Axiomatic Newsletter April 2025

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April 202 5

In 2024 Axiomatic was short listed for the Regional Payroll Supplier of the year, specifically because of our capability to run payrolls in 44 African countries and our integration abilities. We were unfortunately pipped at the post.

We are happy to announce that once again this year, we have been short listed in the same category. We are immensely proud of this nomination given that the GPA is a global organisation, and our competition this year includes several global payroll companies. We are therefore in auspicious company which is attributable to our amazing payroll managers and administrators who work tirelessly to ensure we deliver a world class service.

We would also take this opportunity to thank our clients. You constantly drive us to deliver a superior service and keep abreast of global best practices. We could not have achieved this nomination (and hopefully the win this year) without your support.

Thank you.

System Updates

Screen conversion – Payslip Pay Dates

The Payslip Pay Dates screen has been converted to NextGen and renamed to Run Management.

Along with the name change, you can also look forward to these user experience enhancements:

• Quick Access to Key Runs: Easily view your most recent open, closed and upcoming(future) runs with the option to expand upcoming runs for more details.

• Run Status Management: Update a run’s status on the grid directly from the Status dropdown menu without needing to edit the run.

• Add Interim Runs to Closed Main Runs: You’ll now be able to add interim runs to previously closed Main Runs, not just the most recent one

• Run Cycle Excel Report: A new Run Extract report will include all run cycles shown in the grid providing an overview of the run cycle for the selected frequency and if filters are applied, only the filtered results will appear in the Excel file.

• New Slide-Out Window: A slide-out menu will be used when adding or editing a run, providing a slick user experience.

New Proration Method – Prorate using roster working days

We’ve added a new Proration calculation method to the Calculation Settings screen: Package / Actual roster working days per period x Working days per roster. Applying this proration calculation method will prorate an employee’s package based on the working days setup on the Roster the employee is linked to and the actual days they’ve worked according to the roster working days

Calculation Setting – Mid-period package increase

By default, when employees receive package increases in the middle of a pay period the system will apply the new package for the entire period.

The “Prorate Employee Mid-Period Package Increases” setting will automatically calculate an employee’s package based on the days worked at both the old and new package value, using the selected company proration method reducing the risk of errors in manual payroll calculations

Example:

Company Public Holiday Bulk Action

We’ve created a bulk action for the swift upload of Company Public Holidays.

The Public Holidays bulk upload is available under the Leave Administration section of the Bulk Actions screen.

The template for Company Public Holidays includes the following fields:

Users will have the following capabilities:

• Download pre-populated sheets for easier yearly updates.

• Add, edit and delete Public Holidays using the bulk action.

• Apply a single upload template across multiple companies with shared public holiday schedules.

Compliance Updates

Legislation updates for April 2025

South Africa:

• One of the qualifying criteria for an employee to qualify for ETI (amongst others) is that the employee must be paid at least the minimum wage, which is the higher of the national minimum wage or wage as per the wage regulating measure. If the employer is exempt from the National Minimum Wage Act and there is no wage regulating measure, then the employee must earn at least R2 500 for a full month (R2 000 before 1 April 2025). A full month means 160 ordinary employed and remunerated hours.

• An employee must also earn monthly ETI remuneration of less than R7 500 (R 6500 before 1 April 2025) to qualify for the incentive A full month means 160 employed and remunerated hours

• New ETI table effective 1 April 2025:

South Africa:

• The Minister of Employment and Labour published Government Gazette 52232, increasing the BCEA earnings threshold from R254 371 67 per annum to R261 748 45 per annum effective 1 April 2025 Therefore, effective 1 April 2025, employees earning more than R261 748 45 per annum are excluded from following sections of the BCEA (Basic Conditions of Employment Act)

• The Minister of Employment and Labour announced in terms of Section 83(8) and Section 83(2)(b) of the Compensation for Occupational Injuries and Decease Act, 1993 (Act No. 130 of 1993), an increase in the OID earnings threshold from R597 328.00 per annum to R633 168.00 per annum. The new limit is effective from 1 March 2025.

