Onboarding a New Payee (Payroll NZ)

Before a job order which has been filled by a candidate can be submitted to timesheet and the candidate can be paid, a payee record must be created for the candidate in the Portal > Pay module.
Multiple payees can be created for each candidate. However, a candidate cannot have multiple payee records with the same tax type and payee type for the same pay company with overlapping employment dates. There is exception to this rule where a payee can belong to multiple different suppliers (3rd tier agency or umbrella companies).
Before you attempt to create a new payee for a candidate you must know the following information:

• the name of the pay company by which the payee will be employed

• the tax type that will apply to the payee (PAYE or Contractor)

• the payee type that will apply to the payee. If the tax type is PAYE, this will be defaulted to PAYE. If the tax type is Contractor, the payee type will be defaulted to Contractor, but can be changed to 3rd Tier Agency if the payee is supplied by a third party (for more information, see Explanation of Tax Types and Payee Types for New Zealand Payees)

• the employment type that defines the attendance and absence types that are available for the payee on their timesheets in the Portal > Time and Attendance module and the absence types that are available for the payee in the Portal > Leave Request module

• the payee's IRD Number

• the payee’s KiwiSaver enrollment status

• the payee's default bank account details (only required if payment will be by electronic funds transfer).

See also: