How to add an allowance to a pay run in Payroller  

Learn how to add an allowance to a pay run in Payroller with our simple guide below.

Read up on the different definitions for Allowances here.

Step 1: Click on ‘+ New Pay Run’.

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Step 2: Customise pay run details.

Customise the Pay Run Period, the Pay Period Ending date, and the Payment Date, and select ‘Let’s Start!’

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Step 3: Click on ‘More’.

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Step 4: Next, select ‘Allowance’.

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Step 5: Enter the unit of the Allowance and the cost per unit.

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Step 6: Select whether the allowance is subject to super. 

You can choose whether the allowance is Subject to tax and super, Subject to tax but exempt from super or Exempt from both tax and super.

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Step 7: Choose the type of allowance. 

The options are: Award transport payments, Cents per kilometre, Task, Laundry, Overtime meal, Qualification, Travel, Tool, Other -Non-Deductible, Other-Uniform, Other-Private Vehicle, Other-Home Office, Other-Transport/Fares and Other-General


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Once you have finalised the pay run you will be able to see the allowance on the employee’s payslip.

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If you have recurring Allowances you can add this in the templates section of the employee card.


 

Allowance Definitions

The following definitions are to be used as a guide only. Please refer to the ATO for the full definitions and the criteria for providing these allowances.

Award transport payments

Deductible expense allowances for the total rate specified in an industrial instrument to cover the cost of transport for business purposes, as defined in section 900-220 of the Income Tax Assessment Act 1997.

Cents per KM

Deductible expense allowances that define a set rate for each kilometre travelled for business purposes that represents the vehicle running costs, including registration, fuel, servicing, insurance and depreciation into account.

Laundry

Deductible expense allowances for washing, drying and/or ironing uniforms required for business purposes.

Overtime meal

Deductible expense allowances defined in an industrial instrument that are in excess of the ATO reasonable amount, paid to compensate the payee for meals consumed during meal breaks connected with overtime worked.

Qualifications

Deductible expense allowances that are paid for maintaining a qualification that is evidenced by a certificate, licence or similar.

Task

Service allowances that are paid to a payee to compensate for specific tasks or activities performed that involve additional responsibilities, inconvenience or efforts above the base rate of pay.

Tool

Deductible expense allowances to compensate a payee who is required to provide their own tools or equipment to perform work or services for the payer.

Travel

Deductible expense allowances that are in excess of the ATO reasonable allowances amount (for domestic or overseas travel), undertaken for business purposes, which are intended to compensate employees who are required to sleep away from home.

Other

Any expense allowances that are not otherwise separately itemised.

Learn how to add other items to your pay run in Payroller with our other simple guides:

Discover more tutorials & get the most out of using Payroller

Learn more about easily creating and editing pay runs with our simple user guides.

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