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Administrator Guide
Last Updated: 2025-05-30
Set Up Bonuses and Commissions (AUS)

Set Up Bonuses and Commissions (AUS)

Identify the earnings that should have PAYG withholding tax calculated using Method B(ii). Example:
  • Commissions.
  • Bonuses.
  • Other Lump Sum payments, such as leave loading.
You don't need to include back payment amounts that generate using the retro-pay process. Workday calculates the PAYG withholding for these amounts, based on the period in the current or previous tax year that they apply to.
Workday calculates PAYG withholding for these earnings by averaging all additional payments made in the current tax year, over the number of pay periods in the tax year. The average is applied to the average total earnings to date.
  1. Access the
    Edit Earning
    task.
  2. On the
    Non-Effective Dated
    tab, add these pay component groups:
    • AUS Adds to Gross [AUS]
    • Method B(ii) Taxable Wages [AUS]
  3. Ensure that the earning doesn't have any other Taxable Wages pay component groups associated with it.
When you run a pay calculation with a Method B(ii) taxable earning, Workday will calculate the PAYG separately and display it on the pay result.
You can use the
AUS PAYG Withholding - Bonus, Commission, Back Pay Tax [AUS]
pay component to return the total PAYG withholding amount for a worker's earnings that are taxed using Method B(ii). It includes any back-pay amounts forwarded from a retro-pay related to periods in previous tax years. It also includes the STSL withholding amount for workers who have STSL debt.