Overview

Future termination requests are normally completed to determine/estimate a pay-out for a particular employee's final termination payment. This is usually done as a result of a redundancy situation or a section 123 Employment Relations Act 2000 (payment for hurt and humiliation) payout in which the dollar figure needs to be stated in communications to the employee.

Client Responsibilities

To be able to process a request for a future termination calculation, the following information is required:

• Employee code and name 
• Date of termination 
• Any extras to be added e.g. in lieu of notice, section 123, redundancy etc 

Caution must be taken if the figures are provided to the employee as this is an estimation only. The tax values may change when the payment is actually paid out. The lump sum payments are taxed based on the direct credit (DC) date.

EasiPay Responsibilities

The EasiPay consultant can perform future termination calculations and provide these to the Client. This is a manual calculation and may be done in a test environment for estimate values.

Once the Client is satisfied with the calculations, they will need to advise whether these calculations should be processed in a manual pay run or be included in the main run.

Note:

Sometimes the predicted calculation may not match the actual calculations exactly e.g. tax may change.

There maybe a charge for this service depending on the number of requests received.