ETI Changes to Remuneration Brackets

ETI is aimed at reducing youth unemployment by providing a tax incentive to employers who hire young workers aged 18 to 29. It was meant to end on 28 February 2019, with no further tax credits being granted. However, towards the end of 2018 it was confirmed that, due to the success of ETI, it would be extended until 2029.

As of 1 March 2019, the ETI remuneration brackets have also been amended to account for inflation. Employers must still pay employees who work 160 hours per month a minimum of R2 000 in order to claim ETI. However, the maximum that employees can earn and still qualify for ETI has now increased to R6 500 (from R6 000). As a result of this increase, the R2 001 – R4 000 bracket has also been amended. Employers can claim a R1 000 tax credit per month for the first 12 months for employees earning R2 000 to R4 500.

The new remuneration brackets are as follows:

Monthly
Remuneration
ETI monthly tax credit
in first 12 months
of employment
ETI monthly tax credit
in second 12 months
of employment
R2 001 – R4 500R1 000R500
R4 501 – R6 500R1 000 – [0.5 x
(Monthly Remuneration
– R4 500)]
R1 000 – [0.25 x
(Monthly Remuneration
– R4 500) ]

As always, we take the hassle out of payroll for you and have already updated the system to reflect these changes.

If you have any questions regarding ETI, read more on our help page here. Alternatively, contact our friendly support team.

Team SimplePay



New Feature! Custom Employee Info Fields

You were onto something! Thanks to your suggestions on ways of making SimplePay even greater, we are happy to announce our newest feature! While we have built our system on simplicity and compliance, we understand that sometimes you have unique needs. Our new feature therefore gives you the ability to add your own fields to an employee’s Basic Info screen.

Want to capture an employee’s nickname or cellphone number? Add a custom “Text” field.

Want to record the date that employees completed their orientation training? Add a custom “Date” field.

Want to record an employee’s marital status? Add a custom “Dropdown” field with options to select from.

You can now capture the information that you want, with added features coming soon!

To learn more about how this functionality works, head over to our help page here.

We’d love to hear from you if this feature enhances your payroll experience. In addition, if you have any trouble with this new feature or would like some further guidance, please reach out to our friendly support team who would be happy to help.

Team SimplePay

2017 OID / Workman’s Comp Update

It’s that time of the year again – when you have to complete your Return of Earnings (ROE) or W.As.8. It is basically a declaration to the Compensation Fund of your employees’ earnings for the past year – in this case from 1 March 2016 to 28 February 2017 (the same as the tax year). In addition, you also provide projected earnings for the next year.

Although the official deadline is 31 March, this has been extended to 31 May, and the filing season for this year is 1 April 2017 to 31 May 2017.

As always, we at SimplePay try to make your life easier, and you are able to download a report from our system that will help you to complete your W.As.8. Simply go to Submissions > OID (Workman’s Comp) Return.

Our system has already been updated with the new maximum amount of earnings on which your assessment will be calculated. The maximum will increase from R377 097 to R403 500, with effect from 1 April 2017.

More information about the Compensation for Occupational Injuries and Diseases (COID) Act can be found on our help site.

If you are doing a manual submission, please ensure that you are using the latest version of the W.As.8, which can be found here.

Remember: your bi-annual SARS filing / reconciliation is also coming up soon, so if you get your ROE submission out of the way, it’s one less thing to worry about.

Please feel free to contact [email protected] if you need any assistance.

The SimplePay Team