public holidays and OTE

 Author: PayrollDeanne(Taxicorn)Taxicorn

5 Oct 2022

Hiya @kkuhlbibby

I'm not sure I understand what you mean specifically about "additional/overtime" rates?

If the public holiday was a day that the employee was rostered to work, then:

1. Not Working - the payment you make to them for NOT working is the same as their base pay - taxed normally, OTE and therefore superable and reported in STP as Gross.
2. Working - the payment you make to them for WORKING their normal roster attracts additional SHIFT penalties for the public holiday, then the base pay and shift penalty - taxed normally, OTE and therefore superable and reported in STP as Gross.

If the public holiday was a day that the employee was NOT rostered to work, and you require them to work, then that meets the definition of Overtime.

As you know, OTE relates to payments made in respect of their ordinary hours of work. You need to determine, in your example, if those hours form part of their ordinary hours of work (both options 1 and 2 above) or if it is outside of their ordinary hours (overtime) and therefore NOT OTE.

Refer to this other post.

I hope that helps - Deanne