We'll start by creating an income account for the JobKeeper payments you receive from the government. Remember—you pay your employees under JobKeeper, then the government reimburses you the following month.

We'll set up this account as an "other income" type account (8-xxxx), but you could also set it up as an income account type (4-xxxx). If you're not sure which account type best suits your business, check with an accounting advisor.

1. Go to the Accounts command centre and click Accounts List.
2. Click the Other Income tab.
3. Click New. The Account Information window appears.
4. Enter an Account Number which suits your accounts list.
5. Enter the Account Name as JOBKEEPER SUBSIDY (NO GST).
   Here's our example:
   

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2. Click the Details tab and choose N-T as the Tax Code.
3. Click OK.

Under JobKeeper, eligible employees must be paid a minimum amount (see the information at the start of this topic). If an employee's regular pay is less than the JobKeeper payment amount

or

they've been stood down

, you'll need to "top-up

" their pay using a new JobKeeper wage category.

This new wage category must be named JOBKEEPER-TOPUP to ensure the payments are reported correctly to the ATO.

To set up the JOBKEEPER-TOPUP wage category:

1. Go to the Payroll command centre and click Payroll Categories.
2. On the Wages tab, click New. The Wages Information window appears.
3. For the Wages Name, enter this exact name: JOBKEEPER-TOPUP. The wage category name must match this (all capitals, with a hyphen and no spaces) to ensure it's accepted by the ATO for Single Touch Payroll reporting.
4. For the Type of Wages, select the Salary option (regardless of whether your employees are salaried or hourly based).

5. For the ATO Reporting Category , choose Allowance - Other. This is required by the ATO to ensure the payments are reported correctly through Single Touch Payroll reporting.
   Here's our example:
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   Optional expense account If you want to account for your JobKeeper top-up payments separately, you can create an expense account for this purpose. You can then select the option Override Employees' Wage Expense Account in the wage category and choose the new expense account. Check with your MYOB Partner or accounting advisor if you're not sure if this is suitable for your business.

6. Click Employee, select the employees you'll be paying during the JobKeeper scheme, then click OK.

7. Click OK to save the wage category. 

As per the government's information, you must pay super on an employee's regular pay amount, but you can choose whether to pay super on JobKeeper top-up

amounts. If you will be paying super on

JobKeeper top-up payments you can skip this task.

Take a look at these fortnightly pay examples to see what super is typically paid on:

If To stop paying an employee becomes ineligible during the JobKeeper schemepayments, you'll need to enter a finish fortnight for them and inform the ATO. See the FAQs below for details.

've notified the ATO of all eligible employees. For details, see task

3 'Notify the ATO

of eligible employees and payment rates'.

1. Go to the Payroll command centre and click Process Payroll.
2. Choose who you're paying and the pay dates, then click Next.
3. Click the zoom Image Modified arrow to open an employee's pay.

4. Take note of the amount shown against the Base Salary or Base hourly wage category. This is typically the employee's regular income and will help you work out how to record the JobKeeper payment.

5. Enter the employee's pay. Refer to the table above for JobKeeper payment rates for Tier 1 and Tier 2 employees.

   If an employee is	Do this
   being paid less than the JobKeeper payment	Enter the hours or amount for the work they've done against the relevant wage categories, such as Base Salary or Base Hourly. Enter the top-up amount (to bring their pay up to the required JobKeeper payment amount) against the JOBKEEPER-TOPUP wage category. Only enter the amount, not hours. This ensures leave won't accrue on the JobKeeper top-up. See the FAQ below for more details.
   being paid more than the JobKeeper payment	Enter their pay as you normally would against the relevant wage categories, such as Base Salary or Base Hourly .
   stood down	Enter the full JobKeeper payment against the JOBKEEPER-TOPUP wage category. Stood down employees still accrue their usual leave entitlements. See the FAQ below for more details.

   Here are some examples:

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   Example 1:

1. Tier 1 employee paid less than

1. $500 per week Here's an example of a casual employee who works 20 hours per week and whose pay is less than the minimum JobKeeper amount they're entitled to (

1. $500). For their 20 hours they earn

1. $450 a week. Under JobKeeper, they'll now earn

1. $500 a week so we've put their extra

1. $50 against the JOBKEEPER-TOPUP wage category

1. .

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   Example 2:

1. Tier 2 employee paid more than

1. $650 per fortnight Here's

1. a part time employee whose fortnightly pay is more than the

1. minimum JobKeeper amount they're entitled to (

1. $650). They normally earn

1. $950 a fortnight. Under JobKeeper, they'll still be paid the same. So we'll enter their pay as we normally would and record their pay against the relevant wage category, in this case Base Salary.

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   Example 3: Employee who is stood down Here's

1. a Tier 1 full time employee who has been stood down. Regardless of what they were earning while working, they'll now receive the full Tier 1 JobKeeper payment. So in their fortnightly pay we'll enter

1. $1000 against the JOBKEEPER-TOPUP wage category.

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2. When you're done, click OK.
3. Repeat steps 3 - 6 for each employee.
4. Finish your pays as you normally would. Need a refresher?

When notifying the ATO, make sure you choose the relevant fortnightly period during which your employee started receiving JobKeeper and their employee tier.

For example, if you've already paid employees during the period 3028/0309/2020 - 12/0410/2020, you need to choose the 30 Mar 28 Sep - 12 AprilOct fortnightly period in the First JobKeeper fortnight field.

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Example: Employee Tier 1 employee whose regular fortnightly pay is $1100 and is owed JobKeeper back pay

Your business became eligible for JobKeeper from 30 March 28 September (1st 14th fortnight of JobKeeper scheme), but you already processed a pay for the employee on 10 April 5 October (before you set up JobKeeper in AccountRight). Your next pay is scheduled for 24 April 12 October (2nd 15th fortnight of JobKeeper scheme).

You need to workout work out the amount of JobKeeper back pay you owe the employee from the previous pay and add it to their next pay.

So, if you've paid your employee their regular pay of $1100 per fortnight, your next pay will need to include the $400 $100 JobKeeper top-up back pay, as well as the additional $400 $100 they would be getting for this fortnight's JobKeeper top-up.

$1100 (regular pay) + $400 $100 (JobKeeper top-up backpay) + $400 $100 (JobKeeper top-up current pay) = $1900$1300. This will bring their total gross pay for this fortnight to $1900$1300.

This means $800 $200 needs to be recorded against the JOBKEEPER-TOPUP wage category.

Here's our example:

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Is there anything I need to do at the end of the JobKeeper program?

No. Now that the JobKeeper program has finished, there's nothing you need to do in AccountRight. Don’t select a Final Fortnight for employees being paid JobKeeper to the end of the scheme. Just remember to complete your final monthly business declaration for March by 14 April 2021.