Statutory payroll, explained: SSNIT, PAYE and Tier-3 in one pay run

Payroll is where a school's admin quietly turns into accounting. You are not just paying salaries: you are withholding tax, splitting pension contributions between employee and employer, and owing several institutions money you have to track and remit. iEasySR's statutory mode does all of that from one pay run.

What the engine computes

Turn on Statutory payroll in Salary setup and each pay item gets a category. From there, per employee, iEasySR works out:

• Employee SSNIT at 5.5% of basic pay.
• Taxable income = gross minus SSNIT, non-taxable earnings and Tier-3 relief (capped at 16.5% of basic).
• PAYE across the progressive tax bands.
• Employer SSNIT at 13%, shown as overhead and total cost to employer.

How it posts to your ledger

When you approve a statutory run, iEasySR splits the accrual instead of lumping it together. It debits salary expense and the employer pension cost, then credits four dedicated payables, so your balance sheet always shows exactly what you owe and to whom.

Load the starter chart of accounts first. It ships with PAYE Payable (2310), Pension / SSNIT Payable (2320), Staff Welfare Payable (2330) and Employer Pension / SSNIT Contribution (5020) already set up for the split.

On the payslip

Every payslip carries your school header with address, contact and optional employer statutory IDs, an employee grid pulled from the HR record, and a clear earnings and deductions split with net take-home and total cost to employer. You choose whether the signature block prints, and whether the authorised signature is auto-filled.

That is the whole point: define salaries once, and the payslip, the tax and the ledger all stay in step.