Single Touch Payroll (STP) - Streamlining the payroll process for your Business.

Single Touch Payroll (STP) reporting legislation has been introduced into Parliament (31 August 2016).

What is Single Touch Payroll (STP)?

It is a move to cut red tape for employers by simplifying tax and superannuation reporting obligations, and to provide businesses with savings. Single Touch Payroll is a government initiative that enables businesses and employers to report (real-time) staff salaries and wages (including ordinary time earnings) and PAYG withholding amounts to the ATO at the same time the employees are paid.

What about Single Touch Payroll and Superannuation?

There will also be changes to how superannuation is reported to the ATO; however, there will be no changes to how employers pay their superannuation. The information will be automatically reported to the ATO when those payments are made to the employees’ funds.

What benefits does Single Touch Payroll offer employees?

In addition, employees will have access to pre-filled forms, including Tax File Number Declaration and Super Choice, when they start a new job. This will be available through their myGov account.

What does e-PayDay provide with Single Touch Payroll?

e-PayDay Pty Ltd is part of the consultative process and is involved with the STP Advisory Group, STP Design Working Group, and STP Technical Working Group. We will help businesses transition to Single Touch Payroll by updating our e-PayDay® Legacy Desktop payroll and developing new STP cloud payroll software.

What is the Timeline for Single Touch Payroll?

The important dates for you to know;

• Employers with 20 employees or more can report to the ATO through Single Touch Payroll from 1 July 2017. However, reporting will be a requirement starting 1 July 2018.

• Employers with 19 employees or fewer can report to the ATO through Single Touch Payroll from 1 July 2017. However, it is not a requirement at this stage.