How to Do Payroll without Tax Tables

When it comes to payroll services Australia, a lot of people do not think of using them especially when they have only a few employees to care for. Sometimes, it isn’t really necessary and there are many who do in fact do their own payroll. However, there are many who find they aren’t too sure how to complete payroll without having their tax tables included. This catches a lot of people out but in truth it’s easy to deal with payroll without these tables. Read on and find out how you can do your payroll without tax tables.

Calculate Gross Earnings for Each Employee

If you aren’t using any type of payroll service you must approach this with a very thoughtful mind. You cannot skip over this part because you will end up paying the wrong amount to each employee and that can bring a whole new set of issues. Firstly, you must start by calculating what each employee earns per week or month depending on how often they’re paid. Find out how many hours the employee has worked and times those hours by the wage rate per hour. If you have some salaried, they will have a set gross earnings amount and the only thing you have to add is any overtime hours. You should now have the gross earnings calculated.

Understand What Earnings Are Taxable

There will be money that needs to be deducted from the gross earnings for taxes and all other sorts so it’s time to understand what income is taxable. For those earning extremely little money, that could be difficult because if the employee isn’t earning over a set amount per year they may not need to pay a lot of tax. However, it’s still wise to do go through this process so the employee is covered for any eventuality. So, you need to check what earnings are taxable. Once you have done this, you can deduct this amount from gross earnings. You can deduct a host of things such as pension savings and insurance. Federal taxes also need to be calculated. To find out more, check out

Medical Care and Social Security Contributions

Most will pay something towards social security, state taxes and even medical insurance and these will need to be deducted also. You need to check with the local governmental authority over the percents of each deduction to ensure the employee isn’t being overcharged. Any other deduction can be made at this time also. Payroll services Australia can usually do this for you and if you’re stuck, it may be worth asking them for them. However, once you get used to this process it can become far easier to deal with.

Take Your Time and You’ll Get There

When it comes to dealing with payroll, it can look far more complicated than it is. Once you have a good grasp of how it all works and what is needed, it’s far simpler! Doing payroll without tax tables can seem very difficult too but with a bit of practice, it can become a lot easier. You should take your time and you will get there eventually. However, if you’re struggling and believe making mistakes, contact a payroll service and get them to help; it’ll be the best way to avoid making costly mistakes.