13 FebPayroll accuracy matters: our key tips for compliance and good record management
Accuracy in the world of payroll promotes transparency, guarantees compliance with regulations, and assists in calculating the changes in hours for long service leave and work history calculation.
Below are some key considerations for effective record management. Depending on which payroll system is used by your service, most changes can be recorded directly onto the employee’s master file.
To enable ADP to calculate the correct salary payment, leave accrual and superannuation, please ensure all details for new employees are given to ADP before the payroll process day. Ideally, this would be during the alternate week of your payroll process.
If your service uses ADP as your payroll system, you should adhere to the Kindergarten Processing Schedule.
Updating employee details
When changes occur in an employee’s status, such as alterations in working hours or adjustments in pay rates due to incrementing to the next pay point, you should promptly update this information in the payroll system.
Doing so ensures that annual and sick leave accruals align with any modifications relating to their hours of work from a specified pay date. As a reminder, it is always good business practice to ensure that all changes commence from the first day of the next new pay period.
This proactive approach aids in maintaining a reliable and up-to-date reflection of leave entitlements.
The ADP Payline system can record any changes in hours that an employee works – to be verified or mentioned here the need to keep an in-house system
Service providers must have a system that alerts them of employees’ increment dates under the VECTEA or relevant award or enterprise agreement. It is crucial to track these dates and promptly update the payroll system to reflect any changes in pay rates resulting from such increments. This proactive approach ensures that employees are compensated accurately in line with their years of service, fostering a fair and compliant payroll system.
Record of leave accruals
A fundamental requirement in payroll management is maintaining a record of an employee’s accrued leave. This encompasses all common leave types such as annual leave, personal leave, additional leave and long service leave.
A comprehensive log of leave balances not only serves as a safeguard for both employers and employees but also contributes to effective workforce planning. Timely access to accurate leave accrual data enables your service to make informed decisions and ensures that employees are duly compensated for their entitled time off.
Online leave calculators & requests
Our Members Solutions team can assist in the calculations for the following leave categories:
- classifying employees under the VECTA 2020 (work history)
- calculating pro-rata annual and leave loading (VECTEA employee only)
- calculating long service leave entitlements (all employees)
- calculating long service leave under the Portable Long Service Leave Benefits Scheme
For expert advice and support on all your HR and governance needs, you can contact our Member Solutions team via email at membersolutions@elaa.org.au or by calling 9489 3500 (option 1 or 2).
