Leave - Workers Compensation
Jan 20, 2025
1083
🎯 The reporting of payments for Workers Compensation are now disaggregated per the Australian Taxation Office Single Touch Payroll Phase 2 guidance. Rather than being included in Gross, Workers Compensation is now reported separately under Paid Leave Type Code = W.
🎯 If you are unsure if this Pay Type applies to your circumstances, please refer to the Payee's Employment Contract or obtain advice from either the Australian Taxation Office or Fair Work Ombudsman.
Workers Compensation is applicable when the Payee is being paid for their absence from work as they have become injured or sick due to their work. To learn more about Workers Compensation, please visit Fair Work Australia.
Payments with this Pay Type use the Rate Per Hour set in the Payee Master File, and Leave Entitlements are not applicable. These payments are considered W1 (Total of Salary, Wages, and other payments) and Taxable. However, they are not OTE (SGAA).
