Novopay News - 22 March 2019

News for School Payroll Staff

Tena koutou,

It's currently Pay Period 26, the final one for the tax year. April 01 brings about some minor changes which we cover below.

In this edition of Novopay News:

  • School Financial Statements due with Auditor
  • KiwiSaver legislation changes
  • Reminder: employees with a Special Tax Codes
  • Minimum Wage increase
  • Reminder: EOY/SOY survey closes 5pm today

Kia kaha to our Christchurch whanau

Donna Delaney, Manager - School Account Teams

School Financial Statements are due to be provided to your auditor

This is just a reminder that you need to provide your Draft Financial Statements to your auditor by 31 March 2019. All Annual Reports (including the Financial Statements) need to be submitted to the Ministry of Education by Thursday 31 May 2019.

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.

KiwiSaver legislation changes

From 01 April 2019, KiwiSaver members will now have two new contribution rates: 6% and 10%. This means your employees can choose from 3%, 4%, 6%, 8%, or 10%. Members may change their contribution rate at any time by advising their employer.

Please send a NOVO29 - KiwiSaver Enrolment and Changes (PDF) and KS2 form (KiwiSaver Deduction) to advise new contribution rates. The default contribution rate is 3% if no rate is selected.

Reminder: employees with a Special Tax Code

Employees with a Special Tax Code (STC) must update their tax code with Inland Revenue and Education Payroll before the end of the tax year. If their code is not updated or renewed they will automatically default to a No Declaration (ND) tax rate of 45%.

Please send a NOVO4 form - Tax Details Change (PDF) with every tax instruction before Monday 01 April 2019. This will ensure your employees' correct tax codes take effect in Pay Period 01.

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

Minimum Wage increase

From 01 April 2019, the minimum wage will increase to $17.70 an hour. Any employees whose hourly rate is below this amount will have their pay rate automatically increased.

These changes will be visible on your first draft SUE report for Pay Period 01.

Reminder: End of Year/Start of Year survey

Last Novopay News, we sent you a short survey that we would appreciate anyone involved in EOY/SOY 2018/19 completing to help us improve the process for 2019/2020.

Feedback so far has been extremely helpful and if you haven't had the chance to respond, there is still time.

Please complete the survey by 5pm TODAY: