Originally announced in March 2020, the JobKeeper Payment scheme was introduced to allow employers, sole traders, and other entities, who are significantly impacted by COVID-19, to continue paying their employees’ wages and keep Australian’s employed.
This Government scheme was intended to close on September 27th, 2020 however it was announced this week that a six-month extension has been given to the subsidy payments.
Under the current scheme, employers can apply to receive $1,500 per employee per fortnight as a subsidy to assist in paying wages. Under the latest revisions, this payment amount will continue to be claimable until September 27th, 2020 where the payment will then be reduced to $1,200 per fortnight per employee. From this date, new lower payment rates will also apply for employees that work less than 20 hours a week.
Further reductions in payments will be made from January 4th, 2021, where the fortnightly subsidy will reduce to $1,000 per employee. The scheme is now projected to finish on March 28th, 2021.
From September 28th, businesses and not-for-profits will need to reassess their eligibility for the quarter, to demonstrate their continued decline in turnover.
The application process remains the same and will continue to be open to new recipients during the extension period, providing they meet eligibility requirements.
For more information on the extension and further eligibility requirements from September onwards click here.
For more information on how to check your eligibility and apply to receive JobKeeper payments click here.
There is more detailed information on what steps businesses are required to take each month in order to continue to receive the subsidy payments. You can view that information here.
If you need any assistance with applying for the JobKeeper scheme, please contact the Hrkac Group on 03 5224 2366 and we will help you through the process.
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To support a substantial amount of residential construction workers, the Australian Government has introduced a new HomeBuilder package to inject $688 million into the industry, which is falling as a result of COVID-19.
Seeing a drop in approvals of ~2%* since March, the Building Industry is still feeling the effect this pandemic is continuing to cause.
This $25,000 grant comes with income and valuation eligibility requirements as well as restrictions on what type of construction the funds can be used for.
Homeowners will be able to use the money to put towards building a new owner-occupier home or any substantial renovations on their primary place of residence.
To be eligible to receive the one-off cash payment, singles must earn less than $125,000 and couples $200,000 between them, in the previous financial year. The building work contract must be signed between now and December 31, with works to begin within 3 months of the contract date.
For homeowners wishing to renovate, their renovation costs must be valued between $150,000 and $750,000, with the home valued as less than $1.5 million (before the renovations) to be eligible.
For people looking to build a new home to live in, the house and land must be valued at less than $750,000 to be able to take part in the incentive.
Types of construction not covered in the incentive:
- swimming pools, tennis courts, outdoor spas and saunas, sheds, or garages.
- new builds or renovations of any investment properties
The new HomeBuilder Package will be available alongside any current first homeowner incentives in place by governments in each state and territory.
Contact Paul Duncan at The Hrkac Group and our lending team for more information on the HomeBuilder Grant, how to apply, and to assess if you’re eligible.