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Adding a new employee

How to add a new employee and invite them to PaySauce.

J
Written by Jonathan
Updated over a week ago

When you hire someone, you'll need to add them to PaySauce with their employment details, tax information, and payment settings. This ensures they're paid correctly and can access their own employee account.


Adding an employee

To add a new employee:

  1. Select Employees from the navigation menu

  2. In the Create employee section, complete all required fields across the following sections

Employee detail

Enter the employee's personal information, including their name and contact details.

Tax details

Enter the employee's tax information:

  • Tax file number and tax residency status

  • Student loan details (if applicable)

  • Medicare surcharge levy or exemptions (if applicable)

⚠️ If the employee is a foreign resident or has specific tax circumstances, make sure to include this information.

Employment details

Provide the specifics of the employment agreement:

Employment type

  • Full-time, Part-time, or Casual

  • This affects which entitlements and allowances apply to the employee

Employment start date

  • The date the employee begins work

Agreement type

  • Currently only Standard agreements are supported

  • This affects entitlements and allowances

Annual leave

  • The number of weeks of annual leave the employee is entitled to per year


Work pattern

  • The employee's expected or normal work schedule

  • Mandatory for part-time employees to calculate pay correctly

  • Used for award comparisons, variance reporting, and rostering for all employees

Work pattern details

  • Start date: When the work pattern begins

  • Pattern type: Choose N/A (not recommended), Weekly, Fortnightly, or Variable

  • Hours per day: Enter the expected hours for each day of the week

    • Enter 0 for non-working days

    • Use decimals for partial hours (e.g., 8.5 for 8 hours 30 minutes, 4.25 for 4 hours 15 minutes)

Note: While work patterns are not mandatory for full time or casual employees, we strongly advise adding them for all employees this unlocks multiple great tools within PaySauce.


Time entry model

  • Choose how the employee will record their hours: either as total hours worked, or as start and end times


Overtime threshold

  • Set when overtime rates begin to apply:

    • Weekly: 38 hours per week

    • Fortnightly: 76 hours per fortnight

    • 4 Weekly: 152 hours per 4 weeks

Note: Most Award overtime rates apply after 152 hours of work. Adjusting the overtime threshold enables your to pay overtime more evenly rather than a higher proportion at the end of a 4 week period.


Income stream type code

  • Salary and Wages: Most employees

  • Closely Held Payee: Family members, directors, shareholders, or beneficiaries of a trust


Award details

Set the award and pay rates that apply to this employee.

Award selection

Choose the applicable award for the employee. Even if the employee is paid differently to award minimums (such as on an Individual Flexibility Agreement), select the award. PaySauce uses this information to provide award comparisons and ensure Better Off Overall Test compliance.

Note: If the employee's award isn't supported in PaySauce, select "No award" and enter their pay details manually in the remaining fields.

Custom pay rates

Select Use custom pay rates if the employee receives a different base hourly rate than the standard award rate. Enter their base hourly rate in the field provided.

Classification

Set the employee's classification or level under their award.

Dairy-specific details (if applicable)

  • Is dairy operator

  • Is full-time secondary student

  • First aid allowance

  • Leading hands allowance


Flat rate employees

Select this option if the employee is paid a flat rate per hour instead of variable award rates. This applies to salaried employees and those on individual flexibility agreements.

When selected, configure the following:

  • Apply annual leave loading: Selected by default. Determines if the employee accrues annual leave

  • Accrue leave for overtime hours: Select if leave should accrue for overtime as well as ordinary hours

  • Cap leave accrual hours: Limit the maximum hours for which leave accrues per pay period

    • Enter the maximum hours (use decimals for partial hours, e.g., 8.5 for 8 hours 30 minutes)

  • Accrue superannuation for overtime hours: Select if super should accrue for overtime as well as ordinary hours

Rates for flat rate employees

  • Default rate: Enter the base hourly rate the employee will earn

  • Custom rates: Below the default rate, you can define additional rates for different activities or situations

    • Select the + button to add a custom rate

    • Give each rate a name and value

    • Repeat for each additional rate needed

⚠️ If a rate name contains "overtime" or "public holiday," hours paid at that rate will be classified accordingly. This is important for payslip transparency and award comparison purposes.


Bank details

Enter the employee's payment information:

Payment type

  • NPP (bank account): The main transfer method used by most major Australian banks

  • Direct credit: The traditional, slower method used by some smaller banks

Account details

  • Account name

  • BSB

  • Account number


Superannuation details

Enter the employee's superannuation fund information:

  • Opt out: Only select this if the employee has formally opted out of receiving superannuation payments

  • Fund name: The name of the superannuation fund

  • Fund USI: The unique superannuation identifier

  • Member number: The employee's member number with the fund


Saving the employee

Once all fields are complete, choose one of the following:

  • Save: Creates the employee record in your organisation

  • Create and invite: Creates the employee record and sends an email invitation for them to create their PaySauce account (recommended)


Inviting an employee to PaySauce

Inviting employees to PaySauce allows them to submit timesheets, request leave, view payslips, and submit reimbursements.

Method 1: Invite during creation

Select Create and invite when adding the employee's information. This creates their record and sends the invitation email in one step.

Method 2: Invite after creation

  1. Go to the Employees section

  2. Select the employee from the list

  3. Select Send invitation

Invitation status

You can view the invitation status in the employee's record:

  • Pending: The invitation has been sent and is waiting for the employee to accept (invitations remain pending for 7 days)

  • Accepted: The employee has created their PaySauce account

Note: If an invitation expires after 7 days, you can send another invitation.


Common Questions

I'm not sure which award to select

If you're unsure which award applies, consult Fair Work or your industry association. If the award isn't listed in PaySauce, select "No award" and enter the pay details manually.

The employee is paid differently to the award minimum

Still select the appropriate award, then use custom pay rates to set their actual pay. PaySauce uses the award information to provide compliance comparisons.

I need to change the employee's details after saving

You can edit employee details at any time by selecting the employee from the Employees list and making your changes.

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