We are already a month into the new financial year. So employers need to be aware of changes to compliance in workplace relations, tax and superannuation.
Changes came into effect on 1 July. You can’t afford to get caught out by missing your obligations!
We’ve condensed the essential facts to help you cruise through the red tape
MINIMUM WAGE INCREASE Wages will rise on July 1 after the Fair Work Commission announced a 2.4 per cent increase in the minimum wage earlier this month. The new national minimum wage will be $672.70 per week or $17.70 per hour. The increase applies to employees that get their pay rates from the national minimum wage, a modern award or in some cases a registered agreement. The Fair Work Commission will ping employers who underpay employees from 1 July. Do you have employees on the minimum wage? If so, you will need to apply the increase in the first full pay period on or after July 1. If you are not sure how to implement the increase? contact Fitzpatrick Group for assistance on applying the changes.
AWARDS REVIEW Coming into effect on July 1 the annual wage review decision for 2016 will apply to all employees covered by modern awards, enterprise awards or transitional APCSs, as well as award free employees. Have questions or need further information on the awards that apply to your staff? contact Fitzpatrick Group for further information on awards.
SUPERSTREAM Are you among the 150,000 Australian SMF’s yet to come on board with SuperStream? The deadline was 1 July, but thankfully you’ve been given a reprieve to 28 October, but that’s coming up soon! SuperStream is introducing a standard for processing superannuation data and payments electronically. This includes a standard format for data to allow consistent transmitting across the super system – between employers, funds, service providers and the ATO.
According to the Australian Tax Office (ATO), employers who’ve made the transition are saving on average 70 percent of the time they usually spend on making super contributions for their employees. If you’re an employer with 19 or fewer employees who has not already adopted a SuperStream solution, there are options available. You can use a third party, such as a bookkeeper or accountant, a clearing house, a messaging portal or go through your existing default fund to make your super contributions electronically using SuperStream on your behalf.
To get started, you need to choose an option to make super contributions electronically. These include:
- your payroll system,
- your super fund’s online system or
- a super clearing house.
Unsure of your obligations as an employer?
- Check that your option is SuperStream ready.
- Next, you need to collect key information on your employees, including their tax file number and a unique super identifier.
- Once you have all the information, enter it into your system. You should start using SuperStream as soon as possible so you can ensure everything is running smoothly and enjoy the benefits.
Still uncertain? The ATO website is content rich. Essential links include:
Unsure of your obligations as an employer? Do right by your employees and avoid the pitfalls of non-compliance. Fitzpatrick Group can advise you on your employer obligations…so you don’t get caught out.