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Processing JobMaker Credits in IPA Books+


JobMaker Credit reporting in IPA Books+ is managed via the Single Touch Payroll reporting system. To report payruns you wish to apply for JobMaker Credits, please follow the guide below.


Employee Eligibility

For an employer to receive a subsidy payment for an employee the following must be true for that employee:

  • Hired after the 7th of October 2020.
  • Aged between 16 and 35.
  • For 28 consecutive calendar days prior to their hiring, received one of the following government payments:
    • JobSeeker Payment.
    • Youth Allowance.
    • Parenting Payment.
  • Employed on a full time, part time or casual basis. Contractors are not eligible.

 

Setting up an employee to be reported for JobMaker Credits

The following fields are mandatory for an employee to be considered for the subsidy

  • Tax File Number
  • Hire Date
  • Date of Birth

 

Tax File Number

Go to the employee record then click on Tax tab to enter the employee's Tax File Number.

Hire Date

Go to the employee record then click on Employment tab to enter the employee's hire date.

Date of Birth

Go to the employee record then click on Personal tab to enter the employee's date of birth.


Nominating an employee for the JobMaker Credit subsidy

To nominate an employee for the JobMaker Credit subsidy, a new allowance is included in the employees payrun called JMHC-NOM.


You will need to log in to your IPA Books+ book with administrator rights to Payroll. Administrator, Payroll Administrator, Superuser and Support roles will all have the required permissions.

To add a new allowance pay item, go to Settings and select Payroll settings > Pay items

Click the Add button.

The allowance name must follow the ATOs designated format. Any deviation from the exact name may significantly delay or unavailable to be processed.

JMHC-NOM allowance item

This allowance is used to nominate the employee for the subsidy.

You will use JMHC-NOM allowance item once on the eligible employee pay run to submit to Single Touch Payroll.

Allowance item set up

Pay item type: Allowance

Allowance type: Other

Name: JMHC-NOM

Expense account: Choose an existing Expense account to track the transactions. Alternatively create a new expense account. ** Please contact your qualified advisor (eg accountant, bookkeeper) for assistance as needed.

Calculation basis: Quantity

Default rate: Null

Limit: Null per pay

Tax applicable: Tax free


JMHC-PXX allowance item

As well as nomination, a second new allowance is reported for each JobMaker Credit period to claim the subsidy. The name of this allowance is called JMHC_PXX where XX represents the JobMaker period.


Allowance item set up

Pay item type: Allowance

Allowance type: Other

Name: JMHC-PXX

You may need to create multiple JMHC-PXX allowance items if you have eligible employee/s across the JobMaker Hiring Credit subsidy periods (7 Oct 2020 - 6 Oct 2022). Refer to the JobMaker Credits Reporting Periods here.

Expense account: Choose an existing Expense account to track the transactions. Alternatively create a new expense account. ** Please contact your qualified advisor (eg accountant, bookkeeper) for assistance as needed.

Calculation basis: Quantity

Default rate: Null

Limit: Null per pay

Tax applicable: Tax free


Processing a pay run with a JobMaker Credit nomination

The process to nominate an employee for the subsidy is carried out during the regular payrun process.


Nominating an employee

To nominate an employee, the JMHC-PXX allowance item must be included in a payrun to report which period the employee became eligible. In the below example, Bob Williams became eligible in Period 1 and has had the JMHC-P01 allowance item for $0 added to the payrun as well as the nomination allowance item (JMHC-NOM).

Once the items are added, complete the payrun and report the Single Touch Payroll report as per regular business process. This will inform the ATO you wish to claim JobMaker Credits for this employee.


If an eligible employee leaves the business

If an employee leaves the business, you must fill out the termination date field in Employment tab of the employees record. This will be included as the cessation date the next time an STP report is sent to the ATO and will inform them the employer is no longer eligible for the subsidy for that employee.


If an eligible employee leaves but then returns to the business

If an employee that is eligible leaves and then returns to the business, you must include a different named allowance to re-nominate the employee for the subsidy. The item is called JMHC-RENOM.


Allowance item set up

Pay item type: Allowance

Allowance type: Other

Name: JMHC-RENOM

Similar to JMHC-NOM allowance item, you will only need to use it once on the rehired eligible employee pay runs.

Expense account: Choose an existing Expense account to track the transactions. Alternatively create a new expense account. ** Please contact your qualified advisor (eg accountant, bookkeeper) for assistance as needed.

Calculation basis: Quantity

Default rate: Null

Limit: Null per pay

Tax applicable: Tax free

How did we do?

JobMaker Credit reporting period

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