Webinar: Payday Filing Overview
Join our resident expert Sam Newton at a free webinar this September for an overview of what payday filing is, how it will impact your payroll process and a quick run through of how it works in FlexiTime.
Payday filing (sometimes referred to as payday reporting) is an IRD initiative that requires employers to submit PAYE information each time they pay their employees. This is done automatically via a direct integration between your payroll software and IRD.
Payday filing is currently optional, but it will be mandatory from 1 April 2019. The due date for paying PAYE and other deductions to IRD doesn’t change.
Rather than submitting PAYE returns once a month your PAYE information will need to be sent to IRD after every pay. Don't worry – FlexiTime will do this automatically, giving you zero touch PAYE compliance. Payday filing will be mandatory from 1 April 2019 but it’s already live in FlexiTime, so you can be up and running well before then.
1. Head to the Setup > Company Settings > Connect tab in FlexiTime
2. Click to connect to payday filing
3. Securely login to myIR and authorise the connection with FlexiTime
Having more timely information means IRD can work out tax and entitlements fast and accurately, providing more confidence to companies and employees that they are paying and receiving the correct amounts throughout the year.
To achieve this without an increase in compliance costs, IRD is enabling payroll software providers to file your returns on your behalf via a direct integration.
Filing becomes part of your normal payroll process and fully automated, so you don’t need to remember to send returns in at the end of the month.
From 1 April 2019 all employers must file their PAYE after each pay, rather than once or twice a month. If you make PAYE/ESCT deductions of $50,000 a year or more you must file online. If your total PAYE/ESCT is less than that amount you can choose to file online or file paper returns.
It should make your life much easier! You’ll need to authorise the IRD connection with the correct permissions for each client and then everything will be automated.
We’ve developed a direct connection to IRD’s new system so we can submit your tax returns electronically. Simply connect to IRD from FlexiTime once and your payroll filing will be done automatically when you finalise each pay.
FlexiTime was the first payroll provider to launch payday filing in May 2018 after many months of working closely with IRD to develop the new process.
We started with a soft launch to a limited group of early adopters and have been managing the roll out to ensure IRD can handle the volume. Payday filing is available to all FlexiTime users, but you’ve got until March 2019 to get set up.
No. As long as you have a MyIR account for your company you can connect to that directly from FlexiTime and authorise payday filing without talking to IRD. New companies need to contact IRD to register as an employer and get a new myIR account set up.
No. Payday filing compliance is part of the standard FlexiTime offering.
IRD is still requiring the monthly filing of IR345s. This isn’t necessary for FlexiTime users. We’re managing the filing for our customers while IRD works to automate this process. That means that payday filing in FlexiTime is truly zero touch and there’s nothing for you to file.
Trusted by thousands of NZ companies, FlexiTime is fully compliant with payroll and holiday laws and automatically works out pay, taxes, holiday and leave.
It’s easy to capture employee hours straight into payroll with our employee mobile app or by clocking staff in and out with our photo time clock app.
Employees can see their leave balances and request leave online. Managers can approve or decline the request from an email. It couldn’t be easier.
Our powerful Xero integration lets you send payroll data straight to your accounts with advanced cost tracking options and fast reconciliation.