Teryl @ Work

The link to the Treasury Press Release is below.    It appears that the annuitisation is delayed, however the document released is a proposal and the final information will be covered in the budget speech on the 24th February, 2016 by Pravin Gordhan, current Minister of Finance. Much time and expense has been incurred by many companies to ensure compliance with the new act.  It appears that both Nedlac and Cosatu are objecting to a lack of consultation, with two major issues on the table: The savings are part of worker’s income, and should be accessible to the workers, as and when they need them, particularly with no comprehensive social security in place The fact that a comprehensive social security and retirement reform discussion paper has not been published. There has been general communication regarding the Taxation Laws Amendment Act (TLAA).  It was promulgated in 2013 and signed into law on 8 January 2016 i.e. with an effective date of 1 March...

I am really pleased about this wonderful initiative from South African Payroll Association to recognise the contribution of payroll people over the years.   While the formal recognition is limited to SAPA members, it would be great if we took the time to remember who mentored and taught us all about payroll, in the days before a professional qualification was available. This special week celebrates important aspects to each of us who are passionate about payroll. From the economic, cultural and social achievements of workers, to the significance of "an honest day's work for an honest day's pay," National Payroll Week is a celebration on many levels. To celebrate this important week we want to honour our loyal heroes of the payroll family. We call on you to remember your Hero in Payroll who had a fundamental impact on your career and inspired you to Payroll greatness. ...

The last part of the article on ETI, and we are still waiting for some finalisation, which I will post when I receive it. How does an employer deal with part pay periods? The incentive must be pro-rated to match the calculation of remuneration.  For example, if an employee starts on the 15 th of the month, and earns R2000 in the first month with the company: His remuneration must be grossed up to R4000 per month The ETI on this value calculated (R1000 in the first 12 qualifying months of employment) This results in a R500 ETI for the employer on this employee for this month Does it run for 24 Months from Date of Employment? Confirmation of this is required, but it appears that the Employer may claim for each employee for up to 24 months, even if they are not consecutive (ETI qualifying months, not months of employment) What happens if an employee leaves the organisation? Assuming all other qualifying factors are in place The next employer can start ...

While there has not been agreement from all parties on the Employment Tax Incentive (ETI) Bill, and the roll out, it was formally published on 4th November, 2013.  With the January go live date, there are still some issues that need to be finalised, but simply put, the concept is as follows: The incentive runs from January 1st, 2014 to December 31st, 2016 The employee must be between 18 and 29 years old on the last day of the relevant month The employee must earn a wage of less than R6 001 per month The incentive can only be claimed in the months when the remuneration is under R6 001  The employee must have been engaged after October 1st, 2013 The employer must be eligible by being  Registered for PAYE In good standing with SARS Not local, provincial or national government Limited to South African citizens and valid asylum seekers, the main driver is for youth employment, however, the incentive also applies to employment in Special Economic Zones (SEZ) ...

Human error is one of the 3 major risks in payroll management.   Some fairly simple processes can help to reduce the risk.   And put them in writing, for easy referral. Setting deadlines that are both realistic and practical is one of the first formal processes that should be in place.  It is crucial to have open discussions with all the role players when setting deadlines, so that everybody understands what the implications of not meeting the deadlines are, as well as being committed to the process.  A key success factor is that the contributors are aware that they need to inform the payroll department timeously if the can't hit a deadline, so that alternative arrangements can be made. It is amazing how many people think that its OK if they miss a deadline once, not being aware that if there are 20 deadline contributors who do that once each year, well, you can do the math.... Standard formats  both reduce risk, and make processing easier. ...

Sometimes Right Now feels like an impossible dream, being able to work to a plan, tick all the items in my To Do list, and work from 8 until 5... So many things get in the way of running according to a schedule.   We have implemented a number of different initiatives at  +Accsys (Pty) Ltd  to try and allow people to complete tasks by deadline and take the pressure off.   But we do find that there are incoming tasks and requirements that are part of corporate life that throw out all the best laid plans. So can a Right Now model change that?   To an extent, yes.   In one of my meetings today, one of my managers told me that it was taking a long time to finalise some of her requirements from a shared resource, and yet mine had been managed in a very brief time frame.  Its true that I do have seniority, but I also attached an absolute deadline to the job that had to be done.   So the Right Now model is very much around setting boundaries and time ...