We’ve had quite a few questions about the JobMaker hiring credit announced in the 2020-21 Federal Budget. The legislation enabling the JobMaker scheme has not passed Parliament as yet and until this occurs, the JobMaker rules are not certain and may change. More details should be available soon and we’ll let you know as soon as we have some certainty. Here is what has been announced so far:
What is JobMaker?
JobMaker is a credit available to eligible businesses for hiring additional employees (not if you are merely replacing someone who left). The hiring credit is available for jobs created from 7 October 2020 until 6 October 2021.
The credit provides:
- $200 per week for new employees between 16 to 29 years of age, and
- $100 a week for new employees between 30 to 35 years of age.
Payment is from the start date of the employee for 12 months.
When do the credits start?
Assuming the legislation passes Parliament and your business and the employee are eligible, and the ‘additionality’ test is passed, credits can be claimed for employees hired from 7 October 2020 until 6 October 2021. The credit will be claimed quarterly in arrears by the employer from the ATO from 1 February 2021. The credit is an incentive for the employer to support wage costs and not passed onto the employee.
Read the full article https://insights.wlm.com.au/blog/jobmaker-hiring-credits
Topics covered include
- How can we access JobMaker?
- I can only claim JobMaker if the number of employees and payroll increases. What happens if one of my team resign? Through no fault of the business?
- If I don’t hire new staff until January 2021, can I claim JobMaker for 12 months or only up to 6 October 2021?
- My business did not have employees in September but I hired my first employee in late October. Can I claim the JobMaker credit for them?
- Can the business get JobKeeper and JobMaker?