‘Job Keeper’ payment part of Government’s 3rd stimulus package

JobKeeperAs we try to catch a breath from all the chaos going on with Coronavirus, we just got word of the Australian Government’s latest stimulus package. This package focuses on the ‘job keeper’ payment, aimed at helping businesses keep their staff, which will be a lifeline for many people over the coming months.

Here a very quick overview of what it means as we know it right now (keeping in mind things will change, we know they will, but we can only go by what information we currently have on hand):

 

  • Employers and sole traders will be able to apply for a $1500 ‘job keeper’ flat payment per eligible employee or eligible business person.
  • This payment is designed to keep people in jobs and is really a wage subsidy
  • To be eligible, most employers will need to prove they have lost 30% of income (requirements differ for larger businesses with $1b turnover).
  • Those who work for non-for-profits and New Zealanders will also be eligible to the ‘job keeper’ payment
  • Workers who have already been stood down will be able to access the payment if they lost their job after March 1.
  • The ‘job keeper’ wage subsidy will be a flat payment through the employer/business and not paid direct to employees.
  • All full time and part time staff are eligible providing they were on the payroll on 1st March 2020.
  • Casuals who worked for more than 12 months at the business as at 1 March 2020 are also eligible.
  • There is no superannuation payable on this JobKeeper payment.
  • Superannuation will apply to normal hours worked in line with normal superannuation regulations

This payment will be paid in arrears. Employers are encouraged to keep paying employees, with the understanding the government will reimburse them $1,500 a fortnight, per eligible employee, backdated to today.

The payments will flow from the first week of May and will be backdated to today (30th March 2020).

Prime Minister Scott Morrison stresses that the engine of the economy needs to keep moving and understands the coming weeks may be tough.

More info will be added to the government’s website in the coming days.

“We are here to help and know that business owners are struggling right now, emotionally, financially and mentally.  You are not alone.”

We know that this is a difficult time for many people, but please remember we are here to help. We aim to help you navigate the issues this virus and the impacts raised. If you have any questions about stimulus packages or your business in general, please get in touch with us via email support@healthybusinessfinances.com.au so that we can allocate your query to a staff member to manage the workload.

JobKeeper is intended to be a lifeline for small business owners, and right now we are all in survival mode.

Want to learn to love your numbers? yes please...Bookkeeping, Accounting & Tax services Australia wide