When will the JobMaker Hiring Credit commence?
The JobMaker Hiring Credit will commence on 7 October 2020. Eligible employers can receive the payment for up to 12 months for new jobs created for which they hire an eligible young person from 7 October 2020.
When will the JobMaker Hiring Credit end?
The JobMaker Hiring Credit will be available for each new job employers create over the next 12 months for which they hire an eligible young person. It will close to new entrants on 7 October 2021. An eligible employer who hires an eligible employee on 6 October 2021 (the last day the scheme is open to new entrants) could be eligible for payments for the 12 months to 6 October 2022.
How and when do I lodge a claim for the JobMaker Hiring Credit?
Employers can submit claims from 1 February 2021 (for new jobs created in the first reporting period of 7 October 2020 to 6 January 2021). Employers will have three months to submit claims following the opening of the claim period.
When will I receive the JobMaker Hiring Credit?
The JobMaker Hiring Credit will be paid quarterly in arrears. Employers can claim the first payment when claims open on 1 February 2021 (for new jobs created between 7 October 2020 and 6 January 2021).
How much is the JobMaker Hiring Credit and who pays it?
For eligible employers who hire eligible employees aged 16 to 29 years old at the time of employment, the JobMaker Hiring Credit is $200 a week. For eligible employees aged 30 to 35 years old at the time of employment, the JobMaker Hiring Credit is $100 a week.
The ATO will pay the JobMaker Hiring Credit to you, the employer. For more comprehensive information on payment information, we recommend reading our JobMaker Summary.
How do I calculate my baseline employee headcount and payroll?
For existing businesses operating before 30 September 2020, your employee headcount is the number of employees you have at 30 September 2020 and your payroll is your quarterly payroll for the three months to 30 September 2020.
If you are a new business or had no employees at 30 September 2020, you will not be eligible for the first employee hired, but will be eligible for the second and subsequent eligible hires.
For example, Jack starts a new business on 10 October 2020. His first employee is Jeremy aged 31 years old who he hires on 15 October 2020. On 15 November 2020, Jack hires Tim who is an eligible employee. Because Jack's headcount at 30 September 2020 was zero, he will not be able to claim the JobMaker Hiring Credit for Jeremy who was his first employee, but he may be eligible to claim for Tim.
Your headcount for each reporting period will be taken from the last day of the reporting period. For example, your employee headcount will be measured at 6 January 2021 for the first reporting period. Your payroll for each reporting period is your total payroll across the reporting period. Your payroll needs to be higher than the baseline payroll to meet the additionality criteria (found here). If the increase in payroll for the reporting period was less than the total value of the credit that is being claimed, then you will receive the value of the payroll increase instead.
How do I calculate my baseline employee headcount and payroll?
No, you can only claim the JobMaker Hiring Credit for employees who were employed on or after 7 October 2020.
Can I receive the JobKeeper Payment and the JobMaker Hiring Credit at the same time?
No, you cannot receive the JobKeeper Payment and the JobMaker Hiring Credit at the same time. An employer receiving the JobKeeper Payment can be eligible for the JobMaker Hiring Credit once they have exited the JobKeeper Payment and are no longer receiving the JobKeeper Payment for any employees or business participants. Eligibility for the hiring credit will commence in the reporting period following their JobKeeper exit date.
For example, Mandy's Hair Salon in Perth is eligible for the JobKeeper Payment extension from 28 September 2020 to 3 January 2021, but is not eligible for the JobKeeper payment extension from 4 January 2021 to 28 March 2021 as business improves in the December 2020 quarter. As the Hair Salon is no longer eligible for the JobKeeper Payment from 4 January 2021, Mandy can claim the JobMaker Hiring Credit for hiring Max, a 25 year old qualified hair stylist who had been receiving JobSeeker Payment, for the 7 January 2021 - 6 April 2021 reporting period.
Feeling confused? Got additional questions? Contact us!
f you're confused by the eligibility rules for JobMaker and the implications they could have, do not hesitate to contact us. For detailed information that applies to your situation specifically, please call our team on 1300 001 132 for help or contact us via our website.
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