Jobkeeper Versus Jobseeker (COVID)

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March 31, 2020
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April 8, 2020

Jobkeeper Versus Jobseeker (COVID)

Jobkeeper versus Jobseeker, which one is better for you or your family? Downloadable, printable pdf here.

Jobkeeper versus Jobseeker

 
JobSeeker JobKeeper
Qualifications                                 * Permanent employee stood down or lost job due to COVID * Sole trader, self employed, casual or contract worker whose income has reduced * Caring for someone with coronavirus * You’re between 22 and Age Pension age * Your income is under the test limits * You meet residence rules                     * Business turnover under $1 billion, their turnover has fallen by more than 30% (of at least a month) (based on activity statement reporting period) * Employer must have been in an employment relationship as at 1 March, and must confirm that each eligible employee is currently engaged * Eligible employees are currently employed (including those stood down or re-hired) * Full time, part-time or long term casuals > 12 months * Age > 16 years old * Australian citizen, permanent visa, read links for more info * Are not in receipt of Jobkeeper Payment from another employer * Businesses with no employees (self-employed, sole traders)
Income /Means tested Amount                                       * from 27.04.20 partner income test $3,068.80 per fortnight or $79,762.80 (was $48,321) $1,115.70 (refer below) * Eligible employee $565.70 single no children * Plus $550 corona virus supplement (Approx. $1,115.70 for eligible jobseeker, single no children) Payments need to consider combined income, if for family, and may result in increased or lowered entitlement                             As per above, based on existing and continued employment relationship $1,500 per fortnight for eligible employees If employee earns more than $1,500 per fortnight they should continue to receive their regular income If employee earns more than $1,500 per fortnight they should continue to receive their regular income If an employee has been stood down, their employer must pay their employee at a minimum $1,500 per fortnight before tax Can only receive this payment once, even if multiple jobs (employee obligation to notify employer they are primary employer and Centrelink if previously applied for JobSeeker payment) It will be up to the employer if they wish to pay super on payments above normal salary (super guarantee applicable on earnings, if paid via jobkeeper payment)
Register Now       Jobseeker registration link Via MyGov (linked to medicare, ATO or Centrelink) * Suspended mutual obligation requirements for JobSeeker Payment, Youth Allowance as a job seeker and Parenting Payment until 27 April 2020 Jobkeeper registration link Can apply from 30.03.20    
Period paid     Corona virus supplement $550 from 27.04.20 If already stood down, loss of income, ordinary jobseeker entitlement may already exist to receive payment now   First payment will be received by employers 1st week of May Entitlement Maximum of 6 months commencing 30 March, 2020
Other links               https://www.servicesaustralia.gov.au/individuals/news/more-financial-support-people-affected-coronavirus https://www.dss.gov.au/about-the-department/coronavirus-covid-19-information-and-support#red           https://www.business.gov.au/risk-management/emergency-management/coronavirus-information-and-support-for- business/jobkeeper-paymenthttps://www.business.gov.au/risk-management/emergency-management/coronavirus-information-and-support-for-business/jobkeeper-payment-for-sole-traders
Notes                               Expanding Eligibility and Qualification for Payments The Government also temporarily put in place expanded eligibility and qualification criteria from 25 March 2020 until 27 April 2020. The following eligibility criteria have also been temporarily waived, for certain payments: – the assets test the Ordinary Waiting Period (already waived until 12 June 2020) – the Liquid Assets Waiting Period – the Seasonal Workers Preclusion Period – the Newly Arrived Residents Waiting Period. – Also from 25 March 2020, access to payments will become easier with a temporary removal of the requirement for an Employment Separation Certificate, proof of rental arrangements and verification of relationship status.           To establish that a business has faced either a 30 (or 50) per cent fall in their turnover, most businesses would be expected to establish that their turnover has fallen in the relevant month or three months (depending on the natural activity statement reporting period of that business) relative to their turnover a year earlier. * If over $1 billion turnover fallen by over 50%. Other considerations are that will the income (jobseeker payment paid from the ATO will be assessible income (we assume yes, and the payment tax deductible, will SGC be payable (if it allows normal salary then we believe SGC will be payable, will it be subject to payroll tax, workcover etc – these are not yet known) Will leave entitlements then begin to accrue again.

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