry, I may not have been clear enough.  I have all my allowances set up and record separately to the ATO but what happens when overtime is worked.

     

    As an example, An electrician earns $50/hr (above award payment which absorbs the all-purpose allowances)

     

    STP2 is split   ($1900 gross for 38hrs)

    Base wage           $47.5145/hr      $1805.55

    Electricians licence allowance      $    35.82

    Industry allowance                       $    36.82

    Tool allowance                              $   21.81

                                                           $1900.00

     

    This is how I would report a standard 38hr week

    When overtime is worked it needs to be calculated using $50/hr not $47.5145/hr

    • Doreen_P's avatar
      Doreen_P
      MYOB Moderator

      Hi, Annie31

       

      Thanks for your response.

       

      In this case, we highly recommend creating a separate payroll category for the overtime and then entering the correct amount. You may check the Help Article: Overtime for further information on how to create an overtime payroll category.

       

      Should you need further assistance, don't hesitate to reach out to us.

       

      Best regards,

      Doreen

      • Annie31's avatar
        Annie31
        Experienced User

        Thanks Doreen - Will i have to do one for each employee as the hourly rate varies throughout workforce??

Looking for something else?

Search the Community Forum for answers or find your topic and get the conversation started!

Community home

Dig into MYOB Academy for free courses, learning paths and live events to help build your business with MYOB.