If you have enrolled and are eligible for Jobkeeper payments you would know that June 1st 2020 you can make your claim for your job keeper payments.
HOWEVER – unlike last month where you could do a make up pay for the whole month – you needed to have paid a gross of $1500 in each fortnight to obtain the full $3000 per employee job keeper grant.
If you did your make up pay at the end of the fortnight to bring the monthly total for a staff member to $3000 for May (and the first fortnight you didn’t pay them a gross of $1500) here is what happens:
- You will only be eligibile for $1500 reimbursed on the fortnight where the employee grossed more than $1500 for that fortnight. eg: if an employee earned $400 one fortnight and then nothing the next – you would need to pay $1100 topup in the first fortnight and then $1500 in the second fortnight to be able to obtain BOTH $1500 payments for that employee. You cannot just do a single topup at the end from May onwards.
- If you ‘topped up’ the employees for the month in a single large payment end of month mistakenly thinking it will ensure you get 2 x $1500 payments.
- You will only be eligible for 1 x $1500 job keeper payment.
- You do have the ability to ‘claw the over payment back’ from the employee. – But this concept of claw back is still being examined in law it appears.
- It would be prudent to contact the ATO, your Tax agent or your BAS agent to see what can be done in regards to this.
But wait there is more:
The job keeper fortnights feel like they should belong to a calendar month but they actually do not.
It shouldn’t make any difference to you if you are paying regularly every week or fortnight – but it pays to be aware of the date ranges:
You can claim on the 1st of May job keeper payments associated with these periods:
27th April – 10th May (Fortnight 3)
11th May – 24th May (Fortnight 4)
You can claim on the 1st of June Job keeper payments associated with these periods:
25th May – 7th June (Fortnight 5)
8th June – 21st June (Fortnight 6)
Of course it doesn’t help that you could top up payments for April up until the 8th of May!