Pay Employees

The instructions in this article relate to Pay Employees. The icon may be located on your StrataMax Desktop or found using the StrataMax Search.

Pay employees allows for an employee to be setup with Gross Wages, Tax and Superannuation details to be regularly generated.  This will create the required transactions to pay the employee (net wages), ATO (withholding tax) and the Superannuation company (superannuation).

Pay Employees | Security 

To access the Pay Employees, the user must have permission set to 'Allow' for Pay Employees under the 'Payments' category in Security Setup.

Payment of Wages

If there is an employee to be paid by the Building / Plan, the following should be reviewed prior to adding an employee:

1. Building Information
   • Update for 'Registered for BAS / IAS (GST)' to Yes.
   • Update PAYG Withholding to be Monthly / Quarterly for remitting of tax for the employee to the Australian Taxation Office (ATO),
2. Account Maintenance
   • Wages expense code - must have tax code: Wages (Gross) for reporting at W1 on the BAS.
   • Withholding Tax account (06100*) to be correctly set as a system account: PAYG Withholding Tax.
   • Tax on Wages will automatically be applied to generated Tax amounts for reporting at W2 on the BAS based on the amount recorded as Tax Withheld in the Pay Employees.
3. Creditor Maintenance
   • Setup creditor accounts for Employee, Superannuation and ATO.  Ensure to setup the Tax code correctly as advised by your accountant / tax agent.

Pay Employees Status

1. Search or select Pay Employees.
2. Select from options:
   • Current building: Ensures only the employees for the current selected building (noted at the top of the window) are processed.
   • My Buildings (Account Manager): To select an individual Account Manager name and the properties they are listed for.
   • Management Office: Select from drop down if being used.
   • All Buildings: All currently active buildings in the portfolio.
3. Select from filters
   • Show all to see all setup employees.
   • Show due only to see only those with a next pay date that is in the past and not yet been processed.

Add Employee to Current Building

1. Navigate to the Building using the Building Selector.
2. Search or select Pay Employees.
3. Select 'Add Employee to Current Building'.
   • Complete all fields, then select save.

NOTE:  Wages expense account must be set tax type 'Wages (Gross)' to be able to be selected in the Gross Pay and / or Overtime fields.  Tax Withheld will reported on the BAS as W2.

Edit / Generate Employee Pay

1. Search or select Pay Employees.
2. Show 'Due only'.
3. Select the Employee for wages to be generated or edited.
4. Select the arrow to 'Edit or Generate Employee Pay'.

5. Update details if just requiring an 'Edit' 
6. Select 'Generate' to process pay based on the displayed details, click 'Yes' if prompted to review the date
7. Select 'Yes' to save changes or the 'Save' button
8. Select Close.
   

The following transactions will be created when a pay is generated.

Employee Creditor 

Gross Wages expense = $1,000.00 less - Withholding Tax liability = ($105.00) - Total for Employee Creditor to be paid $895.00

Superannuation Creditor and expense $122.55, payable based on payment method in the selected Creditor account and reference entered.

Withholding Tax will be reported as Tax withheld (W2) on the BAS and will be payable to the ATO with the completion of the BAS reporting period.  The finalise of the BAS will create the ATO Creditor Invoice and the Withholding Tax Account will be cleared.

Follow the normal Payments process once the pay has been generated or use Payment Entry to complete an individual payment for the employee and / or superannuation contribution.

Delete Employee 

1. Search or select Pay Employees.
2. Select the Employee for wages to be deleted.
3. Select the arrow to open the selected employee record.
4. Select 'Delete' and then 'Yes' to remove the employee.

NOTE: This will only remove the employee record, not previous processed transactions which can be reviewed in Local Transactions.