My Employer Cant Afford to Pay Me JobKeeper as They Have No Cash. Do I Stay on JobSeeker until I Actually Get Paid?

Quick background was stood down 23rd of last month and applied for jobseeker on that day.

Was approved on Sunday just past (Well done to Centrelink for working extra hours to process all the applications
Today My employer sent me a job keeper nomination form.
The issue for me is simple. Job Keeper is a reimbursement and my employer does not actually have the cash to pay me.
in this case, do I keep on my Jobseeker and only report the Jobkeeper income when it's actually paid?

Comments

  • +4

    Yes.

    • Assuming that the employer is reputable and will re-employ OP on the back of receiving the JobKeeper payment(s).

  • You can pay back what you owe later on.

  • +3

    The employer is required to pay you the full $1500, from now. The government will then reimburse the employer, in arrears, on a monthly basis, beginning in the first week of May.

    If your employer does not pay you this, from now, then they (and therefore you) are no longer eligible for JobKeeper.

    https://www.ato.gov.au/general/JobKeeper-Payment/

    • OP has mentioned the employer has no money to pay the $1500 before the government pays them.

    • +2

      The application for JobKepper doesn't even open until April 20.

      I am not sure how the govereenmt expects businesses to pay every employee $1,500, even the ones usually earning less than that, when they don't know if their application will be successful and whether they will be reimbursed.

      If the application is rejected, will the employees have to pay the employer back?

      The implementation of JobKeeper is a nightmare.

      (The employer is allowed to make 1 x $3,000 payment, as long as it is before 30 April, so I expect most businesses will hold off until they have confirmation of eligibility and will then top up after April 20 but before the end of the month)

  • -2

    If you are on Jobseeker your employer will not be paid Jobkeeper for you
    You can only be in reciept of ONE payment and they use single touch payroll to determine your eligibility.

    So either your employer keeps paying you now and then gets paid back in may and then monthly form then on
    Or
    You go on Jobseeker and they will not get any Jobkeeper payments for you

    • That is not true. You can be on Jobseeker at any time, if you receive Jobkeeper though you need to report that income to Centrelink each fortnight and it will most likely preclude you from receiving any Jobseeker payment. Once you start receiving Jobkeeper then it is time to cancel your Jobseeker claim in order to avoid the reporting every fortnight for no extra payment.

      • -2

        Nope. Can 100%. Confirm that if you are in receipt of jobseeker then you are ineligible to get jobkeeper and your employer will not get the subsidy paid to them at all.

        • Any official link for that?

          • -1

            @donga100: Info sheet for employers in Aus.gov.au

            • @jimbobaus: I can't see it anywhere here. Am I missing something?

              • @donga100: This page says exactly what I wrote above. You can receive Jobkeeper if you are currently claiming Jobseeker but should report the income or cancel it if you will no longer qualify for a payment.

                • +2

                  @donga100: One can actually be getting both payments and then owes money to the government.

                  Step 5 – If you are receiving or in the process of applying for a Services Australia income support payment, like JobSeeker payment, contact Services AustraliaExternal Link and let them know that your employer has applied for the JobKeeper payment. If you do not report the income or cancel your JobSeeker payment, you may incur a debt that you will be required to pay back.

    • +1

      This is wrong. I have seen and filled up the declaration form for jobkeeper. There is no mentions at all for jobseeker.

    • Receiving JobKeeper makes you ineligible for a jobseeker payment as your income will be above the threshold. Receiving jobseeker in no way effects your JobKeeper payment

  • stay on jobseeker for now. once confirmed from employer for jobkeeper. ring centrelink and tell them that you want to be on jobkeeper. simple as that. you might have to pay back the money of jobseeker if you are willing to claim the jobkeeper from begining of the month.
    p.s better to be on jobkeeper than jobseeker as you get $250 extra/week.

    • its actually a bit more than that job seeker is still 550 a fortnight till april 27.

      as far as I know you just have to report income based on below taken from the treasury website.

      If you are receiving a Services Australia income support payment, like the JobSeeker Payment, and your
      employer has notified you that they are receiving the JobKeeper Payment, you must report that income to
      Services Australia. You may also need to cancel your JobSeeker Payment. If you do not report the income or
      cancel your JobSeeker Payment, you may incur a debt that you will be required to pay back. You can
      withdraw your claim or cancel your payment using your Centrelink online account through my.gov.au or
      the Express Plus Centrelink app.

      I guess for me if I get jobseeker and then jobkeeper as well I will just need to put aside the jobseeker component so it can be repaid

  • The employer must pay you by the end of April or else they will not be eligible.

  • News said the big 4 banks now have dedicated hotline to help with businesses on their bridging finance for job keeper payments to employees. Hope you’ll hear good news soon

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