Circular 2008/16 - Payment of ACC levies and premiums
Please note that this Circular was incorrectly issued as Circular 2008/10. Please amend the circular number on your local copy.
Date: 1 September 2008
Circular Number: 2008/16
Category: Resourcing
Payment of ACC Levies and Premiums
This circular is about: Payment of levies and premiums to ACC.
The action required is: Ensure that sufficient funding is available in your bank account to cover a direct debit for the payment of premiums for ACC on the night of 17 September 2008.
It is intended for: Board of trustees chairperson and treasurer, principal and school executive officers of state and state integrated schools.
For further information: Please direct any enquiries to the Resourcing Division, Ministry of Education, PO Box 1666, Wellington, or fax (04) 463 8374. Email: resourcing@minedu.govt.nz.
Introduction
In 2008 there is one composite payment for all ACC levies due. Schools will be debited for this composite premium payment on the night of 17 September 2008.
Levies and Premiums Payable in 2008
|
|
Rate payable per $100 of gross liable earnings |
To be paid in September 2008 |
Ongoing payments required in future years |
|
ACC Residual claims (ongoing claims from previous years). |
$0.31 (GST exclusive) |
Yes |
Yes |
|
ACC payment for period 1 April 2008 to 31 March 2009. |
$0.16 (GST exclusive) |
Yes |
Yes |
|
Wash-up adjustment on previous rates. |
$0.01 (GST exclusive) |
Yes |
Yes |
ACC Residual Claim Levies
This payment covers the cost of residual claims from previous years to 31 March 2008 at the rate of $0.31 (GST exclusive) per $100 of gross liable earnings.
ACC Payment 1 April 2008 – 31 March 2009
The second component of the ACC payment is the premium to cover the period 1 April 2008 to 31 March 2009. Payment is due on 17 September 2008 and the premium rate is $0.16 (GST exclusive) per $100 of gross liable earnings.
The ACC invoice is based on the gross taxable earnings for the tax year 1 April 2007 to 31 March 2008 and adjusted by adding 3.63% as a Labour Cost Index to cover any salary or wage increases in the period.
Wash-up Adjustment on Previous Rates
Due to the wash-up of the levies paid in August 2007 there is a debit adjustment of $0.01 (GST exclusive) per $100 of gross liable earnings. This covers the difference between the actual gross taxable earnings for the tax year 1 April 2007 to 31 March 2008 and what was predicted by ACC for the levies paid in 2007. The composite rate for the year is therefore $0.31 plus $0.16 plus $0.01 = $0.48 (GST exclusive).
Payment Reminder
Please ensure there are sufficient funds in your bank account on the night of 17 September 2008 to cover the cost of the direct debit. You will receive advice about the amount to be deducted with your staff usage and expenditure report for pay period 1712, payday 10 September 2008.
Issued by:
Kevin Wilson, Senior Manager
Resourcing Division
Te Wāhanga Whakarato Rawa
National Office
45 – 47 Pipitea Street, Thorndon
PO Box 1666, Wellington, New Zealand
Phone: 0-4-463 8383
Fax: 0-4-463 8374
www.minedu.govt.nz