What is STP Phase 2?

In the 2019–20 Budget, the government announced that Single Touch Payroll (STP) would be expanded to include additional information.

The expansion of STP, also known as STP Phase 2, will reduce reporting burden for employers who need to report information about their employees to multiple government agencies. It will also help Services Australia’s customers, who may be your employees, get the right payment at the right time.

The mandatory start date for Phase 2 reporting is 1 January 2022, however many Digital Service Providers (DSPs), including Xero and MYOB, have needed more time to update their products and transition their customers.  If you are covered by your DSPs deferral – make sure you understand when your product will be ready and that you are ready to start Phase 2 reporting when it has been updated, or no later than the first pay day after your DSP deferral expires.

The ATO has provided the following information:

When will the Xero rollout start?

For those clients using Xero to manage their Single Touch Payroll please note the changes will start rolling out from late August.

The rollout is kicking off in three key stages within Xero. While stage one is taking place as planned, so we can ensure that stages two and three are equally as streamlined, we’ll be pushing their delivery dates out (rest assured, everyone will have the time they need to transition). To help you work through the upcoming changes, we’ll also be launching transition tools at each stage.

For further information about the Xero rollout please visit:


When will the MYOB rollout start?

MYOB has you sorted for the ATO’s rollout of Single Touch Payroll (STP) Phase 2. Your software is now ready for STP Phase 2 reporting.

Here you’ll find information to help you transition, including training and instructions. Best of all, our in-product readiness check will guide you through the move. Remember, we’ve got a deferral from the ATO until 1 January 2023 to allow plenty of time to get ready.

For further information about the MYOB rollout please visit:


If you need further information, please do not hesitate to contact SiDCOR at any of our offices here.