REVOLVE ACCOUNTING
How to Avoid Payroll Fines When Running Your Business
By Revolve Accounting
Published: 20 March 2026
Payroll errors can be expensive — and SARS penalties add up quickly. The good news is that most payroll problems are easy to prevent with a few simple habits. Here are the top ways to avoid payroll fines in South Africa:
1. Always submit your EMP201 on time
SARS charges penalties and interest for late PAYE, UIF, and SDL submissions. Set reminders or automate the process to avoid missing deadlines.
2. Use the correct PAYE tax tables
SARS updates tax brackets every year. Using outdated tables leads to under-deductions — and future tax debt for employees.
3. Double-check UIF and SDL calculations
UIF has limits, and SDL only applies when your payroll exceeds R500,000 per year. Incorrect calculations are a common cause of penalties.
4. Keep accurate payroll records
SARS can request payroll data from the last 5 years. Good records protect you during audits.
5. Always issue payslips
Payslips are legally required and help avoid employee disputes.
6. Don’t pay salaries before doing calculations
Make sure PAYE and UIF are calculated before paying staff — not after.
Staying compliant is easier than fixing mistakes later.
If payroll feels stressful or confusing, We're here to help you run it smoothly, accurately, and on time every month.