As is customary this time of year, new updates in relation to payroll come into place.
Luckily, this year there is very little change, these are:
- The ACC Earner Levy Threshold increases from $122,063 to $124,053. This means that you do not need to pay ACC on earnings above $124,503, the rate remains at $1.39 per $100.
- The Student Loan Threshold has increased to $19,136. This means there is no repayment calculated on the first $368 per week. The repayment rate remains at 12%
- The Minimum Adult Wage increases from $15.25 to $15.75 on all hours worked from April 1st, 2017. The Starting Out/Training rate increases from $12.20 to $12.60 (being 80% of the Adult Minimum Rate.
In addition, all Employers must ensure their Employment Contracts meet the requirements of the Employment Relations Amendment Act 2016 (Employment Standard Bill). Attached is an overview of what this involves. If you need assistance re-drafting Employment Contracts.
Lastly, as the Minimum Wage Rate is a mandatory rate increase, we will do this automatically for all employees on the Minimum Rate.