Frequently asked Payroll Questions

General Questions

I’m a new payroll client. What do I need to do to get paid? 

You need to complete a Payment Authorisation form and send it to the Payroll team. Please note that it takes at least 5 working days to set up a payroll site that we can use to load your employees’ details and process payroll payment.

I have a new employee-what do I need to do in order to pay them? 

If you have hired a new employee, please fill in the Employee Information form, bank confirmation slip and get your employee to complete an IR330 (tax code form) and a KS2 (Kiwisaver New Employee form) and KS10 (Opt out) if they don’t want to join Kiwisaver. Ensure you keep a copy of these documents for your records.  Send all forms to Payroll at least three working days before your employee’s first timesheet is due to be sent to us.

I received an ACC invoice. What do I need to do? 

ACC invoices are usually sent to Manawanui for payment (refer to the ACC accrual on client statements). If the invoices are sent to your home address, please forward them to us at PO Box 83, Albany Village, Auckland 0755 with a cover note asking us to pay on your behalf because your employees are paid through Manawanui’s payroll service.

My employee is casual and I want to make them permanent, how do I go about this? 

You would need to complete an Employee Change in Details form and send to our Payroll team and we will change your employee’s position in the Payroll system. You will also need to update the Employment Agreement to reflect these changes.

What is the difference between casual and part-time employees? 

A casual employee is employed to work as and when needed, without any expectation of continued employment. An employee is classified as part-time when there is an expectation of continued employment.

What is considered part-time and full-time?

Part-time employment is less than 30 hours a week. Full-time employment is 30 hours a week or more.

Forms

What payroll forms will I have to send to Manawanui? 

Payroll Form Template When to send
Timesheet Claiming hours and expenses
Employee information Hired a new employee or re-hired a former employee
Change of details ·         Increased an employee wage rate

·         Set up an additional wage rate

·         Changes to employee’s personal details (e.g. address, contact number)

·         Changes to employee’s tenure (e.g. part time to casual or vice versa)

·         Changes to employee’s bank account

IR330 tax declaration, Kiwisaver KS2, KS10 Hired a new employee or re-hired a former employee.

There are changes needing to be made to current employee’s tax code or Kiwisaver entitlement

Leave request Employee is taking time off (e.g. annual leave,  alternative leave, bereavement, statutory holiday, sick leave)
Resignation form Employee leaving the job
Holiday cash up Employee wants to convert up to one week of their earned holiday leave

Where do I send the Payroll forms? 

You can email the payroll forms to payroll@incharge.org.nz. Alternatively, you can fax them to this number 09-444 8439 or send them by post to PO Box 83 Albany Village, Auckland.

Do I have the correct PayCycle Calendar? 

We have two Pay Cycle calendars, named, Pay Cycle 1 and Pay Cycle 2. If your client code incudes the code P2 (for example P2DOEJAN), then you should have Pay Cycle 2 calendar. If your client code is without the P2 code, then you are under Pay Cycle 1. Please ask your coach to confirm the appropriate pay cycle calendar for you.

I sent a payroll form. Will I receive a confirmation from payroll? 

You won’t receive a phone confirmation from payroll whenever you send a payroll document. However, you will get an automatic email acknowledgement for all timesheets that are emailed in.

My employee has just resigned, do I need to send in any payroll forms?

You will need to send the employee resignation form, and if necessary, the outstanding timesheet and leave form. Send these documents to the Payroll Team.

Leave

How do I find out my employee’s leave balance? 

Your employee’s Holiday and Alternative leave balance should be visible at the bottom of their payslip under Leave Balance.

Can my employee cash-in annual holidays?

Employees are able to cash-in up to one week of their minimum entitlement of annual leave per year. Email Payroll to verify if your employee is able to cash-in a week of holiday leave.

Can my employee cash in their alternative holidays (days in lieu)?

If more than 12 months have passed since the employee earned their alternative holiday, the employee can request that the alternative holiday be exchanged for payment or cash up. Email Payroll to verify if your employee is able to cash-in their alternative public holiday earned.

When is my employee entitled to sick leave? 

All employees are entitled to a minimum of five (5) days paid sick leave after the first six months of continuous employment and additional five (5) days paid sick leave after each subsequent 12 month period thereafter.

