Preparing Reckon One for Single Touch Payroll, (STP)
Legacy KB ID: 5663
QuestionSTP is mandatory from July 1, 2018, for businesses with more than 20 employees. What preparation can I do in my Reckon One Book to make it ready for it, when STP is released?
This solution applies to Reckon One users only.
In addition to payroll information that is supplied by the existing Payroll Module, STP Reporting will extract information from certain fields in Payroll Settings, General Book settings, Legal address.
If these mandatory fields are blank the STP Report will not be accepted. STP will be reported to the ATO via STP Portal (more details to come later).
You will also need to adjust your Allowances payroll items to comply with new differentiation required.
Below are outlined the mandatory fields for STP and where to update them.
Preparation 1: Check and Complete required Company Information fields under General Book settings.
1) Go to Administration Menu (cog wheel icon) on top right corner > Settings;
2) Select Book Settings under General settings;
3) Check and confirm correct details for below under available tabs such as General details, and Legal address
- Legal Name
- ABN (Tax Rego ID)
- Legal Address
- Legal City
- Legal Postcode
Preparation 2: Check and complete required Legal Contact details under Payroll Settings:
1) Go to Administration Menu (cog wheel icon) on top right corner > Settings
2) Go to Payroll settings and select General.
3) Check and confirm the legal contact details and Contact Number is filled out with correct details.
Preparation 3: Required fields under Employee Info:
Go to Contacts -> Employees and confirm the below fields are complete for all employees.
- Go to the General tab of the contact.
- Check and complete Last Name and First Name
- Postal address, Address Line 1, enter number and street name
- In Suburb, enter Suburb, Town or City
- In State, select the relevant State
- In Postcode, enter the Post Code
If the Physical address is different checkbox is enabled, ensure all physical address fields are filled.
- Go to Employment tab and enter the Employee Number you have assigned to the Employee.
- Go to the Tax tab, enter the Tax File Number and other relevant details.
If the employee does not have tax file number, you can enter one of the below test numbers that are accepted by ATO.
111 111 111 – If a new payee has not made a TFN declaration, but 28 days have not passed
333 333 333 - if your payee is under 18 and earns less than $350 per week, $700 per fortnight or $1,517 per month
444 444 444 – if your payee is an Australian Government pensioner payee
000 000 000 – if your payee chose not to quote a TFN and has not claimed an exemption from quoting a TFN or does not fit into any of the above categories
Source ATO https://www.ato.gov.au/Forms/PAYG-payment-summary---individual-non-business/?page=3
Preparation 4: Select the appropriate Allowances type for your Allowances Pay item.
STP requires you to differentiate between different allowances types. Reckon One has introduced those different allowances type as below:
By default, existing Allowances items will have allowance type selection left blank. You will need to select the correct Allowance type from the new drop-down list.
You may need to create new Allowances payroll items.
The contents of this article are for general guidance only and you should seek professional advice relating to your own specific circumstances before acting
Your Book is now STP ready
Please refer to ATO guidelines in the link https://www.ato.gov.au/Business/Single-Touch-Payroll/Get-ready-for-Single-Touch-Payroll/ for more information.