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Tapping the benefits of the Employment Tax Incentive scheme

Image of a person using a tablet to show that PRP Solutions helps employees qualify for Employment Tax Incentive scheme benefits

PRP Solutions helps employees qualify for Employment Tax Incentive scheme benefits

15th July 2022

     

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The Employment Tax Incentive (ETI) scheme allows South African employers to claim a pay-as-you-earn (PAYE) tax rebate for employees between the ages of 18 and 29 years who earn a gross salary of less than R6 500 per month. The scheme is aimed at boosting the employment of young work seekers.

Employers may unwittingly disqualify employees from claiming the benefit by overscheduling employees, effectively pushing them over the maximum salary limit required by the ETI.

PRP Solutions’ Honeycomb platform, with its employee scheduling and planning tool, aims to identify potential ETI candidates and assist planners in ensuring that employees can qualify for an ETI claim.

“Our Honeycomb management portal enables the employer to maximise their ETI benefit by ensuring that any employee who potentially qualifies for the ETI benefit is not disqualified from this through planning too many shifts or hours,” explains PRP Solutions CEO Kriya Govender.

The portal is a cloud-based solution that automates different personnel management and administrative tasks. It also integrates with the employer’s payroll and human resources systems, enabling real-time, flexible and efficient management of employees.

The system is designed to provide an early warning if inefficient planning will disqualify a candidate from ETI later, when the payroll is run. “The rules in the Honeycomb system ensure that calculations for payroll are compliant with labour regulations, sectoral determinations, company policies and employment contracts. The platform’s planning tools also ensure that requirements are met in terms of rest periods and maximum hours of work,” elaborates Govender.

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