02 April 2020
Following on from our Update #1 and Update #2, the Government has made further announcements regarding the JobKeeper payment and commercial and residential rent.
JobKeeper payment
To keep employees in their jobs, the government has announced a $1,500 per fortnight JobKeeper payment, per eligible employee for up to 6 months.
It will start on 30th March 2020 with the first payment to be received by eligible employers in the first week of May. Eligible employees will receive, at a minimum, $1,500 per fortnight, before tax.
Our clients have asked AR Advisors a number of questions including employer eligibility, employee eligibility, how it is going to work, what are employers’ obligations, how are they going to fund it and if there is anything that employers need to do right now.
The fact sheets (check out the links below) provide some guidance and examples to answer some of these questions, but more detail is likely to follow so that it can be applied correctly to your business and employees. Stay tuned for that.
Fact sheet for JobKeeper, employers and employees: https://treasury.gov.au/coronavirus/jobkeeper
Fact sheet for sole traders: https://treasury.gov.au/sites/default/files/2020-03/Fact_sheet-Support_for_sole_traders_1.pdf
We also stress, the Prime Ministers announcement and subsequent fact sheets have not been legislated and can be subject to change. Parliament is not due to sit this week.
Our advice to business owners is to register on the ATO website https://www.ato.gov.au/Job-keeper-payment/ and act when more information is provided by the government.
Commercial and Residential Rent
The Prime Minister has made an announcement that there will be a moratorium on evictions for the next six months as a result of financial stress.
The national cabinet is due to make a further statement regarding commercial and residential rent in the coming days.
AR Advisors can assist you with the estimated financial impacts of JobKeeper on your business and include this as part of your overall COVID-19 financial plan.
Please contact the office to discuss your business with one of our Advisors.