What is JobMaker?
JobMaker is a credit available to eligible businesses and non-profit entities that create new jobs (not if you are merely replacing someone who left). The hiring credit is available for jobs created from 7 October 2020 until 6 October 2021 and provides:
$200 per week for new employees between 16 to 29 years of age; and
$100 per week for new employees between 30 to 35 years of age.
Administered by the ATO, JobMaker is a credit that is paid quarterly in arrears from the start date of the employee for 12 months, assuming the business and employee remains eligible (see JobMaker Eligibility).
The credit is an incentive for the employer to support wage costs and is not passed onto the employee.
Unlike JobKeeper, JobMaker can apply to new businesses and the business does not need to satisfy a decline in turnover test to receive payments.
A series of people are excluded from the JobMaker scheme including employers receiving JobKeeper, employees receiving an apprentice wage subsidy, and close associates of the business including some relatives of the business owners (see Who is not eligible for JobMaker?).
To access JobMaker payments, you will need to:
Determine if the business is eligible to receive JobMaker payments (see JobMaker Eligibility).
Determine which, if any, employees are eligible (see JobMaker Eligibility) and whether the higher or lower rate applies to them.
Ensure the business passes the ‘additionality test’. That is, total headcount and payroll have increased, not just that you have employed new employees. You will need to pass this test in every quarter you make a claim (see JobMaker Eligibility and Calculating baseline headcount and payroll)
Ensure eligible employees complete the JobMaker employee notice (see The JobMaker employee notification)
Enrol for JobMaker with the ATO (see How to register for JobMaker)
Establish the baseline payroll and headcount for your business (see Calculating baseline headcount and payroll)
Calculate the increase in headcount and payroll for your JobMaker claim (see Calculating your JobMaker claim)
Ensure the claim is lodged by the end of the claim period (see Key JobMaker dates)
To know more about JobMaker Hiring Credit Scheme and JobMaker Eligibilty/Non-Eligibilty see our article: JobMaker Hiring Credit Scheme
To know how to register for JobMaker see our article: How to Register for JobMaker