Your questions answered
The Australian Federal Government offers up $130b wage subsidies for businesses to pay employees. Businesses will receive a fortnightly wage subsidy of up to $1,500 per employee to prevent millions of people from losing their jobs to the pandemic. It is expected that 6 million Australians would access a so-called JobKeeper payment for the next six months with the scheme benefitting the hardest-hit sectors, like retail, hospitality and tourism.
Employers with an annual turnover of less than $1 billion that has experienced a 30 per cent fall in revenue since March 1 will be eligible for the wage subsidy.
Companies with an annual turnover above $1 billion will have to have a 50 per cent fall in revenue to be eligible for the scheme.
Sole traders, self-employed people, partnerships and trusts will also be eligible.
The Australian Tax Office will oversee the payment and has already created a website for companies to register interest in the JobKeeper program.
Which employees and businesses are eligible?
- The payment will be open to eligible businesses that receive a significant financial hit caused by COVID-19.
- Eligible employers will be those with an annual turnover of less than $1 billion who self-assess that they have had a reduction in revenue of 30 per cent or more, since March 1, 2020, over a minimum one-month period.
- Employers with an annual turnover of $1 billion or more would be required to demonstrate a reduction in revenue of 50 per cent or more to be eligible.
- Employers that can access the JobKeeper payment include businesses structured through companies, partnerships, trusts and sole traders. Not-for-profit entities, including charities, are also included.
Businesses subject to the Major Bank Levy will not be eligible.
- It applies to full and part-time workers, sole traders, as well as casuals who have been on the books for at least 12 months.
- Workers stood down since March 1 are also able to access backdated payments.
- New Zealanders on temporary working 444 visas and migrants eligible for welfare are included.
- When can you get the wage subsidy (JobKeeper payment)?
- Wage subsidies will flow to businesses in the first week of May.
Eligible businesses can begin distributing the JobKeeper payment immediately and will be reimbursed from the first week of May.
How to register your interest for the JobKeeper payment
Businesses can apply for the payment online and can register their interest via ato.gov.au.
Almost 60,000 businesses signed up for the scheme within hours of it being announced yesterday afternoon.