It’s time for you to complete and submit your Return of Earnings (ROE) or W.As.8 to the Compensation Fund. This submission is a declaration of your employees’ earnings for the period 1 March 2020 to 28 February 2021 (the same as the tax year). In addition, you also need to provide projected earnings for the next year (1 March 2021 to 28 February 2022).
The deadline for this submission is 31 May 2021.
As always, SimplePay tries to make your life easier by automatically generating a report on the system that will help you to complete your W.As.8. Simply go to Submissions > OID (Workman’s Comp) Return to download the report.
The current 2020/2021 Return of Earnings threshold of R484 200 is already taken into account by SimplePay. Additionally, the Compensation Fund has published a new annual earnings threshold of R506 473 per annum for the 2021/2022 Return of Earnings (form W.As.8). We have updated our system to accommodate this.
More information about the Compensation for Occupational Injuries and Diseases (COID) Act can be found on our help site.
We’ve had several requests asking for a way for payroll administrators and leave admins to record leave in bulk and we’re delighted to let you know that this feature is now here! This means that there are now 3 ways for leave to be captured on the system:
Employees can request leave via self-service or our mobile app which then gets captured once approved by a leave approver.
Payroll administrators and leave admins can record leave for individual employees via an employee’s profile.
Payroll administrators and leave admins can download an Excel file, complete it with the relevant leave days and upload the file into SimplePay.
For more information on how to use this new feature, head to our help page.
We’re continuing our mission to revolutionise payroll, and in the process make SimplePay the preferred payroll software provider for small and medium sized businesses. We hope that with the additional method for recording leave, every user now has an option that meets their needs.
If you have any queries on how to use the system or any suggestions on how we can better serve your needs, please reach out to us.
The 2021 Employer Annual Reconciliation filing season will soon be opening on 1 April 2021. You have until 31 May 2021 to submit your Annual Reconciliation Declaration (EMP501) for the period 1 March 2020 – 28 February 2021 to SARS.
SARS has warned that late submissions will result in a penalty of 1% of total annual PAYE being levied each month after May 2021 until the EMP501 is submitted (up to a maximum of 10%). This principle will no doubt be a permanent feature for the future and we can expect it to be applied to the August 2021 mid-year tax certificate submissions too. In addition, please remember that any employer who wilfully or negligently fails to submit a return to SARS is guilty of an offence and is liable, upon conviction, to a fine or to imprisonment for a period of up to two years. This applies to EMP201’s as well as EMP501’s.
SimplePay automatically generates the IRP5s / IT3(a)s and EMP501 needed for year-end filing with SARS. These are available under the Filing section of the sidebar menu. Submissions of your EMP501 can be done via eFiling (for less than 50 employees) or the [email protected] application. You may need to update your [email protected] application to the latest version, 7.1.0. This can be done here. Please remember to back up your current information on your computer before installing a new version of [email protected]
For more information about the bi-annual filing process, refer to this help page. We also have a useful guide to take you through it step by step. The guide contains an important checklist which will help you eliminate unnecessary validation errors when trying to upload files to [email protected]
Please always check the status of submissions to ensure their EMP501 has been successfully filed at SARS.
As always, please feel free to contact us at [email protected] if you have any questions.
Update 19 March 2021: The UIF has released a Frequently Asked Questions Document on the two extended periods. To view it, click here.
Today’s blog post highlights the salient points from the UIF’s correspondence with employers on 3 March 2021 regarding the two new extension periods for Covid-19 TERS: 16 October to 31 December 2020, and 1 January to 31 March 2021.
Who Can Claim?
Subject to falling within one of the relevant claim codes, the TERS benefit for the extended periods is available for any employees who are registered with the UIF as a contributor and who have not been able to work normally. Each of these elements are broken down below:
Registered with the UIF
This requirement stipulates that only employees who are registered to contribute to UIF are eligible for Covid-19 TERS payments.
Have not been able to work normally
To be able to claim the benefits for the two extended periods, employees need to fall into one of the following four categories:
Claim Code 1
Employees (on temporary lay-off or reduced working time) within those sectors that have not been able to operate due to regulatory restrictions as per directives issued. A list of these sectors is detailed in the table below – to verify your company’s eligibility, the UIF will require you to provide the relevant Sector Industry Class (SIC) for your business.
