These 

• Pay Codes for Deductions and Superannuation do not need Income Stream
• Taxable Pay Codes where the Income Stream is not Salaries and Wages
• Pay Codes for Leave
  • Reporting Category
  • Default Payment

Pay Codes for Allowances (as per PowerPoint suggestions)

Employee terminations must be reported using Australian Government cessation codes. These cessation codes are mapped to termination reasons using the ExternalSystemType and ExternalSystemCode fields of the luPayrollTerminationReason lookup table.

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Note: Synergetic maps the cessation codes during installation, but you must check the lookup table the mapping must be checked to ensure the mapping it is correct.

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Tax scales have been updated to use a four character code that combines with additional fields on the Tax tab of Payroll Employee Maintenance (see below) to define the tax treatment of each employee.

These tax scales can be viewed using the luPayrollTaxationRate lookup table. We recommend checking this lookup table to familiarise yourself with the new tax scales and understand how they relate to the previous tax scales (see the LegacyTaxScale field).

Employees terminated during the 2022 payroll year must be terminated using termination reasons linked to the new Australian Government cessation codes. We have already mapped the records of the luPayrollTerminationReason lookup table to the new cessation codes, so now we will select a valid reason for each terminated employee on the General tab of Payroll Employee Maintenance.

To check whether valid termination reasons are selected for terminated employees:

1. Select Module > Payroll > Payroll Employee Maintenance from the Main menu.
2. Select 2022 in the Payroll Year field.
3. Select Yes in the Terminated Employees field.
   
   
   
   
4. Click OK.
5. Click the General tab.
6. Select an employee using the Payroll Employee Selector.
7. Select a termination reason using the Reason drop-down list.
8. Repeat steps 5 and 6 for the remaining employees.  

Synergetic automatically converts existing taxation details to the STP2 specification during the upgrade, but you must check the following fields for each employee to ensure the conversion was successful:

• Tax scale
• Medicare Levy Surcharge
• Medicare Levy Reduction
• Tax Treatment Code
• Employment Basis
• Super Liability/OTE Submit
• Income Type.

To check employee taxation details have been correctly converted:

1. Select Module > Payroll > Payroll Employee Maintenance from the Main menu.
2. Click OK.
3. Click the Tax tab.
4. Select an employee using the Payroll Employee Selector.
5. Check whether:
   
   - Tax Scale field is populated with a valid (four character) STP2 tax scale code
   - Medicare Levy Surcharge and Medicare Levy Reduction fields are populated
   - Tax Treatment Code populates correctly
   
     Note: This read-only field is a combination of the values selected for the Tax Scale, Medicare Levy Surcharge and Medicare Levy Reduction.
   
   - Employment Basis field is populated with the employment of the payroll employee (e.g. Full Time Employee)
   - Super Liability/OTE Submit field is populated, if necessary
   - Income Type is populated with Salary or Wages.
   
   
   
   
6. Repeat steps 4 and 5 for the remaining employees.

Review the Pay Codes used and update where new Pay Codes have been created per the STP 2 guidelines