Announcement!
This is a notification for product news or an alert. If you have a question, please start a new discussion

Have you updated your payroll to Release 5.6a?

Release 5.6a for Sage Classic, Sage Premier and Sage 200c VIP was released on the 10th of March 2021 and is available for download from the Customer Zone.

This is a mandatory update for all users.

Users who have not installed this mandatory update, must install it as soon as possible. Release 5.6a must be installed in a new pay period, before paying your employees as PAYE recalculations will take place.

The following items are included in this release:

  • RSA: Tax Related Changes Affecting the System
  • Tax Table Changes 2021/2022
  • Subsistence Allowances and Advances
  • Table for Calculation of Rate per km/Travel Allowance
  • Low or Interest-Free Loans/Debts
  • Cumulative Exemption for Retirement Fund Benefits and Severance Benefits
  • Value of ‘B’ in the Residential Accommodation Fringe Benefit Calculation
  • PAYE Withholding on Annuities/Pension
  • Reimbursements/Advances for Business Travel on Day Trips
  • Exempt Bursaries/Scholarships

Please review the software release notes to review the details of what is included in this update. Click here to view the software release notes.

Note: Forced pay and Stop further entry must not be activated when installing the update

Frequently asked questions:

I have already paid my employees in this period. I installed Release 5.6a after paying my employees. I would prefer to restore the full system backup to the prior release and recapture my payroll.

  • You will need to restore the full system backup made before installing the update
  • Capture your payroll for the current period
  • Reconcile the payroll to the nett salaries that the employees were paid for this period
  • Print all reports and payslips for the current period
  • Roll over to a new processing period
  • Make a full system backup
  • Install the update

Note: RSA Legislative changes for the 2021-2022 Tax Year have been implemented. If you have already entered travel transactions before updating to the current release, the rate per kilometer will have been calculated at R3.98. Delete these transactions and recapture them to apply the reduced rate R3.82/km. Medical aid tax credits will also need also need to be backdated.

I have already paid my employees for this period and I installed Release 5.6a thereafter. What are the payroll implications, as I would prefer to remain on Release 5.6a, without having to restore and capture?

  • Print the original EMP201 report and the Company Reconciliation report before the update
  • Make a full system backup
  • Manually adjust the payslip figures to balance back to what was paid to employees on your final payroll before the update was installed
  • Reprint the EMP201 and Company Reconciliation report and make sure it balances to the original printed reports
  • When you roll into a new period the system will recalculate the PAYE on rollover

The following articles are available on the Sage Knowledgebase to provide you with guidance to make corrections on your payroll system