Year End Payroll Tasks for Employers Made Easy

How does the year-end payroll process differ from regular payroll processing?

Year-end payroll processing involves additional tasks like reconciling payroll, preparing for tax season, and ensuring compliance with annual reporting requirements. It requires a comprehensive review of the entire year's payroll data to accurately report wages, deductions, and taxes for each employee.

Year End Payroll Tasks for Employers

As the financial year-end approaches, ensuring accurate records is crucial for finalising payroll. Here’s an overview of the general year-end payroll tasks you should address:

1. Employee Details:
   • Verify that all employee details are accurate and up-to-date in your accounting software.
2. Reconcile Payroll Records:
   • Confirm that payments in your accounting software reflect all wages, tax withholdings, and superannuation contributions made throughout the year.
   • Address any discrepancies or errors and make necessary corrections.
3. Review Wages Reported:
   • Check the wages reported in lodged Business Activity Statements with the ATO.
   • Ensure that the payroll information reported through Single Touch Payroll (STP) aligns with your records.
4. Finalisation Declaration:
   • Submit the finalisation declaration to the ATO via your STP-enabled software.
   • This declaration confirms completion of reporting obligations for the financial year.

Key dates to keep in mind 

Software Specific Resources 

Payroll software varies slightly from one another. While the general steps are the same, the way they are executed may depend on the software. For assistance, we have provided links to detailed guides for each major payroll software.

MYOB 

• End of payroll year tasks
• End of year finalisation with Single Touch Payroll Reporting

Xero 

• Checklist: Complete your payroll year end in Xero 

QBO

• Create and lodge finalisation event 

Feel free to ask if you need further assistance, help with your accounting, bookkeeping or taxes? Mahler Advisory can help! Click below to call or schedule a online appointment with us.

*Please note that the above information is general advice only. We recommend you seek advice from a specialist relevant to your personal situation. This information is correct at the time of publishing and is subject to change*

Tax laws and regulations can change over time, so it is important to stay informed about any updates or amendments that may affect your tax obligations. The Australian Taxation Office (ATO) is the authoritative source for the most up-to-date information regarding tax requirements and regulations in Australia.