The small income allowance has come into effect on January 1st 2011. This provides welfare allowance to employees residing in Aruba with earnings a minimum of Afl. 1.542,90 and not exceeding Afl. 2.500 per month for a 40 hour work week. Per January 1st 2012 a minimum of Afl. 1.604,62 and not exceeding Afl. 2.500 per month for a 40 hour work week.
If an employee believes he/she is entitled to the allowance then he must fill in and submit a special form available at the tax inspector to his/her employer.
The only thing to be done in Payroll 4 Aruba is to add a check mark on the "Taxes"-tab at "Small income allowance".
If the employee has mentioned other sources of income on the form then you must convert the other income to a year income and fill it in at "Addition Tax basis" so this can be taken into account.
Every month Payroll 4 Aruba will compute how high the allowance must be and add it to the nett income of the employee.
