COVID-19 has threatened the livelihood of many businesses and employees. Australian Government has introduced various measures to protect Individuals and employees against this economic downturn.
After having dealt with Forest fires and then floods, the Australian Government is really trying hard to contain the spread and simultaneously providing each economic section of the society with enough to get them through these difficult times.
Here are four measures taken by the government to shield their Individuals and Employees:
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JobKeeper Payment :
This payment scheme is a temporary subsidy for businesses that are significantly affected by COVID-19. This scheme allows eligible employers, sole traders, and other entities to apply to receive $1,500 per eligible employee per fortnight. This is paid to employers only. The ATO does not make payments directly to employees.
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Early release of Superannuation :
From 20 April, eligible individuals will be able to apply online through myGov to access up to $10,000 of their superannuation before 1 July 2020 and up to a further $10,000 from 1 July 2020 until 24 September 2020.
Individuals will not need to pay tax on amounts released and the money they withdraw will not be taken into account under any income or means tests.
The government has also announced that eligible temporary residents will be able to apply to access up to $10,000 of their super before 1 July 2020. -
Reducing Superannuation Minimum Drawdown Rates :
This measure will benefit retirees by providing them more flexibility of how they want to manage superannuation assets. The minimum Drawdown rates have been reduced by 50%. This will enable retirees to protect their assets against current market volatility caused by COVID-19.
If you have already drawn more than the new minimum, you can still elect not to receive any more money from your income account. However, you can not put the money paid above the new minimum back to the income account.
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Work from Home :
A simplified method for calculating your claim for Work from home for your running expense has been introduced. You can claim at a rate of 80 cents per hour of working from home for all your running expenses. This simplified method is available to use from 01 March 2020 to 30 June 2020.
However, you may still one of the existing methods to calculate your running expenses if you prefer to.
