Tuesday, November 22, 2011

New Zealand payment rounding legal advice please?

I am self employed, but receive works orders from a company I do piece work for. The works orders state dollar and cents amounts to 3 decimal places, and my invoicing rounds up to 2 decimal places, but they pay based on the first 2 decimal places, regardless of rounding. Now for the sake of accuracy, should they be correctly rounding to 2 decimal places, or is it OK for them to just read the first 2 decimal places and ignore the rest?


Example:


288 units at $0.286 each I calculated as $82.368, rounded up to $82.37


They pay $82.36 as they just read the first 2 decimal places and ignore rounding.


What concerns me is that my invoices automatically round up, so what they are paying me does not match my invoicing. Even if I adjust my invoices to show 3 decimal places, the rounding they fail to do would make the payment inaccurate. I know it's only a few cents, but over a few years this would add up, and I am concerned that it would look odd when I do my tax return at the end of the year.New Zealand payment rounding legal advice please?
Not sure, if you contact a NZ accountant or the NZ Retailers Association maybe (but an accountant will charge you for the info) or just google search on google.co.nz - like I did as per below:





Information for businessesHow will rounding work? The New Zealand Retailers Association has suggested to its members that when the total transaction value ends in x cents and payment ...


www.newcoins.govt.nz/2451669.html - 7k - Cached - Similar pages - Note this





How does rounding work? - GrownUps New ZealandHow will rounding work? The New Zealand Retailers Association has recommended ... value ends in x cents and payment is by cash then the following rounding ...


www.grownups.co.nz/read/money/savings-鈥?-





You could also google our Commerce Commission %26amp; they should be able to help or put you onto the right person/Government Department. Or even our Ministry of Foreign Affairs %26amp; Trade.

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