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JobMaker Scheme Update & Key Information
As we explored in a recent article, the Government’s JobMaker Scheme aims to incentivise businesses to employ those whose work status has been impacted by the ongoing COVID-19 pandemic. Under the scheme, businesses can claim $200 per week for eligible employees aged 16-29 years; or $100 for those aged 30-35 years. Now that payments are now able to be made (as of 1 February 2021), let’s recap the eligibility criteria for the scheme, how to apply, outline some key dates and look at how MP+ can be of assistance.
JobMaker Scheme Eligibility Criteria
Employees for whom businesses can claim the JobMaker credit must satisfy a few important criteria. An eligible employee:
- Must have been in receipt of JobSeeker, Youth Allowance, or Parenting payment for a minimum of one month out of three prior to the commencement of their employment with the business;
- Must be between 16 and 35 years of age as of the date their employment commences;
- Must work a minimum of 20 hours per week for the weeks employed in the first JobMaker period being claimed;
- Must commence working for the employer between 7 October 2020 and 6 October 2021;
- Cannot have been employed by the business previously.
Note that our original article (linked in the introduction) has a more detailed explanation of the various eligibility criteria, including those concerning the business itself, and the important additionality tests for JobMaker. The Australian Taxation Office (ATO) also has a handy spreadsheet-based tool for you to leverage, where you can input your headcount, payroll and eligible employee days to see your estimated payment.
Applying for the JobMaker Scheme
Applying for the JobMaker scheme can be done in one of three ways. You can apply directly through the ATO Business Portal; ATO Online Services; or your Tax Agent can do so on your behalf through the Tax Agent Portal. Note that to apply for the scheme you should have your baseline headcount, baseline payroll amount and contact details on hand to provide to the ATO.
JobMaker Scheme Key Dates
To assist you with understanding the timeline around the JobMaker scheme and where your business may fit in, below are some key dates for the scheme and a table outlining the claim periods.
- 7 October 2020: The JobMaker scheme started. Payments may be claimed relating to employees commencing work from this date until 6 October 2021;
- 6 December 2020: Registrations for the JobMaker scheme opened. Registration is necessary to be able to claim, and you only need to register once;
- 1 February 2021: JobMaker Hiring Credit payments may be claimed from this date, provided the relevant eligibility criteria have been met (including STP reporting);
- 30 April 2021: For the first JobMaker period, credits may only be claimed until the end of this date. Note that you must claim by the end of the claim period to be able to receive the credit for that period. See the table below for more information;
- 6 October 2022: The JobMaker Hiring Credit scheme is set to end on 6 October 2022.
|Period||JobMaker Period||STP reporting due date||Claim period|
|1||7 October 2020 – 6 January 2021||27 April 2021||1 February 2021 – 30 April 2021|
|2||7 January 2021 – 6 April 2021||28 July 2021||1 May 2021 – 31 July 2021|
|3||7 April 2021 – 6 July 2021||28 October 2021||1 August 2021 – 31 October 2021|
|4||7 July 2021 – 6 October 2021||28 January 2022||1 November 2021 – 31 January 2022|
|5||7 October 2021 – 6 January 2022||27 April 2022||1 February 2022 – 30 April 2022|
|6||7 January 2022 – 6 April 2022||28 July 2022||1 May 2022 – 31 July 2022|
|7||7 April 2022 – 6 July 2022||28 October 2022||1 August 2022 – 31 October 2022|
|8||7 July 2022 – 6 October 2022||28 January 2023||1 November 2022 – 31 January 2023|
How MP+ Can Help
McKinley Plowman can assist by helping you test your eligibility as a business, determine if new employees are eligible, and assist with the application and reporting processes concerning the JobMaker scheme.
For existing McKinley Plowman employees, your best point of contact for JobMaker is your client manager. If you’re not yet a client, please feel free to contact us via our website or by giving us a call on 9301 2200 (Joondalup) or 9361 3300 (Victoria Park).
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