Novopay News - 08 February 2019

News for School Payroll Staff


Tena koutou,

You've been busy! Pay Period 23 is usually one of our most intense and this year is no exception. Thank you for your patience as we work through all your instructions to ensure your staff are paid accurately and on time.

By now all schools should have returned for the 2019 year and if you still need to complete SOY, we have some tips below to help you through the process.

Also in this edition of Novopay News:

  • School Annual Accrual Report (SAAR), Leave Liability Reports and Error Schedules
  • Please request an offset for any overpaid employee
  • Special Tax Codes
  • Salary Assessment FAQ and Checklist
  • Reminder: Salary Assessment have switched to Smart Forms
  • Reminder: Pay Period 23 will include the beginning of the 2019 annualisation

Nga mihi

Donna Delaney, Manager - School Account Teams


Start of Year screens close 28 February

Start of Year screens will remain open in Novopay Online until Thursday 28 February to enable you to make changes for other employees who start back at work in the 2019 school year.

If you are unsure whether you have completed SOY for your school, you can check the Pay Ending and SOY reports to ensure the dates, hours, and allowances for the employees at your school are correct.

Please remember to enter start and end dates in the SOY screen to ensure that term-time only non-teachers and fixed-term teachers are paid from the correct date. More information about this featured in our previous newsletter and you can also consult the Start of Year 2019 Guide (PDF).


Enter 28 Jan for teachers' start date in SOY

If a teacher is employed in your school for the full year, they are entitled to be paid for 365 days. Please enter 28 January as their Start Date (regardless of what the school start date is) in the Start of Year screen provided it is before 8 February.

If a returning fixed-term teacher starts between 28 January and 7 February, enter 28 Jan as their Start Date.

Please note: any change to teachers' jobs (increase/ decrease of hours) should also be back-dated to 28 January 2019 if the changes occur between 28 January and 7 February.


Make sure you Save and Submit allowances in SOY screen

Once you have selected the correct allowance in the SOY Allowance Popup, you need to click Save in the bottom right-hand corner, then click Close Popup.

You will then return to the main SOY screen where you must click Save and then Submit. This will ensure the allowance is automatically populated at our end.


Further information about Allowances can be found on page 5 of the Start of Year 2019 Guide (PDF).


School Annual Accrual Report (SAAR), Leave Liability Reports and Error Schedules

This is a reminder that the SAAR and Leave Liability Reports are now available to download from Novopay Online. To do so, go to the My Reporting tab -> School Reports -> School Annual Accrual or Other Reports respectively -> click on PDF (for SAAR) or CSV (for Leave Liability Reports) to download each of the reports.

The Error Schedules with information on Stop Pays, Overpayments and Funding Code errors were sent by email directly to your school's principal on 7 February 2019.

You need this information to complete the payroll section of your 2018 School Financial Statement.

More information on the School Financial Statement process, and instructions on how to reconcile the SAAR, Leave Liability Reports and Error Schedules in the Financial Statement, are available from the Ministry of Education's website.

You can also check out the Novopay website for information about the annual School Audit.


Please request an offset for any overpaid employee

If you are sending in an instruction which will mean your employee was overpaid in the previous pay period, please ensure you request and complete an offset letter.

An offset letter will avoid the overpayment needing to be directed to our debt management unit for calculation and recovery.

Please fill out and have the employee sign this Overpayment Offset Letter (PDF). Submit it along with the relevant payroll instruction.


Special Tax Codes

Employees with a Special Tax Code (STC) need to correct their tax code with Inland Revenue and Education Payroll before the end of the tax year. If this is not completed, their tax code will default to a no-notification code - which is currently taxed at 45%.

Please send the Service Centre a NOVO4 (Tax Details Change) form with every tax instruction you receive as soon as possible. This will ensure that your employees' correct tax codes take effect in PP01.

If your employees have any questions or concerns regarding this process, please ask them to contact Inland Revenue on 0800 227 774.


Salary Assessment FAQ and Checklist

Our Salary Assessment Unit has created a page of Frequently Asked Questions and a Checklist for submitting Salary Assessment applications sheet (PDF) to assist with the process and help you complete the Smart Forms.

Links to both are available at the bottom of the Salary Assessment page on the Novopay website.


Reminder: Salary Assessment have switched to Smart Forms

Salary Assessment no longer accepts handwritten Salary Assessment forms (first announced in Novopay News 02 November 2018).


If you are not yet familiar with Smart Forms or are still sending in handwritten forms, please visit the Smart Forms page on the Novopay website for more information or contact your Payroll Adviser.


Reminder: Pay Period 23 will include the beginning of the 2019 annualisation

For any employee who has not been previously annualised the below will not apply.

Any employee who was annualised for the 2018 year and has chosen to be annualised for the 2019 year will need to be aware of the split that will occur in Pay Period 23.

Pay Period 23 this year has a date range of the 30 January 2019 - 12 February 2019. Annualisation for the 2018 year is complete on the 30 January 2019. Annualisation for 2019 is effective from the 31 January 2019.

For pay purposes this will result in:

  • 1 day at 2018 annualisation rate
  • 13 days at 2019 annualisation rate

Pay Period 24 will be as normal and will show a full fortnightly pay at the 2019 annualisation rate, matching the amount showing on the "Wage Calculation" section of the NOVO23nt form.


Reminder: annualisation top-up in Pay Period 23

Any annualised employee owed a top-up amount will receive it in Pay Period 23 (instead of Pay Period 22 as in previous years).