Hi everyone
There seems to be a number of forums in relation to the Jobkeeper Payment. Rather than having multiple threads, ask me questions in relation to the JobKeeper Payment and I will try my best to answer otherwise hopefully somebody else can as well.
Background: I am an accountant with years of experience
as a sole trader if one has not lodged their tax return for 2018-2019 before 12 march 2020 does that mean that they are not eligible FULLSTOP?
other info:
have never lodged bas or gst, never lodged tax returns since only started work in july 2018.
Do you have an extension for your 2018-19 tax return to lodge after 12 March 2020?
no i dont, but if i go to an accountant dont they have the ability to lodge late (late in respect to the jobkeeper set date of 12 march) but not late for normal tax return which we do have till end of may to do.
Also another important question that even the ATO helpline could not answer they said they will ring me back was this.
(abn sole trader) we have "gross sales" than we -less the expenses at which we are left with the "net profit" for each month.
for the gst turonver for april 2019 vs april 2020, do we calculate and compare our 'gross sales' or 'net profit'?
for the gst turnover comparison, are we suppose to prove that we had a loss of %30 only for only one month? or is this ongoing every month till the month of September (duration of the scheme)?
I phoned the ato as I am / was in the same situation. No last years tax. new start up no bas no accountant. They helped me put my application through over the phone. So yes apply. Or if still in dought phone them up. Hope you get it sorted too.
Hello
Can anyone please clarify, if my husband who works permanent part time 3 days and also works as a sole proprietor for his home based business since last 3 years, will he be eligible for the job Keeper payments? The business has been been reduced by almost 80-90 percent since March which has affected us financially.
Thank you
Not for his business. He may be eligible for the payment if his employer is eligible and contacted him.
so do you know if we should be comparing gross or net?
So if you're in a partnership. Only 1 gets JK. Is it declared as in the partnership tax return or in the sole person tax return.
How long did it take? Accountant has submitted on my behalf.
I was told that it would be paid some time next week
From a good source Yohan? Thanks mate
Told by agent at ATO.
Paid today
Quick question: When trying to apply today on the ATO site, it asks for my 2020 Apr and 2020 May projected revenue. My revenue for May will be a bit higher than Apr, but both of them are ~40% down from last year, which is not even being asked.
What do I do? I know I should not have left it for the last moment, but can sm1 please help?
Report April (and all requested figures)as it was- they will find the percentage difference- or get your accountant to do the lot for $100 (2 profit and loss, 1 asset and liabilities, plus accountant can identify and register you for the payment)
Has any employers or companies received their JobKeeper payments yet? I've been waiting all week and still don't see anything
Many
For some, there could be delays, according to this.
In subsequent tweets, an ATO spokesperson said if a business completed the process by the end of April, and hasn’t received payment by May 15, “we suggest that you phone us”.
Will 2nd payment be rolled out from 25th May?
Most likely June, if the example table as shown here is in fact how they intend to roll out payments.
This article also says:
How will it be paid?
Eligible employers will have to pay $1,500 per fortnight per eligible employee from 30 March 2020, and will be reimbursed monthly in arrears starting from 1 May.
Sorry if this question has been asked before.
The boss is paying the workers more than $1500 per fortnight. Are they supposed to pay them their normal wages per fortnight plus the whole JK amount or the JK and their partial wages upto their normal wages?
Thanks.
Just have to pay JK and their partial wages up to their normal wages.
Think of it as a wage subsidy.
Some of the guys thought they scored a $750 weekly bonus.
Thanks.
Major change to Jobkeeper is on the way. It could end early, slashing of payment or change in eligibility.
https://www.news.com.au/finance/work/leaders/coronavirus-aus…
yes because too many rorting the system
Yes I read it yesterday. I don't understand how can zombie companies use this payment. One has to be eligible on 1 March 2020 if they want to get this payment. The jobkeeper was announced a few weeks after that.
I could be wrong, but I think what is meant is that Jobkeeper is keeping alive companies, which are not viable once the payment ends, and ultimately will not survive. It is pretty harsh to hear, I know. I think government's primary aim of JK is to give a lifeline to companies that, if helped during this period, will recover and survive/thrive into the future. And also, to help the employees in these companies during this incredibly difficult period.
Hey guys,
Not sure if this question belongs here but here goes.
I am currently on the job keeper payment plan and was wondering when the end date of the plan would be? On the website it lists a natural run out by mid September but what about outside factors affecting that such as lock down easing?
