JobKeeper Payments / Jobkeeper Extension

A number of changes have been made to Wilmat Payroll to enable the recording of the JobKeeper Payments and to report those payments to the ATO via the Single Touch Reporting.

The Government is extending the JobKeeper Payment by six months to March 2021. A Tier system has been introduced based on the average number of hours worked per week in a reference period. The reference period is either the four weeks ending at the end of the most recent pay cycle before 1st March 2020, or before 1st July 2020.

The JobKeeper payment has a number of elements. Firstly, you are required to inform the ATO that you wish to be reimbursed for an employee's pay. You can do this by entering a JobKeeper Start transaction for the employee.

You must also report the Tier level which you have assessed and assigned to eligible employees. In the period 28th September 2020 to 3rd January 2021, use Tier 1, $1200 per fortnight, for employees working 80 hours or more in the reference period and Tier 2, $750 per fortnight, for employees working fewer than 80 hours in the reference period. In the period 4th January 2021 to 28th March 2021, use Tier 1, $1000 per fortnight, for employees working 80 hours or more in the reference period and Tier 2, $650 per fortnight, for employees working fewer than 80 hours in the reference period.

If you have assigned and reported an employee with an incorrect Tier level you must correct the error by reporting a Tier Cease entry for the incorrect Tier level and a Tier Start entry for the correct Tier level.

Secondly, if you wish to stop being reimbursed for an employee's pay you can enter a JobKeeper Finish transaction. You would stop being reimbursed for an employee's pay if the employee becomes ineligible to receive the JobKeeper payment. The employee may become ineligible due to a Worker's Compensation payment, if the employee's employment is terminated or because of a change of citizenship, visa or personal circumstances.

Thirdly, if an employee is paid less than the amount specified for the Tier level and period, they must be paid a 'top-up' payment to bring their gross pay to the specified amount. This top up pay must be paid by entering a JobKeeper Topup pay transaction.

To enter these JobKeeper pay transactions you should create seven new paycodes as shown below.

When creating the JobKeeper Start pay code, select "JK-ST-FNxx" in the "Pay Code Used For" field. Select "JB-FI-FNxx" and "JB-TOPUP" in the "Pay Code Used For" fields for the JobKeeper Finish and JobKeeper Topup pay codes.

Similarly, when creating the Tier and Tier Cease pay codes select the "JK-TIER1" or "JK-TIER2" and "JK-TIER1X" or "JK-TIER2X" for the "Pay Code Used For" field. Use of the correct Pay Code Used For value will ensure that reimbursements are not delayed or prevented.

If the employee is paid more than the specified amount record the pay entry in the usual manner. Record a JobKeeper Start transaction using the JobKeeper Start pay code. In this transaction, enter the fortnight in which reimbursement commences in the hours field. The table below indicates the fortnight number for the six months ending 28th March 2021.

If the employee is paid less than the specified amount, enter a JobKeeper Topup transaction using the JobKeeper Topup pay code to bring the fortnightly pay up to the specified amount.

When you use the JobKeeper pay codes as shown, Wilmat Payroll will output the JobKeeper details in your Single Touch Payroll file which you will lodge for transmission to the ATO. The JobKeeper transactions are shown in the "Other Allowances" field in the Single Touch Payroll export file.

Further Information

ATO JobKeeper Payment