Single Touch Payroll. Are you ready?
What is Single Touch Payroll?
Single Touch Payroll is a compulsory reporting change for employers with 20 or more employees across all grouped companies.
It starts from 1 July 2018.
You will need to report to the Australian Taxation Office (ATO) payments such as salaries and wages, pay as you go (PAYG) withholding and superannuation information each time you pay your employees.
Single Touch Payroll will be expanded to include employers with 19 or less employees from 1 July 2019. This is subject to legislation being passed in parliament.
How do I count my employees?
Count the employees on your payroll as of 1 April to see if you fall under Single Touch Payroll reporting.
Include in headcount:
- full-time employees
- part-time employees
- casual employees and seasonal workers who were on your payroll on 1 April and worked any time during March – there are exemptions to counting seasonal workers who were employed for a short-time only
- employees based overseas
- any employee absent or on leave (paid or unpaid).
Don’t include in headcount:
- any employees who ceased work before 1 April
- casual employees who did not work in March
- independent contractors
- staff provided by a third-party labour hire organisation
- company directors
- office holders
- religious practitioners.
Are you ready for Single Touch Payroll?
- Single Touch Payroll is now available in the latest versions of various payroll software such as MYOB, Reckon and Xero. Please contact us immediately if you require assistance in enabling this reporting function.
- Make sure the right people in your business know about Single Touch Payroll – especially your payroll staff.
- Start reporting to the ATO from the first pay period after 1 July.
If you need assistance or are unsure how the Single Touch Payroll impacts you, please contact Patrick Rowan & Associates immediately. Tel: 5221 7655