Beware of Upcoming Payroll Requirements
With a number of payroll deadlines coming in quick succession, it’s essential to understand the due dates and your obligations as an employer.
We highlight payroll deadlines you’ll likely need to pay over the next few months.
STP Finalisation
At the end of each financial year, employers must finalise their Single Touch Payroll (STP) data by submitting a declaration through their payroll software. There are two key deadlines, depending on how your employees are classified.
Employers with no closely held employees
A closely held employee is someone who has a direct relationship with the business, company, or trust that compensates them. This includes family members in a family business, directors or shareholders of a company, and beneficiaries of a trust.
The due date for end-of-year STP finalisation is 14 July.
Employers with a mix of closely held and arm's length employees and a total of 20 or more employees
An arm’s length employee is someone with a typical employee arrangement. For example, they’re unrelated to the business and are employed to work.
The due date for end-of-year STP finalisation is 30 September for closely held employees, while all other employees must finalise by 14 July 2024.
Small employers (19 or fewer employees) with only closely held payees
The due date for end-of-year STP finalisation will be the payee's income tax return due date.
For more information on STP finalisation, please see STP Finalisation — What You Need to Know.
TPAR Lodgement
The Taxable Payments Annual Report (TPAR) is a mandatory report for certain industries to the Australian Taxation Office (ATO). It helps the ATO identify contracting parties and ensure the correct application of ABN withholding taxes. The TPAR also aids the ATO in verifying that contractors are meeting their GST obligations and accurately reporting their income and tax returns.
The industries that require TPAR reporting are:
- Maintenance services.
- Information technology.
- Construction and building services.
- Road freight services or courier services.
- Surveillance, investigation, or security services.
- Governmental institutions.
You must lodge a TPAR if all of the following conditions apply to your business:
- Your company operates in one of the industries mentioned above (mixed services businesses may also need to report).
- You make payments to contractors or subcontractors for the work they have performed.
- You hold an Australian Business Number (ABN).
If you’re required to lodge a TPAR, it must be filed with the ATO by August 28th each year. For more information on TPAR, please see our Guide to the Taxable Payments Annual Report.
WorkCover Declarations
As an Australian employer, you likely have WorkCover insurance to support employees in the event of work-related injuries or illnesses. Each state has different rules, but in Queensland, you must declare your business's wages to WorkCover Queensland by 31 August each year.
For the purpose of your WorkCover declaration, 'wages' refers to the total amount paid to a particular employee or worker, such as salary, wages or other monetary earnings.
To learn more about WorkCover declarations, please see Understanding WorkCover Declarations.
Superannuation Deadline
For quarter four of the 2024 financial year, superannuation must be paid by 28 July. However, keep in mind that your super guarantee contribution (SGC) is not considered ‘paid’ until it lands in the super fund. Depending on processing times from superannuation clearing houses and the super funds, there could be a delay between the time you make the payment and the time it counts as ‘paid’. For this reason, we recommend making your SGC payments well ahead of the 28 July deadline.
It’s especially important to ensure superannuation payments do not miss the deadline because late super payments are not tax deductible. This could cost you a significant amount in lost tax deductions.
Also, it’s important to be aware that as of 1 July 2024, the SGC rate is increasing to 11.5%.
To learn more about superannuation, please see Prepare for the Super Guarantee Rate Increase.
Minimum Wage Updates
The National Minimum Wage is set to increase by 3.75% from 1 July 2024. The National Minimum Wage will now be $915.90 per week or $24.10 per hour and applies to employees where they aren’t covered by an award or other registered agreement. If your employees are covered by an award, it’s important to check to see if the pay rate is increasing.
To learn more about the National Minimum Wage, please see 2023-2024 Annual Wage Review.
Summary of Dates
- STP Finalisation: 14 July
- Minimum Wage Updates: 1 July.
- SGC increase: 1 July.
- Superannuation Deadline: 28 July.
- TPAR Lodgement: 28 August.
- WorkCover Declarations: 31 August.
We’re here to help
At Bonerath & Co., we can help ensure you’re up to date with your reporting and payment obligations, so you can focus on what you do best. If you’d like assistance with any of the payroll deadlines we’ve discussed, please do not hesitate to reach out to us.
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