Dear “Our South West” community,
As you are probably aware, the JobKeeper legislation was passed through Parliament, however, we have been waiting for the ATO to provide further guidance. Last Friday, the ATO provided more clarification and the enrollment process commences tomorrow, Monday 20 April.
The JobKeeper involves the Government providing $1,500 per fortnight per employee for up to 6 months (April to September 2020) to eligible employers. Businesses may be eligible for the JobKeeper if they have had, or forecast to have, at least a 30% fall in turnover (i.e. income). The JobKeeper payment is made by the ATO to the business through the Single Touch Payroll System however the business must pay a minimum of $1,500 per fortnight to each eligible employee before receiving the JobKeeper as a reimbursement from the ATO.
The JobKeeper may also be paid to active workers in a business that are not paid wages such as sole traders, a partner in a partnership, a director or shareholder in a company or a trust beneficiary.
Given the extensive legislation, explanatory memorandums, fact sheets and ATO updates, we have spent quite a bit of time understanding the JobKeeper and as such we have updated our website with all the information you need to understand how it works:
- JobKeeper Explained – https://www.financialutilities.com.au/covid19/jobkeeper
- JobKeeper Frequently Asked Questions – https://www.financialutilities.com.au/covid19/jobkeeper-frequently-asked-questions
- JobKeeper Key Dates and Tasks – https://www.financialutilities.com.au/covid19/jobkeeper-key-dates-and-tasks
- JobKeeper Checklist and Calculator – https://www.financialutilities.com.au/covid19/jobkeeper-checklist-calculator
Please find attached the JobKeeper Checklist and JobKeeper Calculator to help you navigate this new stimulus package.
We understand that cashflow may be tight and a major concern. We will be sending through a cashflow forecast template as well as a Business Continuity Plan this week to help you.
Please reach out if you need any help with working out your fall in turnover, enrolling and applying for the JobKeeper or forecasting your cashflow.
B.Com, Chartered Accountant (52356)
t 0415 378 181