Running a business is not easy. Do you know as an employer you have many obligation and compliance.
If you employ staff, started on 1 July 2018 for employers with 20 or more employees and 1 July 2019 for employers with 19 or fewer employees and is a mandatory obligation to use Single Touch Payroll.
What is Single Touch Payroll?
Single Touch Payroll (STP), is an Australian Government initiative to reduce employers’ reporting burdens to government agencies.
With STP, you report employees’ payroll information to us each time you pay them through STP-enabled software. Payroll information includes:
- salaries and wages
- pay as you go (PAYG) withholding
- superannuation.
What is STP-enable software?
It is a payroll software solutions available for employers.
How you send STP information to Australian Tax Office (ATO) depends on the software you use. There are three types of solutions. After you run your payroll you can either send the STP information:
- directly to ATO from the payroll software
- through a third party sending service provider (SSP) which is integrated into your payroll software
- through a third party sending service provider (SSP) service which is outside your payroll software.