If you have agreed that the employee is entitled to sick leave from the start of their employment, please note that in the employee information form.

Is my employee entitled to bereavement leave?

After six months of continuous employment, employees are entitled to paid bereavement leave.

  • Three (3) days of bereavement on the death of a spouse/partner, parent, child, sibling, grandparent, grandchild or spouse/partner’s parent.
  • One (1) day if the employer accepts that they have suffered bereavement involving another person not included above.

Time-sheets

When are the time-sheets due? 

The time-sheets are due every fortnight on a Monday.  However, please double-check with your appropriate Pay Cycle Calendar, as the due date can change from time to time. We will also send a courtesy time-sheet email reminder two working days before the time-sheets are due.

I sent through my employee’s time-sheets? Will I receive a confirmation from Payroll?

You won’t receive a phone confirmation from Payroll, however, you will get an automatic email acknowledgment for all timesheets that are emailed through to us.

I sent my time-sheet in late, will my employee be paid?

If you sent your time-sheet after we have finalized the pay (Wednesday after 10am), the time-sheet will be processed and paid on Friday night subject to existing payment policy (e.g. availability and sufficiency of client’s funds). If you require processing and payment be made on Thursday of the payment week, there is a late payment fee of $50.

I sent through an incorrect time-sheet or discovered an error in the time-sheet.

Send in the amended timesheet. Please mark the timesheet as “amended”. If necessary, send through an email detailing the error to Payroll.

Payslips and Wages

I have received my employee’s timeslips but no payment yet has been deposited into their bank account. 

As we process the time-sheets from Monday to Wednesday morning, you will receive the appropriate payslip from Monday to Wednesday. However, the actual payment going to your employee’s bank account will only be made on Wednesday night. It will be appear in their bank account on Thursday morning.

My employee has requested that Manawanui emails their payslip directly to them, can this be done? 

Your employee’s payslip can only be sent to you directly, as you are the employer, not Manawanui.

My employee worked on a statutory holiday. Is it paid at time and a half? 

They will be paid Time and a half for the hours worked.  Plus they will have received payment for the alternative public holiday worked, if the public holiday is a normal working day for the employee.

Do casual employees get time and a half in lieu credits for working on a statutory holiday?

They will only be paid Time and a half for the hours worked but no alternative public holiday.

Does my employee get paid if they opted not to work on a statutory holiday?

If an employee normally works on a public holiday and opted not to work, they will receive their normal daily pay for that particular day. It is recorded as a Statutory Holiday taken.

My employee worked on a statutory holiday but these hours are not showing as ordinary hours paid on the payslip. 

Hours worked on a public holiday are not included in the Ordinary or Normal hours worked. They are recorded as Public Holiday Worked (1.5) under the Leave Section of the payslip.

What does it mean to accrue leave and does this apply to all staff? 

Part time and full time employees will accrue annual leave hours. The leave that employees accrue during the holiday pay year is called Accrued Leave and every pay this keeps increasing based either on hours worked or the days paid.

My casual employee gets paid annual leave each pay, how is this calculated? 

Casual employees get paid 8% of gross taxable earnings as Holiday Pay on top of their wages. Example: if Gross taxable wages is $588. Holiday pay is $588 x 8% = $47.04.

What will be the final pay of an outgoing employee? 

On employee’s resignation or termination, final pay will include outstanding holiday and alternative public holiday classified as Termination pay in the Summary Section of the payslip as shown below.

When does a resigned employee expect payment of final wages and holiday pay? 

Employees should expect to receive their final wages and holiday pay in their pay for the final pay period of their employment.

I discovered an error in an employee payslip. What should I do? 

Email a pay query to payroll@incharge.org.nz detailing the pay error. Payroll will investigate the pay issue and if necessary, will make the necessary pay adjustments.

Kiwisaver

What is Kiwisaver automatic enrolment? 

When an employee starts a new job, if they are not already a Kiwisaver member and are eligible, the employee will be automatically enrolled in Kiwisaver.

Employees will be automatically enrolled in Kiwisaver if they are aged between 18 to 64 years, have started a new job with a new employer and the job is full time or permanent part time.

