Q & As of the month
Find out what your peers are asking – based on real-life questions submitted to TechConnect.
Q: I have heard that with the reduced JobKeeper Payment rate in late September 2020 there may be instances where clients can ‘double dip’ and claim the JobSeeker Payment as well. Is this true?
A: That is correct, the reduced JobKeeper Payment from 28 September 2020, and adjustments to the income test taper rates for the JobSeeker Payment from 25 September 2020 mean that some clients may be eligible for both the JobKeeper Payment and JobSeeker Payment. Clients who are eligible for a part JobSeeker Payment will also be eligible for the Coronavirus Supplement until 31 December 2020.
Assuming a single client has no other income but the JobKeeper Payment their entitlements under the income test may be summarised as follows:
Standard JobKeeper Payment rate per fortnight
Lower rate per fortnight for eligible employees and business participants who have worked less than 20 hours per week on average in the relevant period
|28 September 2020 to 3 January 2021||$1,200||$750|
|Single JobSeeker Payment^||$34||$304|
|4 January 2021 to 28 March 2021||$1,000||$650|
|Single JobSeeker Payment^||$154||$364|
Please note, the above amounts are indicative numbers only and amounts may be indexed in September.
Other conditions apply
The Government have announced that further mutual obligation requirements will be reintroduced from 4 August 2020. Additional requirements include undertaking appointments with an employment services provider, agree to a Job Plan, undertake a set number of job searchers per month.
In addition to satisfying mutual obligation requirements, clients must have assets below the applicable threshold and be outside any relevant waiting period to be eligible for JobSeeker Payment.
If you have any questions, or would like more information, please contact the IOOF TechConnect team on 1300 650 414.
The information in this section of the website is intended for financial advisers only and is not to be distributed to clients. It has been prepared on behalf of Australian Executor Trustees Limited ABN 84 007 869 794 AFSL 240023, IOOF Investment Management Limited ABN 53 006 695 021 AFSL 230524, IOOF Investment Services Ltd ABN 80 007 350 405, AFSL 230703 and IOOF Ltd ABN 21 087 649 625 AFSL 230522 based on information that is believed to be accurate and reliable at the time of publication.