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JobMaker Hiring Credit Scheme

Businesses can now register for the JobMaker Hiring Credit scheme which is a new incentive administered by the Australian Taxation Office for businesses to employ additional young job seekers. 

Eligible employers can access the JobMaker Hiring Credit scheme for any eligible additional employees they hire between 7 October 2020 and 6 October 2021 (for a maximum claim period of 12 months from their employment commencement date). Please note the eligible employees are required to previously been receiving Jobseeker, Parenting or Youth Allowance payments (Please refer eligibility below)

Employers may receive payments of up to:

  • $200 per week for each eligible additional employee aged 16–29 years old inclusive.
  • $100 per week for each eligible additional employee aged 30–35 years old inclusive. 

Employers may be eligible for JobMaker Hiring Credit payments if ALL of the following apply:

The employer:

  • has registered for the JobMaker Hiring Credit scheme
  • either  operates a business in Australia, is a not-for-profit organisation operating in Australia or is a deductible gift recipient (DGR) endorsed either as a public fund or for a public fund you operated under the Overseas Aid Gift Deductibility Scheme (DGR item 9.1.1) or for developed country relief (DGR item 9.1.2)
  • holds an Australian business number (ABN) and is registered for pay as you go (PAYG) withholding
  • has not claimed JobKeeper payments for a fortnight that started during the JobMaker period
  • is up to date with income tax returns and Activity statements
  • satisfies the payroll increase and the headcount increase conditions
  • satisfies reporting requirements, including up to date Single Touch Payroll (STP) reporting
  • does not belong to one of the ineligible employer

Employees are eligible if they:

  • are aged 16–35 years old when they started employment
  • started employment on or after 7 October 2020 and before 7 October 2021
  • worked or have been paid for an average of at least 20 hours per week
  • have completed a JobMaker Hiring Credit employee notice for the employer
  • have not already provided a JobMaker Hiring Credit employee notice to another current employer
  • received one of these payments for at least 28 consecutive days (or 2 fortnights) in the 84 days (or 6 fortnights) prior to starting employment
    • JobSeeker Payment
    • Parenting Payment
    • Youth Allowance (except if they were receiving the allowance because they were undertaking full-time study or are a new apprentice).

Register for JobMaker Hiring Credit

Employers can register through either the ATO online services, Business Portal or your registered tax or BAS agent.

Employers must register by the due date for the first JobMaker period they are claiming for. Please refer to table below:

Once registered, eligible employers can claim the JobMaker Hiring Credit payment for each JobMaker period. Payments are made in arrears.

Please note to complete the registration for the JobMaker Hiring Credit, employers will need to provide baseline headcount, baseline payroll amount and contact details.

JobMaker Hiring Credits are not subject to GST and do not need to be included in your business activity statements. 

For further information please refer to ATO factsheets: https://www.ato.gov.au/General/JobMaker-Hiring-Credit/JobMaker-Hiring-Credit-resources/#Factsheets

In addition, Xero has now released JobMaker live in Xero payroll. Please find links for further information:

https://central.xero.com/s/article/Manage-quarterly-JobMaker-claims

https://central.xero.com/s/article/Nominate-employees-for-JobMaker

https://central.xero.com/s/article/About-JobMaker-hiring-credit

Should you have any queries regarding the above or would like KLM to submit your JobMaker registration please do not hesitate to contact KLM Accountants on (02) 49080400.

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