JobKeeper – commonly asked questions

Has JobKeeper been extended?
Yes, JobKeeper will continue to be available to eligible businesses and not-for-profits until 28 March 2021.

Am I eligible?
To be eligible for JobKeeper Payments under the extension, businesses and not-for-profits will still need to demonstrate that they have experienced a decline in turnover with reference to their actual GST turnover during the relevant quarters, of:

• 50 per cent for those with an aggregated turnover of more than $1 billion;
• 30 per cent for those with an aggregated turnover of $1 billion or less; or
• 15 per cent for Australian Charities and Not for profits Commission-registered charities (excluding schools and universities).
  

The relevant quarters for assessment are:

• 28 September 2020 – 3 January 2021
• 4 January 2021 – 28 March 2021
  

If a business or not-for-profit does not meet the turnover test for the extension period, this does not affect their eligibility prior to 28 September 2020.

What is the new payment rate?
The JobKeeper Payment rate is to be reduced and paid at two rates for eligible employees:

28 September 2020 – 3 January 2021

• $1,200 per fortnight for all eligible employees who, in the four weekly pay periods before the reference period, were working in the business or not-for-profit for 20 hours or more a week on average and for business participants who were actively engaged in the business for more than 20 hours per week, and;
• $750 per fortnight for employees who were working in the business or not-for-profit for 20 hours or less a week on average and business participants who were actively engaged in the business less than 20 hours per week in the reference period.
  

4 January 2021 – 28 March 2021

• $1,000 per fortnight for all eligible employees who in the four weekly pay periods before the reference period, were working for 20 hours or more a week on average and for business participants who were actively engaged in the business for more than 20 hours per week, and;
• $650 per fortnight for employees who were working for 20 hours or less a week on average and business participants who were actively engaged in the business for less than 20 hours per week in the reference period.
  

Businesses and not-for-profits will be required to nominate which payment rate they are claiming for each of their eligible employees (or business participants).

I am self-employed, do I qualify?
It depends, the self-employed will be eligible to receive the JobKeeper Payment where they meet the relevant turnover test, and are not a permanent employee of another employer.

I am not eligible in one quarter, does that mean I am not eligible for the others?
No, if you are not eligible in the quarter 28 September 2020 – 3 January 2021, but requalify for the quarter 4 January – 28 March, you do not have to re-enrol for JobKeeper, you just need to notify the ATO of the change in your actual turnover.

Do I have ongoing reporting obligations?
Yes, in addition to the turnover tests, you will need to meet ongoing monthly turnover reporting requirements. You do not need to do monthly reporting during extension periods in which you are not eligible to receive JobKeeper payments.

For more information regarding the Scheme and its operation the Commercial Team at Solari & Stock can provide more detailed advice. Please contact 8525 2700 or click here to request an appointment.

Photo by Melissa Walker Horn on Unsplash