Set up PAYG Withholding for Employees

(Australia only) An overview of how to set up Pay As You Go (PAYG) withholding.

Initialize tax routines in the PR Routines form.
Setting up PAYG withholding includes:
  • setting up a deduction code for the PAYG routine

  • assigning that deduction code to your employee(s)

To set up Pay As You Go (PAYG) withholding:
  1. In the PR Deductions/Liabilities form, set up the PAYG deduction code.
    Note: The PAYG deduction code must be assigned code number 1.
  2. In the PR Federal Info form, in the PAYG Deduction field, enter the PAYG deduction code (1).
  3. In the PR State Information form, set up state codes but do not specify a deduction in the Tax Dedn field.
  4. In the PR Employees form, assign the PAYG deduction code for each employee.