Add a Termination / Cessation Pay Rate

!e-PayDay® Payroll Support Personnel are not registered Taxation or BAS agents (members of the Tax Practitioners Board (TPB)) and therefore are unable to provide payroll advice. We can assist you in the use of the software in obtaining your desired outcome based on advice provided to you by your Accountant or Bookkeeper.

!Before processing any Cessation Pays, we strongly advise contacting your Accountant and/or Bookkeeper to confirm your Superannuation Guarantee (SG) obligations in regards to Unused Leave Pay Rates.

1. Click Pay Types > New Pay Rate or
   Click Pay Types from the Side Bar, Navigate to Pay Type, click on the drop-down menu and change to Pay Rate then click New.
2. Enter the Description.
3. Select Paid by.
   1. Per Day
   2. Per Hour
   3. Per Lump Sum
   4. Per Month
   5. Per Pay Period
   6. Per Week
4. Enter the Amount ( $ or % ).
5. If the employee is entitled to earn more super on this pay rate, enter the Superannuation % in Using Super as set in the employees’ file instead of X.XX%.
6. In Tax Treatment, select from the following options;
   1. Employment Termination Payment, Death benefit dependants ETP (Taxed at 0%) (ETP)    
   2. Employment Termination Payment, Death benefit dependants ETP (Taxed at 47%) (ETP)  
   3. Employment Termination Payment, Death benefit non-dependants ETP (Taxed at 32%) (ETP)    
   4. Employment Termination Payment, Death benefit non-dependants ETP (Taxed at 47%) (ETP) 
   5. Employment Termination Payment, Life benefit (Taxed at 17%) (ETP)    
   6. Employment Termination Payment, Life benefit (Taxed at 32%) (ETP)    
   7. Employment Termination Payment, Life benefit (Taxed at 47%) (ETP)  
   8. Employment Termination Payment, Post-June 94 Invalidity (Taxed at 0%) (ETP)
   9. Employment Termination Payment, Pre-July 83 Invalidity (Taxed at 0%) (ETP)    
   10. Employment Termination Payment, Foreign resident No TFN (Taxed at 45%) (ETP) 
   11. Employment Termination Payment, No TFN (Taxed at 47%) (ETP)    
   12. Employment Termination Payment, Rolled over (Taxed at 0%) (ETP)
   13. Redundancy / Invalidity / Retirement payments (Taxed at 0%) (Lump Sum D)
   14. Unused Annual Leave accrued before 18/8/1993 (Taxed at 32% – Lump Sum A)
   15. Unused Annual Leave accrued after 17/8/1993 (Taxed at Marginal rates)
   16. Unused Annual Leave, Genuine Redundancy (Taxed at 32% – Lump Sum A)
   17. Unused Long Service accrued before 16/8/78 (5% of the total taxed at marginal rates – Lump Sum B)
   18. Unused Long Service accrued between 16/8/78 and 17/8/93 (Taxed at 32% – Lump Sum A)
   19. Unused Long Service accrued after 17/8/1993 (Taxed at Marginal rates)
   20. Unused Long Service, Genuine Redundancy (Taxed at 32% – Lump Sum A)
7. If required, change the following fields,
   1. Tax
      1. Payroll Tax
   2. Accruals
      1. Long Service Leave
      2. Annual Leave
      3. Superannuation (OTE)
      4. RDO’s
      5. Personal Leave
      6. Contributes to $450.00 Rule
      7. Union/Professional association
      8. Super Deducted before tax is calculated.
8. Click Save then Exit.