If an employee has a work-related accident, you must pay the “first week compensation” equivalent to 80% of the employees’ earnings. Then from the second week and onwards, the Accident Compensation Corporation (ACC) will pay 80% of the employees' earning until the employee is well enough to return to work.
ACC 1 Week Payment is set up as a default pay category. To include ACC 1 Week Payment:
Create a new pay run. Once the pay run has been created, go to the employee row and click on the down arrow icon to view the employee's pay run detail.
Go to the pay category drop down as shown below.
Select "Casual- ACC Week 1 Payment' for a casual employee or "Permanent - ACC Week 1 Payment" for a permanent employee.
Once the Casual or Permanent 'ACC Week 1 Payment' has been applied to your earnings line, the employee's rate will automatically be updated to represent 80% of the employees' earnings.
You will need to confirm and input the total 'Hours', once the 'Hours' have been entered, then the employee's gross earnings amount will display.
Click on the 'Save' button to recalculate and save the employee's Casual or Permanent 'ACC Week 1 Payment' details.
Once you have saved and recalculated the pay run, the employee's ACC Week 1 Payment is applied.
Check to ensure the pay run is correct and if so, then finalise the pay run.
Important: Once you have paid the employee's ACC Week 1 Payment, you will need to ensure that the employee is excluded from the next pay runs. From week 2 and onwards, the ACC will pay 80% of the employee's weekly earnings. For more information, please refer to the ACC website.