Kenya:

• Fringe benefit tax is charged on the taxable value of a fringe benefit provided by employer in a month For the purposes of Section 12B of the Income Tax Act, the Market Interest Rate is 9% This rate shall be applicable for the three months of April, May and June 2025.Deemed Interest RateFor purposes of section 16(2)(ja) of the Income Tax Act, the prescribed rate of interest is 9%. This rate is applicable for the months of April, May and June 2025. Withholding tax at the rate of 15% on the deemed interest shall be deducted and paid to the Commissioner within 5 working days.

• The above rates have been reduced from 13% to 9%, which is the lowest level since January 2023 The reduction should provide some relief to affected employees

Liberia:

• The Tax Amendment Act of 2024 introduces changes to Chapters 8 and 10, specifically amending Section 806(e). This section requires a payor to withhold tax on payments made to a non-resident for services rendered. Services rendered refers to amounts that would have been included in gross income under Section 201 if paid to a resident, including board fees, management fees, commissions and similar payments.

• Under the revised provision, the withholding tax rate on such payments will increase from 15% to 20%

Lesotho:

• Income tax Amendments Annual Personal Income Tax Tables for 1 April 2025 to 31 March 2026. 2025/2026 Annual Tax Rates for Resident Individuals:

of

M0 but does not exceed M74 040 20% of taxable income up to M74 040

M74 040

• Is your current medical aid broker ensuring that your employees are kept informed and making the best choices?

• Did you know that you can switch brokers at no cost to you? Talk to us for trusted advice!

Navigating healthcare in South Africa: Why employers and employees need a broker more than ever

We're proud to share that Trevor has featured in EBNet, offering valuable insights into the ever-evolving world of healthcare in South Africa. In his latest article, Trevor explores the crucial role healthcare brokers play in helping employers and employees navigate the complex medical aid landscape.

In a system filled with fine print, shifting regulations, and countless plan options, having an expert by your side can make all the difference. From optimising benefits to ensuring compliance, Trevor breaks down why now, more than ever, trusted advice is key.

PAYROLL INSOURCING VS. OUTSOURCING: WHICH IS BEST FOR YOUR BUSINESS?

In the early 1970s, when the first outsourced payroll companies were formed, the debate immediately commenced evaluating whether outsourcing payroll was better than insourcing (running the payroll in-house).

This debate has continued and even escalated since those early days with a plethora of articles having been written promoting either option. When Googling “payroll outsourcing versus insourcing”, there are 58,000 results and the debate has not been settled. Why?

Payroll Integration Using API’s

In the past, payroll was seen as outdated, relying on old methods and manual processes However, recent technological advances have transformed payroll into a strategic asset, offering valuable data insights

Axiomatic specialises in integrating payroll systems with APIs, using middleware to ensure seamless data exchange. This integration boosts efficiency, enhances the Employee Value Proposition, and maintains data accuracy and security.

For tailored, efficient, and secure Payroll Integration Solutions.

With a custom user interface and strong audit controls, Axiomatic balances tradition with efficiency, offering tailored, secure Payroll Integration Solutions This powerful payroll functionality, combined with key middleware, allows companies of all sizes to overcome data silos by creating robust Applications, Data, and API integration on-premise and in the Cloud, all from a single interface.

ESS NOW ON WHATS APP

Hi, I’m Pacey, your employee self-service bot.

I can help you with payroll + HR requests

• Historical payslips: PDF / text format

• Apply for leave

• Approve inbox items

• View current leave balance

• View personal information

1 Easy & Secure Registration

1. Register using employee's national identification (ID) number. 2. Pacey will check that their mobile number and identification number matches their profile on PaySpace to verify them.

Interactive Messages 2

Pacey uses interactive messages which gives users a simpler and more consistent way to select the options available to them.

achieve significantly higher response rates compared to text-based lists

Pricing & Edition requirements

Pacey will be licensed as an additional service as explained below.

• Companies using Pacey must be on the Premier / Master Edition as this is a self-service feature.

• The license fee will be charged per active employee, which will provide each employee with a predefined number of conversations per calendar month.

• The pricing structure allows customers to choose from 5, 10, 20, or 30 conversations per employee, per calendar month.

• Employees will be limited to the number of conversations the company chooses. Every time an employee starts a new conversation with Pacey, they will be notified of how many conversations they have remaining for the calendar month.

• The Pacey contact number will be shared with customers upon purchasing this module including a QR code that makes it easy for an employee to scan and save the contact.

How can I help you today?

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