Page 9 - KZN Business Sense - 8.2

PAYSLIPS – JUST ANOTHER PIECE OF PAPER?

Johan van Deventer, ■ Number of ordinary and ■ Income Tax Number
Regional Manager, overtime hours worked ■ Annual Leave Balance
KwaZulu-Natal ■ Sunday or public holiday ■ Employees Bank Account
Number of hours worked on a
P ayslip, ■ and overtime hours worked Number
The total number of ordinary
Pay Stub,
These additional items not
Remittance in the period of averaging, if only assist the employee when
a payslip is required to be
Advice, a collective agreement to produced as proof of income, but
Remuneration average working time has
Statement. been concluded. also assists the employer in the
long run. SARS’s requirements
Call it what The employer must also give the
you will, but relevant payslip, as above, to each for IRP5 certificates include
by definition employee: these items, and, if the employee
it is formal confirmation that ■ At the workplace or at a has sight of them on their
employers are legally bound to place agreed to by the employee payslip, they can request changes
provide to an employee at the (sometimes called a Pay point); to these items when needed, ■ Statutory Contributions Where are payslips heading
end of a pay period, which details and thus ensuring that their personal (UIF, SDL) in the future? Employees want
the amount of pay accrued to and statutory information held ■ PAYE Deduction (Including more information about their
the employee for the period, any ■ During the employee’s within the employer’s payroll Medical Aid Credits) employment, and we have
company specific deductions and ordinary working hours system, is kept up to date. ■ Nett Cash Pay seen a move by some large
contributions, any obligatory or within 15 minutes of the Most bargaining councils take corporates to introduce what
statutory deductions and of course commencement or conclusion payslips very seriously and if ■ Loan/Garnishee Balances if any is called an “Employee Benefits
the tax that was due on those of those hours. the employer does not meet the This detail can sometimes be Statement”. These statements
earnings for that period. We often see payslips issued by relevant payslip requirements, quite a bit of information for are online portals (ESS/MSS)
What employers sometimes employers that do not meet these they can find themselves facing some employees to comprehend. detailing the full benefits
of employment with the
forget, is that there is a legal basic requirements. Employers arbitration with the bargaining For instance, employees want to organisation for that particular
requirement when it comes to often neglect to add the business council, which could result in “add up” their incomes and often employee.
the provision of an actual payslip address, or the employee’s financial penalties against the make the mistake of including
and even more importantly, what occupation. When applying for employer. fringe benefits, or company At the end of the day, employers
needs to be visible in the payslip. new accounts or loans at a bank, When it comes to financial contributions in the calculation. need to understand their
In terms of Section 33 of the Basic employees are often turned away information, this can vary quite a The total “income” they have employees’ requirements when
Conditions of Employment Act, due to their payslips not reflecting bit between employers. However, calculated then does not agree it comes to payslips, whether it
employers must provide workers this information. This can be as a rule of thumb, we always say with what they are being paid. be a basic payslip or a detailed
with the following information, in frustrating for employees as they that having more, rather than less, These employees need to be Employee Benefits Statement.
writing, when they are paid: now have to request an amended financial information on your educated on the make-up of their Keeping in mind there are legal
payslip from their employer and payslips, so they fully understand requirements when it comes
■ Employer’s Name and Address return to the bank for a second employee’s payslip is good business its contents. to payslips and the potential
■ Employee’s Name and time (often during working hours). practice. Types of financial financial implications when these
Occupation information could include: Distribution of employee requirements are not met. 
Over and above these basic
■ Period for which payment is payslip requirements, we ■ Incomes (Basic Salary, payslips can be done in various
made generally recommend a few Overtime, Commission, Bonus) ways, for example, printed T: +27 (0)31 266 6570
■ Total salary or wages and any additional non-financial items ■ Allowances (Car/Travel) and handed out to employees, Helpdesk: +27 (0)11 431 1510
other allowances paid be included on the payslip. These ■ Company Contributions distributed through an online C: +27 (0)82 786 7480
employee self-service portal
■ Any deductions are, but not limited to: (Pension/Provident Fund, (both on PC and mobile E: johanvd@labournet.com
■ The actual amount paid Medical Aid) W: www.labournet.com
■ Employee Number platforms), emailed, or even
■ Fringe Benefits (Use of SMSed to employees’ mobile
If relevant to the calculation ■ Employee’s Identity or Company Car)
of pay: Passport Number phones. Most payroll systems
■ Employee Deductions today produce compliant payslips
■ Employee’s pay and overtime ■ Engagement/Employment Date (Pension/Provident, Medical with distribution in some or all
rates ■ Employee’s Address Aid, Loans) the ways listed above.

CLAIM SOME OF YOUR SKILLS DEVELOPMENT LEVY

CONTRIBUTIONS

he 30 April is looming; report (ATR) and submitting them wishing to attain or retain an You can claim back up to 20% As per the Amended B-BBEE
It’s that time of the year online before this deadline. acceptable B-BBEE level and of your SDL by submitting Codes of Good Practice October
Tagain. Businesses should be also meet the requirements of an ATR and WSP to the 2013, Skills Development is
compiling their workplace skills Skills development has become the Skills Development Act. In sector education and training identified as a priority element.
plan (WSP) and annual training a strategic priority for enterprises addition, the WSP and ATR authority (Seta) with which your Submitting your WSP and ATR is
play a role in the creation of a business is registered. These a pre-requisite for recognising any
demand-led skills development payments, which are called points under Skills Development
system which is reflective of the mandatory grants, are paid by on your B-BBEE Scorecard.
social and economic needs of the Seta every quarter. In addition, you can claim
South Africa. back more of your contribution
The WSP documents the skills
Employers that pay total needs in an organisation and in the form a discretionary
salaries of more than R500 000 describe the range of skills grant. This grant is allocated at
per year are liable to pay a Skills development interventions the sole discretion of the Seta
and depends on the availability
Development Levy (SDL). The that an organisation will use to of funds, adherence to specific
contribution is 1% of the total address these needs. Businesses criteria, and approval from the
amount paid in salaries are required to report against Seta’s accounting authority.
to employees (including their WSP in an ATR that
overtime payments, leave pay, shows how they have addressed Ensure that you submit your
bonuses, commissions and the priority skills defined in ATR and WSP to your SETA by
lump sum payments). their WSP. no later than 30 April 2022. 

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