UIF is calculated as 2% of an employee’s remuneration for UIF purposes, split evenly between the employee and employer, i.e. 1% contributed by the employee and 1% contributed by the employer. Remuneration for UIF purposes is the employee’s remuneration, less certain exclusions such as commission, and is subject to a monthly income cap of R14 872. The … Read more
Any payment that you receive from the UIF is tax-free. This includes a pay-out as a result of being without a job or because of maternity leave. If you have taken maternity leave and are planning on or have received a payment from the UIF, you will not pay tax on this income HOW MUCH MONEY CAN WORKERS CLAIM? If you … Read more
The employee is entitled to 4 months unpaid maternity leave. Maternity leave should commence one month before the expected date of birth of the child, and the employee is obliged to give the employer one month’s notice of the commencement of maternity leave. Employers are not obliged to remunerate employees for maternity leave, and the … Read more
Are you allowed to resign with immediate effect By resigning with immediate effect, an employee is in breach of contract. The employer has a choice: Firstly, it may hold the employee to the contractual notice period. (In legalterms, this is known as ‘specific performance’.) Secondly, the employer may ‘accept’ the resignation, cancel the contract and claim damages. An … Read more
Yes UIF is payable on a bonus. My question is, when paying an annual bonus, do I calculate UIF as if the bonus is a separate month, or is it considered to be part of the same month and therefore subject to the monthly limit.It’s actually a good question. Let me answer it this way … Read more
CALCULATING UNEMPLOYMENT INSURANCE FUND (UIF) CONTRIBUTIONS UIF is Calculated on gross income. The calculation of UIF is not a simple matter of applying 1% to the gross pay of an employee. The calculation of the amount of income that is subject to UIF, is set out in the UIF Act and the Income Tax Act. … Read more
Employers must pay unemployment insurance contributions of 2% of the value of each worker’s pay per month. The employer and the worker each contribute 1%. Contributions are paid to the Unemployment Insurance Fund (UIF) or the South African Revenue Services (SARS). UIF Application The Unemployment Insurance Act and Unemployment Insurance Contributions Act apply to all employers and workers, but not to – … Read more
UIF Act and Retirement: There are no benefits linked to age or retirement at all in the UIF Main Act that relates to the benefits payable. Unemployment benefits are strictly intended for employees who have involuntarily lost their employment. There are the 5 pillars of benefits under which you can apply for benefits: Unemployment benefits … Read more
A worker’s spouse, life partner or children have the right to claim benefits from the Unemployment Insurance Fund (UIF) when the worker dies. Dependants must apply and will be paid at the labour centre of their choice. Application The Unemployment Insurance Act and Unemployment Insurance Contributions Act apply to all employers and workers, but not to – workers working less than … Read more
How do I go about filing online for my UIF benefits? Simply go to www.ufiling.co.za and follow the steps to create an account. The service is completely free and allows UIF returns can to be done simply and conveniently online. Other benefits include ease of secure payments (debit order and credit push via internet banking) and faster … Read more