Single Touch Payroll is a system that will align reporting obligations with payroll processes. It means payments such as salaries and wages, pay as you go (PAYG) withholding and superannuation information will need to be reported via a business’s payroll solution each time their employees are paid.
Single Touch Payroll is compulsory for businesses with more than 20 employees from 1 July this year, with talk it will be introduced to all businesses from 1 July 2019.
The ATO are well into their communications activities with employers and have provided a number of resources to ensure all business are STP compliant by the respective deadlines.
With the MYOB poll revealing that only 23.7 percent of surveyed Australian businesses employing more than 20 people are ready for the 1 July 2018 change, now is the time for business owners to talk to their payroll software provider about what they need to do to meet STP obligations. For those businesses not yet using a payroll software solution, now is the time to move to one.
For businesses with fewer than 20 employees, the MYOB poll showed just 26.6 percent of those surveyed were aware of the upcoming requirement. While the introduction of STP isn’t mandatory for these businesses, it is optional to start reporting now. Using an STP compliant solution can provide a number of benefits including simpler reporting, less errors and easier access to information for employees.
MYOB has worked directly with the ATO to ensure that businesses of all sizes are ready to go for Single Touch Payroll (STP) reporting. MYOB's easy-to-use solutions have been designed to make the transition as smooth as possible ahead of the first deadline of 1st July 2018.
Learn more about how MYOB can help you meet your STP obligations.