New Feature – The ability to add and track any form of on-cost

When it comes to payroll there are a number of additional, often overlooked, costs which are directly related to the wages you pay your employees.

The most common ‘add-on costs’ are Employers Kiwisaver and Annual Leave, that is these are employer costs which are incurred when an employee works.   Other add-on costs could be Employer ACC Levies, Alternative Leave, Overhead Cost etc.

We now have the ability in Platinum to track each pay any of these additional costs that you might like to track, thereby giving you much more accurate detail in relation to the true cost of employment.  For example; you have one employee who earns $1000 gross a week, is entitled to 4 weeks annual leave, 2% Employers Kiwisaver, and your Employers ACC Levy rate is $1.02 per $100.  When you pay this employee for the week, their visible cost is $1000, but their true cost is much greater –

  1. Gross Salary   – $1,000
  2. Annual Leave Accrual at 8% – $80
  3. Employers Kiwisaver at 2% – $20
  4. Acc Levy at 0.0102% – $10.20

Therefore the tur cost of employment is $1,110.20 per week.  In addition if the employee works on a Public Holiday you incur not only the Penal Rates but the cost of the Alternative Day which they are entitled to take off.

With our new payroll we can now track these costs for you pay by pay so that you can easily see what your true labour costs are.  If you would like to know more contact Justin at Ezypay.

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