2022 Small Business Support Grant

Posted on 16 February 2022 | by Allan Hall

2022 Small Business Support Grant

Service NSW has released the detailed Guidelines for the 2022 Small Business Support Grant

The main points are summarised as follows:

The Grant is intended to assist businesses that were impacted by the Omicron wave, particularly businesses in the hospitality and entertainment industries
The Grant will provide cash flow and help these businesses maintain employee-employer relationships.

Available Funding

One-off payment covering the four-week period of February 2022 (NB: No payment for the month of January 2022)
Eligible businesses to receive 20% of weekly payroll for work performed in NSW
Minimum payment of $750 per week up to a maximum of $5,000 per week
Eligible non-employing businesses will receive $500 per week
Weekly payroll amount will be calculated by referring to the most recent BAS or IAS provided to the ATO for a tax period that falls within the 2021-22 financial year
Similar calculation process to JobSaver

Eligibility Criteria

Applicants must have:

Had an ABN and were operating in NSW as at 1 January 2021
Had an aggregated turnover of between $75k and $50m for the year ended 30 June 2020 or 2021 (must use the year for the tax return most recently lodged)
Experienced a decline in turnover of 40% or more due to the impacts of COVID-19 during the month of January 2022, compared to January 2021 or January 2020; AND
Experienced a decline in turnover of 40% or more due to the impacts of COVID-19 from 1-14 February 2022 compared to the same fortnight in the comparison year that you select for the point above

Additionally applicants must:

Maintain employee headcount from January 30 to 28 February 2022
Have had a decline in turnover due to the impacts of COVID-19, not because of other reasons such as seasonal variations

Also:

For non-employing businesses, the business receiving payments must be the primary income source (50% or more) for the associated individual. An associate individual can only claim from one business.

Application Process

Applications opened 14 February 2022 and closes 31 March 2022 — apply via the Service NSW website
Payments will be made in one lump sum covering the four weeks of February 2022
Applicants must advise Service NSW if headcount is not maintained
Applicants will need to upload both the latest tax return that has been lodged and also the BAS used to calculate the weekly payroll amount
Businesses that are not listed in the highly impacted list will need to upload a BAS or a letter from their accountant to evidence that they meet the 40% decline in turnover.

There are alternative tests available for businesses that are impacted but were not operating on 1 January 2021, impacted by acquisition/disposal, bushfires and natural disasters and sole traders impacted by sickness, injury or leave.

Further information, including Grant Guidelines, is available at 2022 Small Business Support Program – Guidelines | Service NSW.

Please be aware that there is a high level of scamming activity around COVID-19 rules and regulations and, in particular, grants and relief. These scams are increasingly sophisticated and many involve impersonation such that they may appear to come from legitimate advisors (such as Allan Hall).

At Allan Hall, we will never request money upfront, deposits, transfers to personal accounts, payments via gift cards or other unexpected or unusual payment methods. If in any doubt, contact us via phone before taking actions that appear to be at the request of Allan Hall.

Why aged care matters

Posted on 7 February 2022 | by Allan Hall

It’s important to explore options whilst you can make informed decisions

The last couple of years have been tough on a lot of people with the COVID pandemic throwing the world into chaos and taking a toll on our physical, mental, financial and emotional wellbeing.

If you have had a family member in aged care over the period of lockdowns and were not able to visit them or help care for them, you were probably even more grateful to the staff who turned up day in and day out to care for the residents. This highlights, even more, the importance of having options when it comes to aged care, and getting it right for you.

Accommodation options in retirement and aged care

Own home – if you choose to remain in your own home there are a range of services that can be provided under a Home Care Package (HCP). These may include personal care, clinical support and light home duties. A HCP can be hard to secure with greater demand than supply. As at 31 March 2021 there were 183,376 people who had accessed a HCP. This is a 20.7 per cent increase since 31 March 2020¹.

There is also a Commonwealth Home Support Program which is assessed by the regional assessment service to determine the type of in-home care needed.

Retirement village – a retirement village is a residential option offering a community lifestyle designed specifically for the needs and lifestyles of people over age 55. Most retirement villages offer self-contained accommodation for independent living. They may also provide services such as meals, cleaning and personal care for an additional fee.

Aged care accommodation – residential aged care is a purpose-built facility that offers specialised care for those who need assistance with their everyday living. The services provided may include:

on-call staff for assistance
meals
basic accommodation services such as furnishings
cleaning and general laundry
bedding
maintenance of buildings and grounds.

Additional services (such as hairdressing, outings or a cafe) are offered by some aged care residential facilities at an extra cost.

Accessing accommodation packages

A conversation with an Aged Care Assessment Team (ACAT) is the key to accessing what packages are available to an individual to help determine if a home care package can be secured, or if entry to residential aged care accommodation is the more suitable option.

