Sch 7– Tax table for unused leave payments on termination of employment

Schedule 7 – Tax table for unused leave payments on termination of employment

This document is a withholding schedule made by the Commissioner of Taxation in accordance with sections 15-25 and 15-30 of Schedule 1 to the Taxation Administration Act 1953 (TAA). It applies to withholding payments covered by section 12-90 of Schedule 1 to the TAA.

You should use this schedule if you pay an amount to an employee for unused leave on the termination of their employment or office.

Unused leave payments on termination of employment or office include:

■ annual leave

■ holiday pay

■ leave loading

■ leave bonuses

■ long service leave.

Before calculating the amount to be withheld, you must work out if the payments are being made as a result of a genuine redundancy, invalidity or an early retirement scheme.

For more information, refer to Withholding from unused leave payments on termination of employment.

If you employ individuals under a working holiday makers visa you must use the Tax table for working holiday makers for all payments made to them, including unused leave payments on termination of employment.

When a TFN is provided

The amount to withhold is calculated using the table below.

If the post-17 August 1993 lump sum payment from normal termination is less than $300, you must withhold the lesser of the following:

■ the amount worked out using the table below

■ 32% of the payment.

Withholding amounts for long service leave, annual leave and annual leave loading

<table cellspacing="0" cellpadding="0" style="border:0.75pt solid #000000; border-collapse:collapse"><tbody><tr><td style="border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Payment type</span></p></td><td style="border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Reason</span></p></td><td style="border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Accrual dates</span></p></td><td style="border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Withholding rates</span></p></td><td style="border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Payment summary label</span></p></td></tr><tr><td rowspan="6" style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Long service leave</span></p></td><td rowspan="3" style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Normal termination (eg voluntary resignation, employment terminated due to inefficiency, retirement)</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Pre-16 August 1978</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">5% of total at marginal rates</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">B</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">16 August 1978 to 17 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Post-17 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Marginal rates</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Include in salary/wages</span></p></td></tr><tr><td rowspan="3" style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Termination because of genuine redundancy, invalidity or early retirement scheme</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Pre-16 August 1978</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">5% of total at marginal rates</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">B</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">16 August 1978 to 17 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Post-17 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr><tr><td rowspan="3" style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Annual leave</span></p></td><td rowspan="2" style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Normal termination (eg voluntary resignation, employment terminated due to inefficiency, retirement)</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Pre-18 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Post-17 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Marginal rates</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Include in salary/wages</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Termination because of genuine redundancy, invalidity or early retirement scheme</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold"></span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr><tr><td rowspan="3" style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Annual leave loading</span></p></td><td rowspan="2" style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Normal termination (eg voluntary resignation, employment terminated due to inefficiency, retirement)</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Pre-18 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr><tr><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Post-17 August 1993</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Marginal rates</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Include in salary/wages</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Termination because of genuine redundancy, invalidity or early retirement scheme</span></p></td><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold"></span></p></td><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">32%</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">A</span></p></td></tr></tbody></table> ``` <table cellspacing="0" cellpadding="0" style="border-collapse:collapse"><tbody><tr><td style="border-top:2.25pt solid #808080; border-right:0.75pt solid #ffffff; border-left:0.75pt solid #ffffff; border-bottom:0.75pt solid #ffffff; padding-right:9.62pt; padding-left:9.62pt; padding-bottom:9.9pt; vertical-align:top; background-color:#99ccff"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif; font-weight:bold">Example:</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Beth retires on 31</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">December 2018. She qualified for long service leave after 10 years of service, with further leave accruing on each completed year of service.</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">She is not leaving because of genuine redundancy, invalidity or under an early retirement scheme.</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">This week Beth also receives her normal weekly earnings of $1,155. She has quoted her TFN and has claimed the tax-free threshold. Therefore, the amount withheld is calculated using column 2 of the </span><span style="font-family:Arial, sans-serif; font-style:italic">Weekly tax table</span><span style="font-family:Arial, sans-serif">.</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif; font-weight:bold">Details of payment for long service leave</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Pre-16</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1978 component = $3,690.00</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">16</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1978 to 17</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1993 component = $7,700.00</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Post-17</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1993 component = $10,890.00</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif; font-weight:bold">Amounts to be withheld</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Pre–16</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1978 component subject to withholding</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">= $3,690.00 × 5% = $184.50</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">The marginal rate calculation is used to work out the amount to be withheld from the pre-16</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1978 component.</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">16</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1978 to 17</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1993 component</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">= $7,700.00 × 32% = $2,464.00</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">The post-17</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1993 component of $10,890.00 is also to be withheld at the marginal rate. To simplify the marginal rate calculation for this employee, the pre-16</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1978 component and the post-17</span><span style="font-family:Arial, sans-serif"> </span><span style="font-family:Arial, sans-serif">August 1993 component are added together first: $184.50 + $10,890.00 = $11,074.50</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Now apply the marginal rate calculation to the sum of the two components.</span></p><p style="margin-top:14pt; font-size:11pt"><span style="font-family:Arial, sans-serif; font-weight:bold">Marginal rate calculation</span></p><table cellspacing="0" cellpadding="0" style="border:0.75pt solid #000000; border-collapse:collapse"><tbody><tr><td style="border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Step</span></p></td><td style="border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Instruction</span></p></td><td style="border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt; background-color:#b2b2b2"><span style="font-family:Arial, sans-serif; font-weight:bold">Result</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">1</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Amounts to be withheld from normal gross earnings ($1,155)</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$216</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">2</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Divide the amount of the payment by the number of normal pay periods in 12 months ($11,074.50 ÷ 52)</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$212.97</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">3</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Disregard any cents</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$212</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">4</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Add the amount at step 3 to normal gross earnings for a single pay period ($1,155 + $212)</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$1,367</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">5</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Work out the amount to be withheld from the amount at step 4 ($1,367)</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$289</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">6</span></p></td><td style="border:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Subtract the amount at step 1 from the amount at step 5 ($289 − $216)</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; border-bottom:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$73</span></p></td></tr><tr><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:center; font-size:11pt"><span style="font-family:Arial, sans-serif">7</span></p></td><td style="border-top:0.75pt solid #000000; border-right:0.75pt solid #000000; border-left:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">Multiply the amount at step 6 by the number of normal pay periods in 12 months ($73 × 52)</span></p></td><td style="border-top:0.75pt solid #000000; border-left:0.75pt solid #000000; padding-right:5.03pt; padding-left:5.03pt; vertical-align:top"><p style="margin-top:10pt; text-align:right; font-size:11pt"><span style="font-family:Arial, sans-serif">$3,796</span></p></td></tr></tbody></table><p style="margin-top:10pt"><span style="font-family:Arial, sans-serif; font-size:11pt">The amount to be withheld from the three components of Beth’s unused long service leave payments is </span><span style="font-family:Arial, sans-serif">$6,260 ($2,464 + $3,796). </span><span style="font-family:Arial, sans-serif; font-size:11pt">See Rounding of withholding amounts.</span></p><p style="margin-top:10pt; font-size:11pt"><span style="font-family:Arial, sans-serif">The total amount to be withheld is then $6,476 ($216 withholding from normal earnings plus $6,260 withholding from long service leave).</span></p></td></tr></tbody></table> ```