Superannuation Configuration

Checklist

To correctly report superannuation data to IR your setup must meet the following criteria:

• Employee’s must have an Employee Superannuation Fund record for all fund types to which contributions are made – not just KiwiSaver Funds.
• Employee’s must have the correct ESCT rate
• Super Fund Code on payroll transactions in Transaction View MUST be linked to the correct Employee Superannuation Fund record - See Transaction Entry - Employer Super Contribution and Transaction Entry - U. Employee Superannuation Deduction
• Superannuation Fund records must have the correct KiwiSaver Status type – KiwiSaver, Complying Fund or RSS Fund etc.
• Allowances for Employer Superannuation Contributions must have the following settings to correctly report ESCT.

  See the Allowances - Details (i) tab

  Tax Override Type must be set to S.ESCT

  Tax Override rate must be left blank

  If the Superannuation fund is exempt from ESCT, then please ensure the Tax override type is left blank

Impacts of incorrect setups:

• EI file/myIR automated IR345 appear to show a lesser ESCT than expected.
• EI file rejected due to negative "ACC Earning not liable" value.
• EI file reporting amounts for some employer contributions against tax code “WT”

  …this happens when your super allowance has Tax override type of “W. Scheduler payment.

• EI file reporting amounts for some employer contributions as “Earning not liable for ACC Earner Levy”

  …this happens when your super allowance has Tax override type of “W. Scheduler payment".