Claim Code 2
Employees aged 60 and above, and who cannot be reasonably accommodated at work.
Claim Code 3
Employees in isolation and quarantine to prevent the spread of Covid19.
Claim Code 4
Employees with co-morbidities and who cannot be reasonably accommodated at work.
Additional Info: Eligible Sectors for Claim Code 1
A list of the eligible sectors in Claim Code 1 is provided in the UIF’s correspondence on 3 March 2021, but is tabled below for your convenience:
Museums, galleries, libraries and archives
Gyms and fitness centres
Venues hosting auctions
Venues hosting professional sports
Bars, taverns and shebeens
Domestic and international air travel
Rail, bus services and taxi services
Sale, dispensing and distributions, and transportation of liquor
Beaches, dams, rivers and lakes
Venues where social events are held
Venues hosting concerts and live performances
Hotels, lodges, bed and breakfast, timeshare facilities, resorts and guest houses
Conferencing, dining, entertainment and bar facilities
International sports, arts and cultural events
Professional services (cleaning and security) within regulated restricted sectors (e.g. hospitality)
Other services and activities within regulated restricted sectors (e.g. hospitality)
When to Apply
Applications for the 16 October to 31 December 2020 period are open for employees eligible for TERS under the first category (Claim Code 1). The UIF is still tweaking their system to accommodate applications for employees eligible for TERS under categories 2, 3 and 4; they will communicate as soon as the system is ready to accept these applications.
The UIF is not yet accepting TERS applications for the 1 January to 31 March 2021 period; the opening date for these applications will be announced in due course.
How To Claim
The application process remains the same as the first extension period. Your applications need to be accompanied by the following documentation:
Signed approval / acceptance letter (i.e. the Memorandum of Agreement or application, pre-signed by and for the UIF)
Bank Confirmation Letter (current)
Proof of payment to employees for previous benefits claimed and received for the prior period (e.g. EFT, payroll report, pay recon)
Refund to the UIF (if applicable)
Letter of authority
The claim for eligible employees can be captured either on the TERS online portal itself or by completing the spreadsheet template attached to the UIF’s email (also available to download here).
Unfortunately the CSV upload facility is not currently available for these applications, so it is of utmost importance that you ensure that the relevant information is captured correctly in the online portal or spreadsheet.
To complete the application correctly, the UIF highlights the following critical data fields in particular:
Important Notes from the UIF
This needs to be the employee’s regular monthly salary and should not be increased in line with the full application period
Remuneration Earned for Hours Worked (Yellow Column on Spreadsheet)
This amount must reflect the full lockdown period’s cumulative remuneration, i.e. the amount you have paid your employee between 16 October and 31 December 2020 for the work they’ve done across this full lockdown period but not payment of advances, leave entitlements or gifts.
Should you have any questions on any of the above, you can contact the UIF on 0800 030 007. Greater detail can also be found in the UIF’s correspondence sent to employers.
We hope that this information has proved useful to you. If you have any questions on how the information provided relates to SimplePay, you can contact us at [email protected]
We’ve expanded our beneficiaries functionality so that you can add beneficiaries for custom items that are set up as benefits, deductions or employer contributions. This gives you more flexibility in tailoring the beneficiaries report for your needs, making any payments linked to payroll even easier.
To add a custom beneficiary:
Go to Settings > Beneficiaries and select Add under Custom Beneficiary
Enter the details for your beneficiary and click Save
Once you have added your custom beneficiary, you can link it to custom items as follows:
Go to Settings > Custom Items and select the custom item (or click Add to create one)
Tick the checkbox Link to beneficiary
Select the Beneficiary Type:
‘Fixed’ should be selected if there is only one beneficiary for this custom item for all employees. You will then need to select the beneficiary from the dropdown list.
‘Different on every employee’ should be selected if different employees have different beneficiaries for this custom item. If you select this option, the beneficiary will need to be specified when adding the custom item to the employee’s payslip.
Then click Save
For more information on setting up custom items, head to our help page here.
We hope you love this new feature and that it’ll make your payroll processing more efficient.