What it means for your business
Latest figures from the government show 960,000 employers having met the eligibility requirements for the initial JobKeeper scheme. This then filters through to around 3.5 million workers.
The JobKeeper V2 ‘extension’ is estimated to cost taxpayers $16.6 billion, with the total estimated for the JobKeeper program coming in at around $86 billion.
The scheme was originally due to conclude on the 27th September 2020 but will now continue to be available to eligible businesses until 28 March 2021.
In order to be eligible for the first JobKeeper extension period (28th September 2020 – 3rd January 2021), businesses will need to demonstrate GST turnover has fallen by at least 30% in both Q4 2019-2020 and Q1 2020-2021, relative to comparable quarters the year prior.
In order to be eligible for the second JobKeeper extension period (4th January 2021 – 28th March 2021), businesses will need to again demonstrate that their GST turnover has fallen by at least 30% in Q4 2019-2020, Q1 2020-2021 and Q2 2020-2021, relative to comparable quarters the year prior.
Key points from the government’s recent announcement:
- JobKeeper for employees working more than 20 hours a week will fall from $1,500 a fortnight to $1,200 in October and then to $1,000 in January 2021
- Employees working less than 20 hours pre-COVID will see their payments cut from $1,500 to $750 in October and then to $650 in January 2021
- Business eligibility for the continued scheme must be proved for each financial quarter
- Eligibility criteria remains similar, with small-medium sized businesses required to show evidence that turnover is still down more than 30 percent
- Charities & Not for profits are required to prove a 15 percent decline
Don’t hesitate to reach out to one of our team for advice specific to your business.