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Different components will result in different calculations, for example is the component considered an Extra Pay or Not Extra Pay for tax calculation purposes.
The Extra Pay (lump sum tax) is usually used for these payments. As these payments are most likely not regular in nature, ordinary tax rules will not apply. Datacom will apply this as default for calculations.

The

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Process:

The Client will advise their EasiPay Consultant they wish to make a payment to an employee, they will be supplying the Nett value that needs to be paid. This will require the consultant to calculate the gross payment allowing for the calculation of PAYE, KiwiSaver and Student Loan.
The grossing up of these payments can be time consuming as the tax calculations are dependent on all payments that have been made to the employee in the previous 28 days. If the payment is to be paid in the main pay run it needs to include the current main pay packet. This means the grossed-up amount cannot be calculated until the main pay packet has been calculated.

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