JobMaker Hiring CreditStuart Taverner
Getting Australians back to work.
We can all admit 2020 was a rollercoaster, and unfortunately small businesses and their employees had front row seats. Luckily, with the introduction of JobKeeper, many Australians were able to keep afloat while they weathered the storm. However, with unemployment at 7% in October and the economy struggling, a new scheme was introduced.
The Job Maker Hiring Credit is a $4 billion Government scheme designed to support a stronger economic recovery and get more Australians back to work.
The credit will provide businesses with an incentive for taking on additional employees aged between 16 and 35 years old. A predicted 450,000 positions for young Australians will be created and supported through the scheme in the hope of reducing the unemployment rate.
JobMaker was designed to:
- Support a stronger economy
- Drive a faster recovery in employment
- Invest in skills and higher education
- Improve the ease of running a business
- Support the manufacturing and energy sectors
Eligible employers can access the credit for each eligible employee they hire between 7th October 2020 and 6th October 2021, and will receive the payments every 3 months to help with the cost of hiring the additional employees. Find out if you are an eligible employer here and if you qualify you can access all the information on how to register here..
Eligible employers can claim from 1st February 2021 for the first JobMaker period (7th October 2020 – 6th January 2021). However, you cannot claim JobMaker credits if you also receive a JobKeeper payment for a fortnight which started during the JobMaker period. You can estimate the payment amount you may receive from JobMaker Hiring Credit here.
To nominate employees and receive payments for JobMaker, employers will need to report through Single Touch Payroll (STP) enabled software. Cashflow Manager offers 3 easy to use solutions that are STP- enabled: Cashflow Manager Gold, Wages Manager and Wages 1-4 (for less than 4 employees).
If you are a Cashflow Manager subscriber, you can follow these steps to start your claim here.
As a business owner, hiring new employees can be both daunting and exciting, especially in the ever-changing world we now live in. In saying that, with the help of the JobMaker Hiring Credit, it may also be a good time to start expanding your business.
Click here for more information on JobMaker Hiring Credit.