The reason I ask is I am currently studying in tafe while on job keeper working at a cinema. Because of the lock downs less movies would be released causing less consumers for a cinema. There are long reaching implications of these shutdowns and thus I am not sure how It will affect jobkeeper.
If anyone has ANY contribution to my main question I would love to hear your feedback as I have spent many afternoons trying to find an answer to no avail.
Thank you for your time
Ì see you know your Judo well! Good One sir!
The current jobkeeper legislation runs until September. Scomo has commented in the past day or so that it could be either shortened or extended. I doubt cinemas are coming back anytime soon and at any proper capacity. So it's highly likely you'll have jobkeeper until at least September. Anything else is purely speculation at this point.
Just a quick question does the business(hospitality) have to be open to be getting the jobkeeper payment?
Open: No
Ongoing: Yes
Has any sole trader received their Jobkeeper payments yet?
Have you been waiting long? Our accountant "enrolled, identified and declared for JobKeeper on our behalf using Online service for agents"
If you are doing it yourself, make sure you have done that on mygov.
Have done that 4-5 days ago.
Got the payment today morning.
yes,
today.
Anyone got their second payment yet?
Is it paid monthly
For sole traders at least, they are paying for 2 fortnights together. 28 days together $3000.
Question here. Relative has a part-time contracted employment with start and end dates being Jan 2020 and Dec 2020 respectively, and a part-time sole trader ABN job. The contracted employment job is not affected by covid, but the sole trader ABN job has dropped more than 30%. She is not getting Jobkeeper from the contracted employment job or elsewhere. Is she available for Jobkeeper payment on her sole trader ABN?
One of my friend got his PR visa subclass 189 in Apr 2019 and arrived in mid May 2019. Started working on ABN since arriving here. Has lodged his tax return for the last year. He has experienced 30% downfall using comparison of Apr-Jun quarter of 2019 with 2020. He applied for JobKeeper himself and got declined stating that PR 189 is not a permanent visa.
Any advice?
Subclass 189 is a permanent visa. Asked for a review.
Thanks, he called ATO but they weren't convinced. Then my friend said ATO contacted him again after 1 week and said it was a mistake on our side. He is eligible for JobKeeper. Weird, isn't it.
I had a search through the tread above about being made redundant while on jobkeeper? My partner has been stood down since March and was told this week her role was made redundant. I dont understand why the employer would make this decision now when keeping my partner on jobkeeper doesnt cost them a cent.
Anyone had any experience with this? other than being mean spirited, what would be the driver of this?
Thanks
Her employer probably didn’t qualify for JobKeeper.
she had received two payments to-date.
Most likely because if they keep her on till JobKeeper cuts off, they will then have a difficult time saying her position is redundant. They might feel that if it were not for JK, the reduced volume of business means the position is in reality not tenable. I doubt the employer is trying to be mean-spirited, it is to protect themselves against a backlash when JK is removed, and they will have to keep her on, or face a challenge regarding the validity of the redundancy.
Thanks. To add things into the mix, she was on maternity leave and the business has hired 2 new staff in the past 3 months. Something doesnt add up and the more we look into it, it looks like unfair dismissal.
Check at fairwork.gov.au and see if you have a case for unfair dismissal.
Does anyone have any insight into what is deemed reasonable regarding a stand down direction?
The amendments provide powers that, when enacted, give employers eligible for JobKeeper payments the right to make directions to, request or to reach agreement with, their JobKeeper payment eligible employees. These new provisions enhance flexibility in the employment relationship, subject to an overarching reasonableness criteria, which means that an employee is not required to comply with the direction if it is “unreasonable in all the circumstances”.
Would the following scenario be reasonable. All staff in the office are on 6 hours a day. 1 staff member is on 0 hours a day. The 1 staff member could do the same role as other staff in the office.
I work with several small businesses that claimed JobKeeper for all of their employees, continued to benefit from every staff member working on-site full-time for that time, with ongoing income from clients — yet they maintain they are struggling to keep operating / verging on bankruptcy, and that the JobKeeper payments are very little.
Given that:
* Employees are median waged (between $50-80k), JobKeeper should theoretically cover most of their wages
* On-paper accounting will show >30% drop in monthly income, even with no material change
* Minimal overheads for these office businesses, other than rent and staff
* They enjoy a substantial boost to their bottom line, thanks to the governments' handout, more than likely to be net gain over previous years.
