RETURN OF EARNINGS

Return of Earnings

Submitting your Return of Earnings is a critical annual task that ensures accurate assessments and avoids potential penalties. The Compensation Fund’s annual assessments hinge on the classification (nature of business) and employee earnings, impacting the risk level and assessment rates. Incorrect information may leave to penalties or overpayments that are challenging to rectify.

Then to Submit Return of Earnings:

1. Upon Company Registration:

Provisional earnings must be submitted immediately after registering until the end of February. 

For example: if you register in May 2026, submit total provisional earnings from May 2026 until Feb 2027.

2. Annual Submission in April:

Submit actual earnings for the previous assessment year and provisional earnings for the new assessment year in April.

For instance: from 01 April 2026, submit actual earnings (01 Mar 2025 to 28 Feb 2027) and provisional earnings (01 Mar 2026 to 28 Feb 2027).

AVOIDING MISTAKES

Mission of Enormous Proportions:

Making mistakes in capturing provisional and actual earnings can be time-consuming and challenging to rectify. Unfortunately we do not offer a service to correct mistakes, therefore providing accurate information is crucial.

Terms Explained:

Provisional Earnings

All expected staff costs, salaries, and wages per month for the assessment year.

Actual Earnings

All staff costs, salaries, and wages per month paid as per payroll for the assessment year.

Assessment Year

A defined period, for example: 01 Mar 2025 to 28 Feb 2027 (the 2025 assessment year).

After Submission:

Upon submission, the Compensation Fund will issue an invoice for the assessment fee, separate from our services.

A Letter of Good Standing cannot be obtained until the Compensation Fund invoice is paid in full.

Alternatively an instalment plan arrangement can be made, which will allow you to obtain a Letter of Good Standing after each instalment payment.

What We Require from You:

• Copy of your most recent Compensation Fund Invoice / Notice of Assessment (We use this to verify last year’s submitted figures and assess the risk of an audit.)
• Completed CF-2A Return of Earnings form (form will be provided)
• Completed Confirmation of Employer Registration Details form (form will be provided)
• Payroll report (if available)
• Signed Power of Attorney on your company’s letterhead (template will be provided)
• Signed POPIA Consent (template will be provided)

Ensure accuracy in your Return of Earnings to navigate the assessment process smoothly.