What the 2015 Budget means for payroll

A number of changes were announced in the 2015 budget by the Fiji Government on 21st November 2014 that affects all employers and employees in Fiji.

FNPF

From 1st January 2015, all employers are required to contribute 10% FNPF for employees. This is an increase in the compulsory contribution from the previous 8%.

The employee (member) contribution remains at 8%. However as per the FNPF announcement earlier this year, employees are also now able to make voluntary contributions. In the past the voluntary contributions could only be made by employers.

This means that the total COMPULSORY contribution will now be 18% (10% by employers and 8 % by employees) and the total contribution can go as high as 30%.

PAYE

No changes were announced to the PAYE tax rates.

However, while it was not a part of the budget announcement, it is our understanding that FRCA may change the formula used for tax calculation to cater for a few problems with the formula introduced in 2013.

What does this mean for PayMaker users?

As always PayMaker users can be confident that the team at Standss will ensure that their payroll system will continue to meet all FRCA and FNPF requirements.

The 2015 budget changes will require another update to PayMaker before the start of the year.

The development team are already working to implement the FNPF changes. We are waiting to find out if FRCA also requires any changes so that we can keep costs down for customers by doing the updates in one release.

We will email or fax all customers with details of the update in the next few weeks. 

In the meantime, if you have any questions, please email us at payroll@standss.com.fj

Employers MUST submit FNPF payments using new forms

FNPF has released a revised format for the CS form. The CS form (or Contribution Schedule) is the form that employers submit with payment to FNPF at the end of the month.

Payments made in November (for deductions from October) wages must be made using the new CS form.

These changes are part of FNPF's transition to new systems and processes due to new laws that come into effect on 1 November 2014.

We have upgraded PayMaker with the new form so that our customers can continue to prepare their monthly reports literally at the click of a button.

We are contacting customers to arrange a convenient time for the upgrade.

PayMaker users who have not been contacted yet can call our office on 3304554 or email us at payroll@standss.com.fj  to arrange a convenient time for our team to carry out the upgrade.
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