My employee is having Kiwisaver deducted from their pay, but does not want to be a part of Kiwisaver. What should I do to stop this? 

Eligible new employees are automatically enrolled into Kiwisaver when they start.  However, after they’ve been in their new job for at least two weeks, but before their ninth week starts (from day 14 to day 56 from the day they started the job) they can opt out of Kiwisaver. The employee needs to fill in a Kiwisaver opting out (KS10) form and you will need to send this form to us. Once we have received this form, we will stop the Kiwisaver deductions after 14 days from their start date (which means the first pay will have Kiwisaver deduction) and IRD will refund your employee any deductions taken out of their wages.

My employee wants to change the percentage (%) they are paying to Kiwisaver, how do I do this? 

Your employee would need to complete a Kiwisaver deduction (KS2) form and you will need to keep a copy and send the form to Payroll.  We will then update the payroll system to reflect this.

My employee is under 18, can they join Kiwisaver? 

Yes, however, the employee can’t join Kiwisaver through the employer. The employee needs to enrol directly through a Kiwisaver scheme provider.

My employee is on a casual contract, can they join Kiwisaver? 

Yes, a casual employee can join Kiwisaver if they wish. They would need to complete a Kiwisaver opt- in form (KS2) and you will need to send this through to us.

My employee is on a working visa, can they join Kiwisaver? 

No. You can only  join Kiwisaver if you are a New Zealand citizen or entitled to live in New Zealand indefinitely (e.g. permanent resident).

Why are there two Kiwisaver amounts on the payslip?

If an employee is on Kiwisaver, two entities contribute – employee and employer. The employee Kiwisaver contribution is shown under the Deduction section of the payslip. The employer Kiwisaver contribution (CEC) is shown under the Benefits section. The employer Kiwisaver CEC is subject to tax.

Deducations, Taxes and Year to Date

I’ve received a Notice of Deduction from the IRD/WINZ/Court Fines, in regards to my employee’s wages, what do I do with these notices? 

If you received any deduction notices for IRD debt, student loan extra deduction, WINZ or a Court fine send these notices to Payroll and we will set this up in the payroll system.

One of my employees has a personal loan (e.g. finance company), can you set up a deduction to pay this finance company?

No.The employee can set up their own personal payment schedule.

One of my employees has resigned; can you deduct an amount owed to me from the final pay? If not, how can I recover the money? 

The Wages Protection Act prohibits employers from deducting money from an employee’s pay without the employee’s written consent. This means that you must get your employee’s written consent to deduct the money owned or pursue that matter as a debt.

One way to pursue repayment is that you can apply to the Employment Relations Authority for a compliance order for your employee to repay the money owned.

My employee wants to check their tax code? What should I do? 

Your employee needs to fill in an IR330 – tax code declaration form and give it to you.  You should then send us the IR330 form and If possible, please state the client name on the IRD form. We will then change their tax code and notify the IRD.

This is my employee’s main job and the tax code includes SL. Why is there no student loan being deducted? 

We will deduct 12 cents for each dollar the employee earns over the pay period repayment threshold for the student loan. If the employee earns below the threshold, there won’t be any deductions.

The pay period repayment threshold is based on the annual repayment threshold of $19,084. Payroll won’t make any deduction for your employee’s student loan if the employee doesn’t earn over the threshold.

What is the student loan deduction, if this is my employee’s secondary job and they use a secondary tax code with an SL code? 

The secondary code with “SL” repayment code tells the payroll to deduct 12 cents for each dollar earned by your employee from this job.

My employee requires a summary of earnings/PAYE for taxes or financial purposes? 

Contact Payroll for further details of your employee’s requirements and Payroll will send the Summary of Earnings Report.

Why did the IRD request the IR3 – income tax return? Can you sort this out with the IRD directly? 

There are many reasons that the IRD request IR3 (e.g. you are generating rental income, self-employed, etc.).

As you know individualised Funding is not taxable income therefore you do not have to pay any tax on any IF funding you receive.  If you have no other income , please fill in the form with a nil return ($0) in the relevant spaces and return it to the IRD advising them that they should refer to the Individualized Funding Tax Treatment as this explain about IF and tax. You can call IRD at 0800 377  774 and they will update your details.