2014 – 2015

If your payroll has 53 weekly or 27 fortnightly pay periods, you may need to withhold extra tax. Using the usual weekly or fortnightly tax tables may result in a shortfall of tax paid by the employee. The employer should notify the employees early in the year if this is the case, and give the employees the option to have extra tax withheld as per the ATO guidelines for this situation.

When there are 53 pay periods in a financial year

In some years, you may have 53 pay periods instead of the usual 52. As the tax schedule is based on 52 pays, the extra pay may result in insufficient amounts being withheld. You should let your employees know when this occurs so if they are concerned about a shortfall in tax withheld, they can ask you to withhold the additional amount in the table below.

Weekly Earnings               PAYG to Withhold

$725 to $1,524                  Additional PAYG $3

$1,525 to $3,449               Additional PAYG $4

$3,450 and over                Additional PAYG $10

 

When there are 27 pay periods in a financial year

In some years, you may have 27 pay periods instead of the usual 26. As the tax schedule is based on 26 pays, the extra pay may result in insufficient amounts being withheld. You should let employees know when this occurs so if they are concerned about a shortfall in tax withheld, they can ask you to withhold the additional amounts in the table below.

Fortnightly Earnings         PAYG to Withhold

$1,400 to $3,049              Additional PAYG $12

$3,050 to $6,799              Additional PAYG $17

$6,800 and over               Additional PAYG $42