Maternity Benefit

It’s possible to pay maternity benefit straight to company account. This benefit is then paid to employee monthly.
Should this be put as an expense on payslip?

  1. john_bullet March 3, 2014
    Hi Joanna. I'm not quite sure what you mean by paying the benefit straight to the company account. Could you elaborate more?
  2. March 3, 2014

    Sure. When employee goes to maternity leave - it's possible that maternity benefit will be paid to company account:

    If company still pays employee full salary, this salary will consists of
    - maternity benefit (only taxed)
    - and regular salary (taxed, USC and PRSI)

    Tax for maternity benefit is taken in reduced tax credits and cut-off figure. So - maternity benefit, should be just passed over to employee then.

1 answer

john_bullet Staff March 3, 2014

You can set up an addition for maternity benefit that you can use when paying the employee
Under Wages, click on Payroll Deductions.  Click on ‘+Add an Addition”.  Name the addition “Maternity Benefit”, set it as enabled.  Select Yes for affects gross pay (it is an additional payment), and select “No” for tax free.  Put 100% in the PAYE field.  Review and Save.  Now when you create a payslip, you click on ‘+Add an addition’ and select Maternity Benefit, and enter in the gross amount that they are getting.


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