What would the possible reasons for this happening ?
Is the JobKeeper restricted to certain businesses/staff, or does the ATO reject claims based on 'creative accounting' — Is there a risk ATO demands more detailed bookkeeping than some businesses are willing to reveal ?
Okay, so unfortunately, the company I am employed by was impacted by Covid-19 and for the past 3.5 months I have had to accept a reduced pay (JobKeeper). Since restrictions have been easing, my pay was bumped up a bit (not 100%), however, not everyone's pay has, and there are a few people back on a 100% salary.
Is it purely to the direction of the company when it comes to pay? Given revenue is back up (partially), it's either pay everyone their FT wage, or no one? Can companies (legally) keep paying employees a JobKeeker wage while others are back on FT? Are there any laws around this? Incredibly unfair (and wrong I might add) to pay some employees X% of their pay and others 100% of their pay.
Just looking for advice. Thanks.
e: Job Keeper
Are you getting Job Keeper or Job Seeker?
Job Keeper* sorry, typo.
What percentage of their normal hours/duties are the workers performing?
100% (5 days), but on a reduced wage.
If you are doing 100% of your hours, then you are entitled to 100% of usual wage:
Qualifying employers need to pay their eligible employees $1500 (before tax) per fortnight to be reimbursed by the ATO. The ATO will reimburse the employer monthly in arrears.
An employer must pay an employee each fortnight the higher of:
- the amount of the JobKeeper payment, or
- their usual pay for work performed (including any paid leave or public holiday pay).
Employers can’t pay their employees less than the JobKeeper payment per fortnight and keep the difference, or just pay the employee the amount of the JobKeeper payment if the employee is entitled to more.
5 days, but how many hours is that?
Your remuneration agreement is between you and your employer. I don't see how your colleagues' pay is any of your business.
If you are not happy with your pay, seek legal help if you think you're being paid under your legal entitlements. You are not a slave and you can reject work arrangements you're not satisfied with.
Given revenue is back up (partially), it's either pay everyone their FT wage, or no one?
Your profile says you're in Melbourne. Are you sure revenue is back up? We've been on Stage 3 restrictions again for the last two weeks.
There's way too many variables that we don't know of to be able to give you a decent response. However, what I do know is, that during the past few months, it would've been obvious to employers who their loyal and dedicated employees were. I'm not saying you weren't, but if I was an employer, I'd be moving the salaries of the more "valued" employees back to their normal rate first.
It could also be that there just isn't enough cashflow to move your salary back to 100%, especially if you're one of the higher paid employees. The 10% increase in a high salary could fund the full increase to two or three employees on lower salaries.
There could be a million reasons.
There any number of reasons why the situation you have outlined is entirely reasonable.
Why do you assert the situation is problematic other than it is not equal in terms of outcome?
There are plenty of scenarios that would be legal and illegal. We'd need more details to work it out.
The basics of it are that you need to have agreed to these changes to your employment conditions (assuming you weren't stood down). What happens to other employees isn't relevant to you.
Talk to fair work if you want more information.
With Jobkeeper, employees can be stood down working no hours or stood down working reduced hours.
If someone is working reduced hours they receive the $1500/fortnight plus any extra amount that they would have previously earned above that based on their hourly rate.
I’m not sure if I’ve explained that clearly so I’ll give examples
A full time employee previously on $90,000 a year earns about $45.50/hour.
If they are stood down on reduced hours of 16 hours a week they will earn $1500/fortnight, the minimum jobkeeper.
If they are then given 24 hours a week, they will earn $2184/fortnight which is the $1500 jobkeeper plus a top up to bring it to what their normal rate would be for those hours.
If the company doesn’t have the same amount of work now compared to precovid they can either keep employees on reduced hours or make them redundant.
Keeping people employed even on reduced hours is preferable to mass redundancy and unemployment.
OLD RATE OF JOBKEEPER AND JOBSEEKER WON’T CHANGE UNTIL OCTOBER
The old rate of JobKeeper will still apply until the end of September, but after that date companies will need to prove they are still 30 per cent down on turnover based over two quarters from March, 2020 to September 2020.
https://www.news.com.au/finance/economy/australian-economy/j…
With the new JobKeeper 2.0 just announced. The above confuses me a bit. Business needs to be down 30% in both the Two Quarters from March 2020 to September 2020 in order to qualify, is the 30% down compared to last year or is the 30% down compared from March to June 2020, then June to September 2020?
