RETURN OF EARNINGS (ROE)

All companies with employees must be registered at the Compensation Commissioner. The employer then needs to submit an annual Return of Earnings on the Department of Labour website. We will assist you in doing the registration as well as the submission of the returns. After all the returns have been submitted, and payments are up to date, only then will you be able to receive a letter of good standing. Please see how we can assist you in making the process easy and painless.

Who must register at the Compensation Commissioner?

Every company with employees needs to register at the Compensation Commissioner and are obliged to submit their returns annually to the Department of Labour.

How do you register as an employer at the Compensation Commissioner?

We will need to complete a WAs.8 Form and submit the following supporting document together with the application form:

  • Certified company registration documents.
  • Certified copy of ID-document/s of the sole proprietor, members of the Close Corporation or director/s of the Company.

How do you submit the ROE?

When the registration is finalised, usually after 21 working days from submission, we will receive a reference number. With that reference number we will be able to register the company on the website.

After registration, we will have to submit your returns from the year the company started to trade. Every employer must submit their employee’s actual salaries paid during the past financial year, as well as the projected salaries for the coming financial year. If there were no salaries paid, we still have to submit a return for that year. There is a minimum amount to be paid to the fund, even if there are no salaries payable.

How does the company get assessed?

Every company is categorised, and sub-classed, according to their type of business. Every sub-class has its own risk tariff which represents the percentage of the risk of injury the employees have in their line of work.

After submitting the declaration, the company will be assessed against the risk tariff and the assessed amount will have to be paid by the employer.

The assessment will consist of the assessed amount for the current year based on the actual salaries paid, less the projected assessed amount for the current year which was submitted and assessed the previous year, plus the projected assessed amount for the next year. This return must be submitted annually and must be paid up to date in order to receive a letter of good standing.

Why pay the Compensation Commissioner?

The contribution payable is for cover against any medical cost occurred by injury in the line of duty, as well as for compensation to an employee for the loss of a limb.

Why is a letter of good standing necessary?

Employers who submits tenders, are normally required to submit a letter of Good Standing with the tender documents. For an employer to be in good standing the following need to be in order:

  • The employer needs to be registered at the fund.
  • All outstanding return of earnings need to be submitted.
  • The assessed account must be paid up to date.

A letter of good standing is valid for a year only.

When is the ROE due?

The ROE is due on the 31st of May.

The 2015 financial year’s salaries and the projected 2016 financial year’s salaries must be submitted on the 2014-return. the 2016 financial year’s salaries and the projected 2017 financial year’s salaries must be submitted on the 2015-return.

Please contact us if we can assist you with above or if you have any queries regarding above.

CMV Group of Companies

Tel : 012 991 4400
Fax : 012 991 3001
Physical: 17 Midas Avenue, Olympus, Pretoria, 0081
E-mail: info@cmv.co.za

Copyright © Website | Powered by SucceedGroup