Job Keeper extended until March 2021
The government has announced changes to the Job Keeper payment scheme, which will see it continue until March 2021.
The current system will remain unchanged until 27 September 2020 as planned, providing $1,500 per fortnight for employees and eligible business participants.
However, from 28 September the changes will apply.
There are several amendments that business owners need to be aware of, including different tiers of payment that apply over two separate time frames, as well as further eligibility tests. This means that some businesses currently receiving Job Keeper will no longer be eligible after 28 September, and others will continue to be eligible but will receive less subsidy from the government.
New Rates for 28 September 2020 to 3 January 2021
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- $1,200 per fortnight – this rate applies to eligible employees and business participants who, in the four weeks prior to 1 March 2020, were working 20 hours or more per week.
- $750 per fortnight – this rate applies to employees and business participants who, in the four weeks prior to 1 March 2020, worked less than 20 hours per week.
New Rates for 3 January 2021 to 28 March 2021
- $1,000 per fortnight – this rate applies to eligible employees and business participants who, in the four weeks prior to 1 March 2020, were working 20 hours or more per week.
- $650 per fortnight – this rate applies to employees and business participants who, in the four weeks prior to 1 March 2020, worked less than 20 hours per week.
Business eligibility
To continue to receive Job Keeper payments, businesses will be required to prove an actual reduction in turnover of 30% or more for September quarter to continue to receive the subsidy from September 2020 to January 2021.
Businesses will then be required to again satisfy a reduction in the turnover test for the December quarter, to receive the subsidy from January 2021 to March 2021.
Businesses that have not satisfied the reduction in turnover tests in previous months can still enter the system any time upon meeting the eligibility requirements.
Next Steps
In October, we will assess our clients currently in receipt of JobKeeper and advise them of whether they are eligible for the ongoing program or not.
Please feel free to contact us or call us at 0403 158 481 if you have any queries.