Payroll Calculations (Level 7)

Workshop Outline

This course is recommended for:

Intermediate level payroll practitioners (or advanced practitioners wanting a refresher) wanting to have knowledge of how to complete payment calculations to meet the requirements to ensure compliance to legislation.

Please note: This course is not suited to a person new or in an entry level payroll position.


New Zealand employment legislation is complex and wide ranging in what payroll practitioners have to calculate to comply with the law. This course will allow participants to understand the essential calculations to cover a range of employee payment situations.

Fully worked examples covering a range of different situations will be provided that can then be used back in the workplace. Attendees are encouraged throughout the course to ask questions.

Course delivery:

To ensure the safety of participants NZPPA will only have a maximum of 8 attendees, and training venue has been selected to ensure physical spacing can be ensured, and the venue will apply a range of measures to meet government guidelines.

You’ll learn about:

Holidays Act 2003
  • Determining gross earnings
  • What payments are included/excluded from gross earnings holiday pay calculations.
  • Calculating annual leave AWE/OWP and 8%.
  • Calculating Relevant Daily Pay & Average Daily Pay for sick, bereavement, alternative, family violence, public holidays.
  • Cashing up the 4th week AL

Parental Leave and Employment Protection Act 1987

  • Taking and paying annual leave before and after parental leave is taken.
  • Calculating payment for “Keeping in touch days”.

Minimum Wage Act 1983

  • Applying and ensuring minimum wage requirements are met.

Income Tax Act 2007

  • Calculating tax, tax codes, changing tax codes.

Accident Compensation Act 2001

  • Earner levy and threshold rates
  • Calculation of first week earnings for workplace and non-work accidents.

Child Support Act 1991

  • Calculating protected net earnings for child support payments.

Payroll Giving

  • Calculating the tax credit on donations.
  • How to calculate a Lump Sum (extra pay) and Regular bonus
  • Redundancy & and Retiring payments.


  • Benefit allowances
  • Non-taxable allowances
  • Reimbursing allowances
  • Motor vehicle reimbursing rate

Calculating Student loan deductions:

  • Calculating student loan deduction and applying the student loan threshold
  • Commissioner Deduction (SLCIR)
  • Borrowers deduction (SLBOR), and

KiwiSaver 2006 Act

    • What payments are included or excluded from KiwiSaver?
  • Calculating the employer and employee contributions

How to tax IRD payments and make deductions: –

  • Setting & Calculating ESCT for KiwiSaver and Superannuation

Personal Grievance Payments

  • Requirements for making a personal grievance payment to an employee

Final Pay

  • What types of payments are paid on termination and how they are taxed?
  • What deductions apply and don’t apply for various types of payments on termination.

Price: $795.00 + GST (Members) & $995.00 + GST (Non-Members)

At the end of the course participants will be able to:

  • Explain the essential legislative requirements in relation to payroll.
  • Identify risk areas in the calculation of an employees pay.
  • Conduct basic checks of payroll data to ensure it complies with legislation.

On completion of the course attendees will receive a Certificate of Attendance.

20 August 9am – 4pmWellington
22 October 9am – 4pmWellington
9 December9am – 4pmWellington