Create Earnings and Deduction Codes for Long Service Leave: Normal Termination, Accrual Prior to 18 Aug 1993
(Australia only) Steps to create earnings and deduction codes for Long Service Leave.
- In the PR Earnings Codes form, create an earnings code. When doing so, select LSAT - Leave, Lump Sum A Type T from the ATO Category drop-down on the Addl Info tab. For more detailed instructions, see Setting Up Earnings Codes: Australia.
- In the PR Deductions / Liabilities form, create a deduction code for taxation purposes. When creating the code, use the following settings:
From the Method field, select G-Rate of gross and enter the current withholding rate in the Rate / Amount #1 field. For the current rate, refer to the ATO website.
From the ATO Category field on the Addl Info tab, select Tax Withheld.
- On the Basis Codes tab, enter the corresponding earnings code(s).Note: For more information, see Creating Deduction and Liability Codes.
- For the earnings code you set up in step 1, visit the PR Auto Termination Pay Setup form and enter an ETP type record. For more information, see Setting Up Automatic Long Service Leave ETPs.
the standard calculated amount or
the rate specified in the Leave Flat Rate field (PR Limits and Rates form