This guide details the steps required to update Tanda's 'Managed Award' templates.

The 2020 minimum wage update announced by the Fair Work Commission will be apply in three stages based on industry. In each stage the updates apply to the first full pay period after the effective date.

What to expect for your Award update

In the weeks before each stage is updated, Tanda will let your account Admins & Payroll Managers know when this update is ready to be applied via email. You will also see the below message in the Compliance tab of your account if you have one of the impacted Award templates activated in your account.

When the update is ready, you will see a message titled Minimum Wage Update Available pop up in Tanda:

To update the Award, go to Compliance, look for your Award Template, and click Manage.

You will see an Update Award to New Year button next to each Award you have activated in your account. Click on this button:

You will then be prompted to choose the dates from which your new Financial Year starts. The new rates will usually apply to your first full pay period after July 1st. 

For example, if your current pay period is Monday 26th June to Sunday 2nd July, you should set the new rates to apply from 3rd July.  

If you are unsure when the new rates are meant to apply from, you should check with the Fair Work Ombudsman. A full guide on the operational dates for each award can be found on the Ombudsman website here.  

Once you have selected your Pay Period Start Date click the orange Update Award to New Year button to update the rates in Tanda and your accounting system. 

Important Information for Xero and MYOB AccountRight Live users

For MYOB AccountRight Live and Xero customers, staff pay rates in your payroll system will be automatically updated before your process your next pay run.  Please note this doesn't include employees covered by an Award template in Tanda who have a different base hourly rate manually entered on their profile, or those on a 'custom payroll setup'.

Note: if you are updating the templates just before needing to export to payroll, we recommend forcing a template update from the 'Manage Award' page of each Award template in Tanda:

Tip: allow up to 20 minutes for these changes to take affect in your payroll system

For MYOB Desktop and Reckon Accounts customers, you will need to update the rates in your payroll software after finalising your payroll for last financial year. When you click the update button, you’ll be redirected to a report of new pay rates for the new year.

How does Tanda know what rates are correct?

As the minimum wage announcement from the Fair Work Commission is generally a few weeks ahead of the Fair Work Ombudsman's updated pay guides, Tanda firstly performs primary calculations to ensure updated rates are available to all users on time for their operational date.

Once pay guides are issued by the Fair Work Ombudsman and respective industry bodies, our team perform a final validation against other published interpretations. This is mainly to ascertain that our methods of rounding match the interpretations of the Ombudsman and industry bodies.

It's not uncommon to find disagreement between industry body pay guides, and those published by the Ombudsman (usually of 1 cent). Tanda has called upon the Fair Work Ombudsman to provide certainty in these cases in our recent senate inquiry submission. You can find a copy of our senate submission here.

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