An ACAT assessment is done by doctors, nurses and social workers to assess the physical and mental needs of the individual.

Choosing an aged care facility

The decision on which aged care facility to choose is made by the prospective resident and their family. This decision may be largely based on accommodation cost and availability, but consideration should also be given to family circumstances, quality of the accommodation and facilities, reputation of the facility, closeness to family and friends and other personal and emotional factors.

It’s important to remember there are often long waiting lists for entry to many facilities, so it’s a matter of weighing up the urgency of entry and the availability of preferred facilities. The sooner you consider your aged care options and get onto a waitlist, the easier it is to make the transition. In saying this, you should also be prepared to move rapidly once a facility can accommodate you, as places tend to be assigned very quickly and if you take too long to decide, it may be offered to someone else.

Other considerations

This article barely scratches the surface of things you need to know when it comes to your aged care, or that of a family member or close friend. There is a lot to understand when it comes to costs, whether the family home needs to be sold or can be retained, impacts on the age pension for those in receipt of this social security payment and thought to ongoing income.

Talk to a Financial Adviser

With so much to know about this very important decision around how you, or someone you care about, will live out their final years, it’s important to get all the facts from a qualified Financial Adviser who understands the aged care system and can provide options and advice, giving consideration to your individual circumstances.

Make an appointment today to discuss aged care, it’s important to explore your options while you are of sound mind and can make informed decisions.

General Advice Warning

The information contained on this website is general in nature and does not take into account your personal situation. You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice from a financial adviser.

Mark O’Connell, Robin Bell and Allan Hall Financial Planning Pty Ltd are Authorised Representatives of Consultum Financial Advisers Pty Ltd ABN 65 006 373 995 AFSL 230323.

Source

*IOOF Survey 2020: The True Value of Advice – A study of 12,643 Australians is an Authorised Representative of Lonsdale Financial Group, ABN 76 006 637 225, AFSL No 246934. This is general advice only and does not take into account your objectives, financial situation and needs. Before acting on this advice, you should consult a financial adviser.

NSW Before and After School Care (BASC)

Posted on 1 February 2022 | by Allan Hall

Boosting budgets with before and after school care savings for families

Key points

Parents and carers of children enrolled in all primary schools in NSW will benefit from a new $155 million program for Before and After School Care (BASC) services to provide greater support and access to BASC services.

Every family with children at a NSW primary school is eligible for one voucher per child, which will provide each child with approximately 60 sessions of free BASC.
BASC providers will be able to register to redeem the vouchers from 7 February 2022 and parents will be able to apply for and utilise the vouchers from 28 February 2022.
Vouchers will be delivered through Service NSW and will follow a similar premise to the current Dine and Discover Vouchers.

The $500 voucher will assist families that use BASC services by covering the parent gap fee component of their session fees as families return to work following the holidays and contemplate juggling the demands of supervising education at home while working remotely, or even foregoing paid work.

The NSW Department of Education has partnered with Service NSW to roll out the program. The vouchers for before and after school care will help alleviate some of the financial pressures on families.

Families can apply for, store and redeem their BASC vouchers via the Service NSW app, similar to Dine & Discover and other vouchers like Active Kids and First Lap.

Eligible families will receive vouchers via their app just like the Dine & Discover program with providers able to scan the QR code on the spot or use the unique voucher code to redeem.

Providers and customers can register and apply online via a MyServiceNSW account, in the app, or by visiting their nearest Service Centre.

NSW COVID business support package released

Posted on 31 January 2022 | by Allan Hall

NSW Government announces $1bn support package for struggling NSW small businesses.

Targeted package provides support for businesses that experienced cash flow issues and the immediate economic impacts of the Omicron outbreak.

Key points:

Business support to help reimburse the cost of rapid antigen tests
Extension of the Commercial Landlord Hardship Grant
Additional funding for the performing arts sector.

Businesses, workers and the performing arts across NSW are all set to benefit from a major financial support package of more than $1 billion to help those that have been hardest hit by the Omicron wave.

The package includes financial support for small business to buy rapid antigen tests (RATs) to help keep employees safer and a new Small Business Support Program to assist businesses to help keep workers employed.

Whilst COVID-19 case numbers are now declining, the NSW Government is determined to support businesses that have been most affected during the Omicron wave of the pandemic.

Small Business Support Program

Employing businesses with an annual turnover of between $75,000 and $50 million, who have experienced a decline in turnover of at least 40%, will receive a lump sum payment covering up to 20% of weekly payroll, up to a maximum of $5,000 per week for the month of February 2022. The minimum weekly payment for employers will be $750 per week.

Eligible non-employing businesses will receive $500 per week (paid as a lump sum of $2,000).

