JobKeeper Payments

Extension to JobKeeper Payments

The Government announced it is extending the JobKeeper Payment until 28 March 2021 and is targeting support to businesses who continue to be significantly impacted by the Coronavirus.

The existing JobKeeper Payment will remain in place until 27 September 2020 and new criteria will apply after this date.

Business Eligibility

From 28 September 2020, organisations seeking to claim JobKeeper payments will be required to reassess their eligibility for the JobKeeper extension, with reference to their actual turnover for the quarters ending June and September 2020.

Organisations will need to further reassess their eligibility in January 2021, for the period from 4 January to 28 March 2021. Organisations will need to demonstrate that they have met the relevant continuing decline in turnover tests, in each of the previous three quarters to remain eligible for the March 2021 quarter.

Businesses and not-for-profits organisations will still need to demonstrate that they have experienced a decline in turnover of:

• 50 per cent for those with an aggregated turnover of more than $1 billion
• 30 per cent for those with an aggregated turnover of $1 billion or less
• 15 per cent for Australian Charities and Not for profits Commission-registered charities (excluding schools and universities).

JobKeeper Payment Rates

The JobKeeper payment rate will be reduced from the 28th of September and paid at two separate rates:

From 28 September 2020 to 3 January 2021, the payment rate has been reduced to $1,200 per fortnight for all eligible employees who, in the four weeks prior to 1st March 2020 were working in the business for 20 hours or more per week on average. This rate also applies to business participants who were actively engaged in the business for more than 20 hours per week.

Employees and Business participants who were working and actively engaged in the business for less than 20 hours per week on average, will receive $750 per fortnight.

From 4 January 2021 to 28 March 2021, the payment rate will be reduced to $1,000 per fortnight for all eligible employees who, in the four weeks before 1 March 2020 were working for 20 hours or more per week on average. This rate also applies to business participants who were actively engaged in the business for more than 20 hours per week.

Employees and Business participants who were working and actively engaged in the business for less than 20 hours per week on average, will receive $650 per fortnight.

For more information please refer to the following link.