- Select Pay Types > New Allowance or
Select Pay Types from the Side Bar, Navigate to Pay Type, click on the drop-down menu and change to Allowance then click New.
- Enter the Description.
- In Paid by, select Per Hour
- in Amount $ or %, enter 100%
- In Tax Treatment, select Non-Reportable (The ATO publishes an annual Ruling that set out the reasonable allowances amounts).
- Deselect Taxable,
- An Alert will be displayed. Select No.
- Deselect Include in W1
- Deselect Payroll Tax
- Deselect Contributes to $450.00 Rule
- Select Save
- An Alert will be displayed. Select Yes.
- Select Exit
Last modified: Feb 04, 2022