What Are The Student Loan CIR And BOR Fields Used For?

If an employee has student loan deductions, Lightning Payroll lets you record extra repayment instructions from Inland Revenue on top of the standard student loan deduction. The CIR and BOR fields hold those extra amounts.

What The Codes Mean

• SLCIR (Commissioner-initiated repayment): Inland Revenue has asked you to deduct an extra amount on top of the standard student loan repayment. This is entered as Additional student loan deductions p/period (Commissioner Initiated).
• SLBOR (Borrower-initiated extra repayment): the employee has chosen to repay their student loan faster and asked you to deduct an extra amount. This is entered as Additional student loan deductions p/period (Borrower Initiated).

Where To Find The Fields

1. Open the employee and go to Tax Rates >> Tax Settings.
2. Under NZ PAYE Settings, tick Has student loan.
3. Enter the Commissioner- or Borrower-initiated amount per pay period, as supplied by Inland Revenue or requested by the employee.
4. Save the employee.

How The Extra Deduction Is Applied

• The standard student loan deduction is worked out first using the SL threshold.
• The CIR or BOR amount is then added on top and deducted in the same pay.
• The combined total is what is reported under the student loan field in payday filing.

Things To Check

• Only enter a Commissioner-initiated (CIR) amount when Inland Revenue has issued a notice asking for it.
• A Borrower-initiated (BOR) amount is voluntary, so confirm the employee has actually requested it before adding it.
• If a Commissioner notice expires or is cancelled, clear the CIR field so the extra deduction stops.