The JobKeeper payment was due to end at the end of September, but this week the Government has announced a six month extension until March 2021, with a reduced payment amount and eligibility reassessment milestones. So what does this mean for businesses currently receiving support?
28 September 2020 to 3 January 2021
Eligibility for the payment will be reassessed in September. Businesses and not-for-profits who claim JobKeeper will be required to demonstrate how their business has continued to suffer a decline in turnover, using actual GST turnover in the June and September 2020 quarters.
The $1500 fortnightly payment rate will reduce to $1200 from 28 September 2020. Employees and eligible business participants working less than 20 hours will receive a further reduced rate of $750.
4 January 2021 to 28 March 2021
From 4 January 2021, businesses will again be required to reassess their turnover in order to be eligible for JobKeeper payments. They will be required to demonstrate a decline in turnover in the June, September and December 2020 quarters to maintain eligibility.
The $1200 fortnightly payment rate for eligible employees will reduce to $1000 from 4 January 2021. The payment rate for those working less than 20 hours will reduce to $650.
Decline in Turnover
To remain eligible, businesses with an turnover or more than $1billion will need to have experienced a decline of 50%. Businesses with a turnover of less than $1billion will need to have a 30% decline. Certain Australian charities and not-for-profits will need to demonstrate a 15% decline.
The other rules surrounding the JobKeeper payment remain unchanged. You can read more about the changes here.
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