A few months ago, we talked about getting ready for STP reporting. Details of that article can be found here.
With the 1 July 2018 fast approaching, our checklist below provides guidance to assist employers with the implementation of STP:
- Do a headcount of the employees you have on 1 April 2018
If you have 20 or more employees on 1 April 2018, you will need to report through STP from 1 July 2018. When doing the headcount, you will need to include full time, part time, casual and seasonal employees who were on your payroll on 1 April and worked any time during March (exemptions apply), employees based overseas and any employee absent or on leave (paid or unpaid).
You do not include any employees who ceased work before 1 April 2018, casual employees who did not work in March, independent contractors, staff provided by a third party labour hire organisation, company directors1, office holders2 or religious practitioners3.
- Update your payroll solution and start reporting through STP when ready
The major accounting software providers such as Xero, MYOB (most versions) and QuickBooks are/ will be STP compliant by 1 July 2018. We recommend that you contact your software provider to confirm that the product you are using supports STP reporting so that you are all set for the 1 July 2018 deadline. Your provider will also be able to provide further guidance regarding the implementation of this new functionality in your accounting software.
Should you have any questions about STP reporting and how it applies to you, please contact your Altitude Adviser.