Extra super step when hiring new employees

Employers may soon need to do something extra when a new employee starts to work for them. 

Currently, if a new employee does not choose their own fund, their employer can pay contributions for them to a default fund.

From 1 November 2021, if a new employee does not choose a specific fund, their employer may need to request the employee’s ‘stapled super fund’ details from the ATO.

A stapled super fund is an existing account which is linked (or ‘stapled’) to an individual employee, so it follows them as they change jobs.  

Businesses will be able to request stapled super fund details for new employees using ‘Online services for business’, or by asking their registered tax or BAS agent to do this for them.

Good Debt vs Bad Debt

Do you know the difference between good debt vs bad debt? According to researchers the Australian household debt-to-income ratio is the 4th highest globally. As high at 3 out of 4 households have some form of debt. Close to 1 in 3 owes more than 3 x their annual income.

It’s not all bad news though. If you know the difference between good debt and bad debt, you can leverage your situation to help build your wealth. Interested? Read on.

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Jobmaker Hiring Credit coming to an end

We remind clients that the jobmaker hiring credit will be coming to an end on 6 October 2021. Therefore anyone hiring staff should consider doing this before this date.  You will need to check the eligibility of the business, and also the employees. 

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Property Investors on Alert with ATO Tax Traps

Due to the fact that in the 2020 tax year, $38 Billion has been claimed by Australian owned investment properties, the ATO have advised taxpayers of some of the common issues that can delay refunds, or cost taxpayers money in ATO audits. 

The items that happen on regular basis, are taxpayers not declaring all of the rental income they have earned, or forgetting to include capital gains on the sale of their investment properties.  The ATO track these property sales, and is likely to request further information if these items have been omitted in incorrectly reported in the tax returns.