Single-Touch Payroll is mandatory for all businesses from July 1st, this means any business (no matter how small) needs to have a cloud system in place for their payroll
What is Single-Touch Payroll?
Under Single-Touch Payroll (STP), all businesses will report on salary or wages, pay as you go (PAYG) withholding and superannuation directly to the Australian Taxation Office electronically, and at the same time as you pay your employees
STP will require you to have your payroll transaction data transferred to the ATO every time you pay your employees. Transmitting this data requires a software solution, our personal favourite is Xero as it’s a simple and easy solution!
With the rollout of STP, the reports and liabilities owing will be available to you in real time. This means you have the opportunity to make payments towards PAYG tax withheld and superannuation contributions before their due date, if you wish
When you are thinking about whether your business is STP ready, consider this:
- Does your payroll software support STP reporting?
- When do you need to start reporting using STP?
- Is your payroll team aware of the rollout of STP and is all your employee data accurate?
Want more information?
Read more about STP HERE