Keeping your head above water with JobKeeper changes?

Jobkeeper changes have come into effect of 14th August. They are applicable to the pay fortnight period that commenced on the 3rd August (fortnight 10).

Jobkeeper will be extending from 27th September and the new eligibility tests will apply. This is known as Jobkeeper 2, already at 2.1. As yet the legislation is not finalised, however the current proposal requires;

  • To re establish the decline in turnover test of 30% for small business for the September quarter 2020 compared to the September quarter 2019 for the first extension period October to December 2020. Again for the second extension period the test will  be the December quarter to receive Jobkeeper from January to March 2021.
  • Failure to meet the decline in turnover for the September quarter means that JobKeeper is unavailable for the quarter October to December. However you can re test the December quarter for the January to March payment period.
  • There are 2 rates of payment for those working under 20 hours and those working more.
  • The amount of payment will decrease for each extension period.

Anyway back to where we are now and what we know for certain. ATO JobKeeper update 14/8/20

  1. Eligible employees – you can now add further employees into the scheme. Employees must still satisfy the eligibility test from 1st March – Eligibility test
    • Employees  must have been employed by the 1st July 2020.
    • Are either new part time or full time employees engaged after 1st March 2020, the original qualifying date and prior to 1st July 2020; or
    • Existing casual employees who have now worked 12 months regularly and systematically by 1st July; or
    • Are existing employee who turned 18 after 1st March 2020 or if they were 16 or 17 they can also qualify if they were independent or not studying full time on 1 July 2020
  2. $1500 per fortnight must be paid to employees. You have up to the 31st August to make back pays for the period starting fortnight 10, 3rd August.
  3. There is a new employee nomination form that you need to use to bring these employees into the scheme – Employee Nomination Form

We will keep you posted as changes become available – next expected update 25th August