For example:
Say sales last year March to June 2019 is $10000, June to September 2019 is $10000. Does that mean in order to get the JobKeeper 2.0 both Quarters needs to have sales down to $7000 each quarter this year in order to qualify for the JobKeeper 2.0 from September onwards? Or does it based on Turnover from March to June 2020, June to September 2020?
In order to be eligible for the first JobKeeper Payment extension period of 28 September 2020
to 3 January 2021, businesses and not-for-profits will need to demonstrate that their actual GST
turnover has significantly fallen in the both the June quarter 2020 (April, May and June) and the
September quarter 2020 (July, August, September) relative to comparable periods (generally
the corresponding quarters in 2019).In order to be eligible for the second JobKeeper Payment extension period of 4 January 2021 to
28 March 2021, businesses and not-for-profits will again need to demonstrate that their actual
GST turnover has significantly fallen in each of the June, September and December 2020
quarters relative to comparable periods (generally the corresponding quarters in 2019).
Compared to 2019. source: https://treasury.gov.au/sites/default/files/2020-07/Fact_she…
Thanks for that, so in english it means:
April to June 2020 - Sales drop 30% compared April to June 2019
July to September 2020 - Sales drop 30% compared to July to September 2019
September to December 2020 - Sales drop 30% compared to October - December 2019
Only when all 3 above has the 30% drop, then the business can get the full Jobkeeper 2.0
Correct?
Yes
@whooah1979: What happens if the business owner sales drop more than 30% on all 3 quarters compared to last year and he is now getting JobKeeper 2.0, with no improvement in the business in the distant future insight, in order to pay the bills, he finds a job paying to say $1300 a month. Would he still be qualified for the new JobKeeper 2.0? Would income gain through employment for others counted toward his business income?
@Aerith-Waifu: Depends - is the job going to be as a contractor under the Businesses ABN or as a payroll employee. If under business ABN, that income would be business income.
@MrHyde: Says the casual job is working for Myer as a sales assistant, no personal ABN? Would the JobKeeper 2.0 be affected?
I think your last line is incorrect.
"..businesses and not-for-profits will need to demonstrate that their actual GST
turnover has significantly fallen in the both the June quarter 2020 (April, May and June) and the
September quarter 2020 (July, August, September)"
September to December 2020 - Sales drop 30% compared to October April - December 2019 September 2020
So to be eligible for JobKeeper from September you need to be down 30% from the 6 months immediately prior, not the year before. This makes more sense, when they announced the program they made you compare to the year before as there was no other reference. The extension tests it against the 6 months immediately prior because this is a more relevant reference on how you are going now.
The extension beginning in January needs your to compare to the previous 9 months April 2020 to December 2020.
@TheDolphin: Turnover comparison is still against 2019.
Check page 5 of following Treasury Fact Sheet
https://treasury.gov.au/sites/default/files/2020-07/Fact_she…
If your turnover was less than 30% down for April to June 2020 quarter as compared to same quarter in 2019, you are not eligible for Jobkeeper 2.0
so GST turnover is "any income with GST charged"?
GST Turnover simply refers to how you calculate turnover for GST purposes. If you turnover more than $75k you need to register for GST. You simply calculate for JobKeeper in the same manner you do for that threshold
@bemybubble: but what about income that has come in from the cash flow boost and job keeper itself into the business, is that counted as "sales" when the 30% comparison is applied for 2019 vs 2020 for April to June/July to Sep/Sep to Dec?
@mreddie: How is the Job Keeper income into the business? Unless you mean you are using the JobKeeper to purchase the products which for business?
@Aerith-Waifu: It's OK I think I've got my answer from the ATO website…"payments for no supply (for example, JobKeeper payments)" aren't included in GST turnover.
I'm on JobSeeker and have casual work, but I was only hired right before Covid started. So I'm in this weird situation where I'm losing hundreds of dollars in Centrelink money because I'm earning too much each fortnight. And I'm enjoying the work, but it's also just a casual retail job.
Meanwhile my coworkers are enjoying their JobKeeper, and my roommates are enjoying their increased JobSeeker, and I'm here with my $750 this fortnight, which I earned from work, feeling like an idiot. :(
I've never been in a situation where I could comfortably miss out on hundreds of dollars a fortnight, but that's what I'm doing pretty much. I don't know what to do. :(
@redgymhero: Yeah definitely try to get that extra $3k if you can. Hope it works out.