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Insights

June 10, 2020

JobKeeper Deadline and Other Scheme Changes

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James Morris
JobKeeper Deadline and Other Scheme Changes

After an initial review of the JobKeeper framework, the ATO has revealed that employers who are enrolling for JobKeeper payments after May, can now enroll their business and identify eligible employees by the end of each month that they are claiming for.

What does this mean?

If a business enrolls for JobKeeper for the first time in June, they will now be able to complete:

– Step 1  – Enroll for JobKeeper; and
– Step 2 – identify eligible employees.

By the end of the month, instead of waiting for the first JobKeeper fortnight schedule.  Employers will still need to pay employees the stipulated $1,500 for each fortnight claimed.

Step 3, the monthly business declaration, will need to be completed within 14 days of the end of the previous month to receive reimbursements for the JobKeeper payments made in the previous month.

The JobKeeper payments will continue under current rules until Sunday 7, June.

What happens after 7 June?

The ATO has announced new JobKeeper scheme changes which will commence in July 2020. Changes are still being reviewed, and expected to be announced late June. The concepts being considered are:

  1. The $1,500 payment is being examined to assess if the ATO continue to believe it is the right amount. With the understanding that the flat payment method see some employees receiving more money than they would have otherwise earned.
  2. The ability for businesses who have recovered significantly to still receive the JobKeeper payment.

While JobKeeper and other Government stimulus packages are still in effect, scheme Treasurer Josh Frydenberg has gone on record to say that Australia is experiencing its first recession in almost three decades.

Although a recession is marked by two consecutive quarters of GDP contraction, Josh believes that the June quarter is guaranteed to drop following COVID-19 shutdowns.

Looking for more information?

Our Modoras team are working hard to keep you updated with the latest on Government stimulus measures. To view the latest materials on COVID-19, please click here.

Below are some articles that may interest you:

JobKeeper and other Government stimulus measures can be hard to wrap your head around. The Modoras team is here to help you make sense of it all. Contact us on 1300 888 803 to book a catch up with a Modoras professional.

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