Single Touch Payroll Explained
From 1 July 2018, employers with 20 or more employees will need to start reporting through Single Touch Payroll (using your existing payroll software, e.g. Xero).
Reminder: Have you completed your headcount on the number of employees that you have as of 1 April 2018?
Using your existing payroll software, payments such as salaries and wages, pay as you go (PAYG) withholding and super information will be reported at the same time as when you pay your employees. This means that you may not have to provide the Australian Taxation Office with an end of year payment summary if you report through Single Tough Payroll, as they will already have this information on file.
The Australian Taxation Office have provided a short video explaining Single Touch Payroll:
What if you have 19 or less employees? You have the choice to report through STP if your software is ready and able, however, it isn’t yet mandatory for you to do so.
If you still have any questions about Single Touch Payroll in your business, please give the team at Vertigan Partners a call. We will happily explain the changes to you.