New JobKeeper payment to help employers keep staff

31st March 2020

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The Government’s announced a new JobKeeper payment to help businesses affected by the Coronavirus to cover the cost of their employee wages.

Businesses will be able to claim a $1,500 fortnightly payment to pay each of their eligible employees for up to 6 months from 30 March 2020.

The payment’s intended to help you stay connected with your employees – a relationship that will be vital when you’re ready to get your operations up and running again.

You’ll be eligible if your business:

– has a turnover of less than $1 billion and the turnover will be reduced by more than 30% compared to a year ago, or

– has a turnover of $1 billion or more and the turnover will be reduced by more than 50% compared to a year ago, and

– isn’t subject to the major bank levy.

To meet the turnover tests, you’ll need to use a comparable period like a specific month or a quarter. For example, turnover in April 2019 compared to April 2020.

If you’re a not-for-profit organisation or self-employed and meet the turnover tests, you’ll be eligible to apply for JobKeeper Payment.

The Australian Taxation Office will make the payments to you monthly in arrears. You’ll get the first payments in early May.

We encourage clients to chat to us before you register your interest in participating with the Australian Taxation Office. We can help you understand the eligibility criteria.

You can read more about the latest announcement on the Treasury website.

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Read our previous article about putting a COVID-19 response plan into action.