Learn how to take control of your company’s payroll
The payroll for any company is never a static phenomenon. It changes according to tax increases, the bonuses you pay out, and the salary increases you give to your employees. You can try to regulate these in order to ensure that these adjustments happen at about the same time, but the calculations will still have to be made and the data captured.
With the right payroll software, you’ll be able to make these adjustments with ease as the programme will do the actual calculations for you. This means that your relationship with staff members is smoother and not disrupted by late or missed payments.
Contact QuickBooks today on 0861 726 657 to learn more about the three software packages we offer to small, medium and growing businesses.
The elements that affect your payroll calculations
Each time you pay staff members, there are several fundamentals to take into account, including:
- The tax threshold – Every year this amount increases to keep up with inflation and this change can affect your staff in numerous ways. It’s important to have this information on hand when working out your yearly increases and how much tax you must pay on behalf of your employees. With QuickBooks, you’re ensured that your company is always compliant with South African regulations and tax law. This is because our software receives regular updates regarding these regulations and laws as they happen.
- Annual bonuses – It’s always nice to reward hardworking employees with bonuses at the end of the year. There are some instances when a thirteenth cheque is built into a contract. Other times, the bonus is calculated strictly on merit and performance throughout the year. Either way, there will be additional PAYE tax incurred that must be deducted and paid on behalf of your personnel.
- Company contributions – PAYE, UIF and Skills Development Levies (SDL) are the payments that every employer is legally bound to make for their employees. The calculated PAYE and 1% UIF are deducted from the salaries or wages and paid over to SARS every month. As the employer, you then add the same again for UIF and pay the additional 1% SDL amount. Other contributions that companies can choose to make for their staff include medical aid, a retirement annuity fund and a pension fund. These benefits would form part of the employee’s contract and are therefore part of their remuneration package.
With QuickBooks software, you’ll have access to our payroll courses and other training programmes to help you take control of how you remunerate your staff. Contact us today on 0861 726 657 and find out how you can simplify your finances with our effective payroll solutions.