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6 Sept 2024

Hi, we are not under any awards so our guys generally get paid their salary + overtime. Their work hours are not set Mon - Fri 9-5, so they are required to work weekend or public holidays if required by clients. We are trying to provide incentive for them to take up the weekend jobs by paying extra (a lumpsum not by hourly rate) if the requirements for weekend jobs are met. So my question is, should this lumpsum be treated as "salary & wages" or something else? And also, this lumpsum can be treated as Ordinary Time Earnings or Overtimes? How do we record it in STP?

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929 views
2 replies

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Most helpful reply

SimarATO(Community Support)Community Support
10 Sept 2024

Heya @StephanieCSH,


If there is no such pattern and no contract of minimum working hours per week, all wages will be considered as a part of OTE. This forms part of employee's income for their work performed, even it is paid as lump sum.


Lump sum payments should be reported under 'Salary and wages' in STP.


Ensure the payment is correctly categorised under relevant earnings type in your payroll system.

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Most helpful reply

SimarATO(Community Support)Community Support
10 Sept 2024

Heya @StephanieCSH,


If there is no such pattern and no contract of minimum working hours per week, all wages will be considered as a part of OTE. This forms part of employee's income for their work performed, even it is paid as lump sum.


Lump sum payments should be reported under 'Salary and wages' in STP.


Ensure the payment is correctly categorised under relevant earnings type in your payroll system.

18 Sept 2024

Yes we do have a minimum working hours per week set.. just not restricted by days of the week. I guess I would have to check each time they do weekend jobs, whether that falls into OTE as Overtime.. but yes thanks for answering my question that it should still be as "Salary and Wages" in STP.

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