The support package only covers the month of February 2022. Applications for support are expected to open mid-February and we are awaiting further details to be provided by Service NSW.

NSW fees and charges rebate increased and extended to RAT tests

In addition, the existing Small Business Fees, Charges and Rebate will be increased by 50% from the current $2,000 limit to $3,000 and employing businesses will be able to use the rebate to obtain RATs. This will support worker availability by helping reduce costs to small businesses and enabling healthy staff who have been exposed to COVID-19, but test negative, to return to work.

Commercial landlord relief extended

The protections under the Retail and Other Commercial Leases (COVID-19) Regulation 2021 for small retail and commercial tenants will be extended for an additional two months, until 13 March 2022. This regulation prohibits certain actions by landlords (such as lockout or eviction) unless they have first renegotiated rent with eligible tenants and attempted mediation.

NSW Performing Arts Package extended

The existing NSW Performing Arts COVID Support Package has been extended until April 2022. See CreateNSW for full package details.

SME Recovery Loan Scheme extended

Posted on 17 January 2022 | by Allan Hall

Support extended to SMEs adversely affected by COVID-19

Proposed Scheme extension to offer loans period from 1 January 2022 to 30 June 2022 with a Government guarantee of 50%.

In recognition of the continued economic impacts of the pandemic, the Government announced on 13 December 2021 that it proposes to amend the Scheme Rules to extend the SME Recovery Loan Scheme (under varied terms) to provide support to small and medium enterprises (SMEs) adversely economically affected by coronavirus.

Government and lenders ensure better SME access to finance to maintain and grow businesses.

The Scheme is enhancing lenders’ abilities to provide cheaper credit to otherwise viable SMEs for additional funding to get through the crisis, recover and invest in the future.

The SME Recovery Loan Scheme builds on earlier loan schemes introduced during COVID-19. Under the existing SME Recovery Loan Scheme, loans are available from 1 April 2021 until 31 December 2021 with a Government guarantee of 80%.

Under the proposed Scheme extension, loans will be available from 1 January 2022 until 30 June 2022, with a Government guarantee of 50%.

The Government’s SME Recovery Loan Scheme is designed to support economic recovery and provide assistance to SMEs dealing with the economic impacts of the coronavirus crisis. Treasury’s website will be updated with further information once the proposed amendments to the Scheme Rules have been finalised.

Contact Allan Hall Business Advisors in Brookvale

NSW Commercial Rent Protection

Posted on 7 December 2021 | by Allan Hall

NSW extends commercial rent relief for SMEs to help them recover during this holiday season

The NSW Government extended the rent relief provisions for eligible businesses with a turnover of less than $5 million until 13 January 2022, under the Retail and Other Commercial Leases (COVID-19) Regulation 2021.

If your business is unable to meet lease commitments due to the current COVID-19 public health orders, you may be eligible for protection.

Under the Regulation, retail and commercial property owners must renegotiate rent with eligible tenants in good faith having regard to the leasing principles in the Code of Conduct and the economic impact of the COVID-19 pandemic.

Overview of commercial leasing changes

On 14 July 2021, the NSW Government enacted the Retail and Other Commercial Leases (COVID-19) Regulation 2021 (the Regulation). Amendments passed on 13 August 2021 provide even greater protections to impacted tenants by reinstating National Cabinet’s Commercial Leasing Code of Conduct.

Amendments on 1 December 2021 extend rent negotiation rights to impacted tenants with an annual turnover less than $5 million for the period 1 December 2021 – 13 January 2022.

The Regulation ensures that the economic impact of COVID-19 is shared by property owners and tenants. The protections in the Regulation, combined with the land tax concessions and the newly established Commercial Landlord Hardship Fund, will help limit the long-term economic damage of COVID-19 and maximise the number of businesses that can resume normal operation when public health orders are lifted.

What actions has the Government taken on commercial leases?

Under the Regulation, property owners must negotiate rent relief agreements with eligible tenants in financial distress due to the COVID-19 public health orders.

In negotiating these agreements, property owners and tenants must have regard to the leasing principles in the Code of Conduct, and the economic impacts of COVID-19.

Under those principles, property owners are required to offer tenants rent relief proportionate to the tenant’s decline in turnover. Waivers should make up at least 50 per cent of any rent relief provided. Rental deferrals make up the balance.

If parties are unable to come to an agreement, they must first attend mediation to try and resolve a lease dispute before a lessor can take certain actions against the lessee.

For more information, review the Commercial leases and COVID-19 FAQs on the Small Business Commissioner website or call 1300 795 534.

Contact Allan Hall Business Advisors in Brookvale

Employers’ Biggest Challenges for 2022

Posted on 3 December 2021 | by Allan Hall

3 Tips for Employers

Attracting and retaining good employees has always been a big challenge for businesses, however we now see it looming as a major obstacle for employers in 2022.

