My pay cycle NOT align with the ATO fortnightly for JobKeeper Payment

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  • Updated 2 months ago
Good morning,
I've read a lots about JobKeeper payment. However, I couldn't find an information about how to process in the Reckon Accounts hosted if our fortnightly payment doesn't align with the ATO.
Our next payroll fortnight cycle is 24/04 - 03/05 but the ATO is 13/04 - 26/04 (one week different).
Should I process this payroll cycle and make the payment to our staff member before the end of April but still use the same payroll cycle, 24/04-03/05? Hope anyone can give me some ideas?
Thank you.
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Chai

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Posted 3 months ago

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Simon Hutchinson, Employee

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Hi Chai

The key information is the date paid within the pay cycle. You do not need to align with the JobKeeper fortnights however the paid date determines which fortnight the payment falls into

The ATO has said as long as $3000 is paid in April, and it is reported by April 30 they will honour the re-imbursement in May even though some payments might actually be in FN03

So as long as you pay the employee and have a paid date by April 30, and report by April 30, it will be in the May re-imbursement.
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John Graetz

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Flora.  It has to be FN01 which, because you are backdating it to the beginning of April, signifies that you want your reimbursement to date back to the first fortnightly cycle.  This is then confirmed by the fact that your top-ups will make up pay to $3,000 (over a four week/month period) at least, or no actual top-ups if some staff already receive $1,500 or more per fortnight.  The ATO is allowing actual back pays to occur in FN03 provided that they are made before 30th April.  FN01 represents the start date for payments.
John L G
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Flora

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Thanks John for explaining. So as long as I have paid $3000 before or on 30th April and marked it as JOBKEEPER-START-FN01, ATO wouldn't care which pay cycle it is and as long as I keep paying $1500 each fortnight, we should be all good?
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John Graetz

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Flora.  That is exactly what Reckon keep on telling us in this forum, so all should be good, based on that advice.
John L G
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Anu Antony

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I pay monthly salary to my employees, so the pay runs are on March 31, April 30th so on. So do I add jobkeeper-start-fn01 to April 30th pay run ?
thanks
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John Graetz

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Anu.  The first fortnight starts on 30/3/2020 so you need to add the special flag of JOB-KEEPER-STARTFN01 to either of the March or April pays and pay any top-ups before 8th May 2020.
John L G