Payroll Processing > System Items – Allowances > Tool Allowance
SimplePay has a built-in item for allowances given to employees for the acquisition of tools for business use. These allowances are 100% taxable. The allowance is reported under code 3713.
To add a tool allowance:
- Go to Employees and select the relevant employee.
- Click on Add (next to Payslip Inputs).
- Select Tool Allowance under Allowance.
- Enter the value of the tool allowance.
- Click Save.