The Federal Government announced JobKeeper 2.0 this week, which is an extension of its initial program with tightened eligibility tests and reduced payments.
Below are the changes under JobKeeper 2.0 that will remain active until March 28, 2021.
From September 28, full-time workers will see their fortnightly payment decreased from $1500 to $1200.
From January 4, 2021, the rate will drop from $1200 to $1000 a fortnight.
From September 28, part-time workers (those who work less than 20 hours a week) will see their fortnightly payment decreased from $1500 to $750.
From January 4, 2021, the rate will drop from $750 to $650 a fortnight.
The eligibility test, where businesses that make $1 billion or less need to show a 30 per cent downturn in turnover while businesses with a turnover of greater than $1 billion have to prove a 50 per cent reduction, and 15 per cent for ACNC-registered charities, remains. However, the test will be reapplied at the end of September and then at the start of January.
From September 28, businesses will need to prove an actual decline (using actual GST turnover, instead of projected) for June and September quarters to be eligible.
From January 4, 2021, businesses will need to prove money lost during June, September and December quarters.
The changes stemmed from the announcement that one in four of 3.5 million employees on JobKeeper earns $550 more than they otherwise would.
If you need assistance in understanding these changes, please feel free to contact us here.