For your convienence we have created a Jobkeeper video guide that you can view on our Youtube channel.
Please be aware that the JobKeeper program has been extended, Please view the JobKeeper Extension Payments article for more information.
As per the 30th of March 2020, the Australian Government has created the JobKeeper payment subsidy.
For the details on this please refer to the link below.
https://treasury.gov.au/sites/default/files/2020-04/Fact_sheet_Info_for_Employers.pdf
Eligibility
Eligible employees for this payment are employees who:
- Are currently employed by the eligible employer (including those stood down or re-hired)
- Were employed by the employer at 1 March 2020
- Are full-time, part-time, or long-term casuals (a casual employed on a regular basis for longer than 12 months as at 1 March 2020)
- Are at least 16 years of age
- Are an Australian citizen, the holder of a permanent visa, a Protected Special Category Visa Holder, a non-protected Special Category Visa Holder who has been residing continually in Australia for 10 years or more, or a Special Category (Subclass 444) Visa Holder
- Are not in receipt of a JobKeeper Payment from another employer
If your employees receive the JobKeeper Payment, this may affect their eligibility for payments from Services Australia as they must report their JobKeeper Payment as income.
Payment
Eligible employers will be paid $1,500 per fortnight per eligible employee. Eligible employees will receive, at a minimum, $1,500 per fortnight, before tax, and employers are able to top-up the payment.
Where employers participate in the scheme, their employees will receive this payment as follows.
- If an employee ordinarily receives $1,500 or more in income per fortnight before tax, they will continue to receive their regular income according to their prevailing workplace arrangements. The JobKeeper Payment will assist their employer to continue operating by subsidizing all or part of the income of their employee(s).
- If an employee ordinarily receives less than $1,500 in income per fortnight before tax, their employer must pay their employee, at a minimum, $1,500 per fortnight, before tax.
- If an employee has been stood down, their employer must pay their employee, at a minimum, $1,500 per fortnight, before tax.
- If an employee was employed on 1 March 2020, subsequently ceased employment with their employer, and then has been re-engaged by the same eligible employer, the employee will receive, at a minimum, $1,500 per fortnight, before tax.
It will be up to the employer if they want to pay superannuation on any additional wage paid because of the JobKeeper Payment.
Payments will be made to the employer monthly in arrears by the ATO.
Processing The JobKeeper Payments Through ClockOn
Initial Setup
The ATO has advised that they need an indicator for each employee that you are to receive a JobKeeper payment for this can be achieved by following the instructions below
Using new fields (Introduced in build 304) on the employee profile you can set the periods in which the for the first date range that you have registered for the JobKeeper payments for the employee.
If the employee finishes the scheme early or is not eligible for a period then they can be removed by setting the Jobkeeper end date.
JobKeeper Payments to Employees
To process these payments through ClockOn you will need to use the Allowance\Deduction system.
To add the allowance into the system you will need to open the Allowances screen this can be done through the Employee Details screen,
Or directly from the payroll screen
From there you can add the allowance as per the employment situation, examples for the setup are provided below.
Scenario 1 - Job Keeper allowance for employees who are still working and salary before tax is equal to or higher than $1500 per fortnight
There is no need to do the topup allowance within ClockOn for the employee as the employee already meets the criteria for the minimum $1,500 payment. The employer is to use these funds to guarantee the employment of the employee.
Using this method it is still required that the JobKeeper start date on the employee profile as described earlier.
Important Note As the employee was to already receive the funds for their employment they are still entitled to Superannuation on their payments.
Scenario 2 - Scenario 2 – Job Keeper allowance for employees who are still working and salary before tax is lower than $1500 per fortnight
The employer will need to pay the employee the difference between what they would normally receive and $1,500 per fortnight. To do this you will need to set up an allowance.
If this is a variable amount, then this can be adjusted directly at payroll using the allowance line within the
NOTE: The employer still needs to pay superannuation on the amount before the allowance, however, it is there choice whether to pay the amount for the allowance
Scenario 3 - Job Keeper allowance for employees who have been stood down or made redundant and re-engaged
In this instance the employee would be due the full $1,500 per fortnight, you can set this up as an automatic payment using the following allowance.
Employee Timesheets
For employees that have been stood down during this period, they will need to include their usual timesheets and set them to use the new leave type labeled Stand Down leave.
If you have further queries we recommend viewing our JobKeeper FAQ guide, if you still need assistance please contact our support team at [email protected] for assistance.