Business is looking to boom, but you will need the right team to be able to take advantage of the opportunities.

Why now?

As we come out of nearly two years of unprecedented business disruption and uncertainty due to the COVID-19 Pandemic, a number of factors have combined to produce an extraordinary set of circumstances, including:

business confidence has surged as we come out of lockdown and economic activity is rebounding quickly
the Reserve Bank has increased its forecast GDP growth for 2022, to 5.5%
recruitment activity is now nearly 50% above pre-pandemic levels and job advertisements are now at historical highs
at the same time, unemployment is historically low, and there are now serious and persistent shortages of skilled labour across the country, with trades and technical areas particularly in short supply
with easing concerns over COVID-19, a number of employees are taking the opportunity to re-evaluate their careers and how they want to work in the future, and it has been predicted that this trend will develop further next year as the economy takes off. This phenomenon has now come to be known as, “the Great Resignation”.

As you wind down from 2021 and before the new year gets into full swing, we recommend that you get ahead of the game by following these three tips for employers.

3 tips to attract and retain good employees in 2022

Tip 1: Conduct an employee satisfaction/engagement survey

Take the time to understand how satisfied your employees are with their work and how engaged they are with your business. Employees who are satisfied and engaged, rarely leave, even when offered more money. Consider undertaking an employee survey to help you better understand your employees’ thoughts and feelings and identify any “imminent flight risks”.

Tip 2: Review your employee remuneration, benefits and rewards

With surging economic activity, a booming recruitment market, and skilled labour in short supply, there is likely to be pressure on increasing wages and salaries, particularly as they have remained flat for a number of years. Many employers are also looking at new and different benefits and rewards to make their offer more attractive than their competitors. It is suggested that all employers take the opportunity now to review salaries, wages, benefits and rewards to ensure you remain competitive and well-positioned to retain your valued staff.

Tip 3: Proactively source quality talent

Spend some time forecasting your labour requirements for 2022 and determine if you are likely to need additional skilled staff. The tightening labour market over recent months has seen the number of applicants per job advertised, decline steadily, and clients report that quality candidates are becoming increasingly hard to find. This means that if you are in the market for staff in 2022, you will most likely need to be more creative in how you find the “right” people for your business, and you should consider seeking professional assistance to proactively source the highest quality talent.

Our highly skilled and experienced team at Allan Hall HR have assisted our clients in all these areas, such as engagement surveys, salary reviews and quality sourcing and recruiting of talent.

Please contact us if you would like to discuss your current business situation and people needs. We would be excited to help you prepare for the year ahead with the right team in place to seize all the opportunities coming your way!

Contact Allan Hall Human Resources in Brookvale

Online Witnessing of Legal Forms Passed in Parliament

Posted on 22 November 2021 | by Allan Hall

NSW announces online witnessing measure

The signing of legal documents such as wills, statutory declarations, and affidavits can be done more efficiently with online witnessing of the task.

The legislation that allowed the remote witnessing scheme as a temporary response to COVID-19, is now a permanent feature in NSW.

The Electronic Transactions Amendment (Remote Witnessing) Bill 2021 passed both Houses of NSW Parliament, after an 18-month trial period.

Remote witnessing provides greater choice and flexibility for individuals and businesses, however traditional methods of signing and witnessing documents will remain available.

Attorney General Mark Speakman said people who use remote witnessing for personal, business, and legal documents have found it convenient and efficient, saving both time and money.

“Continuing these measures will benefit people living in rural, regional and remote areas. It will also improve access to justice for vulnerable members of the community including older people, people suffering from illness, or people with a disability,” Mr Speakman said.

To safeguard the risk of fraud, the remote signing must be witnessed in real-time and the witness must be reasonably satisfied they’re signing the same document or an exact copy.

The witness must also endorse the document with a statement that they have complied with the requirements and state the method used to witness the signature.

Working From Home Temporary Shortcut Method Extended

Posted on 27 October 2021 | by Allan Hall

Working from home shortcut method

This method is temporary and can only be used to work out your deduction for work from home expenses:

between 1 March to 30 June 2020 in the 2019–20 income year
for the 2020–21 and 2021–22 income years.

The shortcut method ends on 30 June 2022. To continue to claim deductions for working from home expenses after 30 June 2022 you will need to use either the:

You will need to meet the eligibility and record-keeping requirements for the method you choose to use.

Eligibility

You can use this method if you:

worked from home and incurred some additional running expenses as a result
have a record of the number of hours you worked from home.

How it works

The temporary shortcut method simplifies how you calculate your deduction for working from home expenses.

Using this method, you:

can claim 80 cents per hour for each hour you work from home
can’t claim any other expenses for working from home, even if you bought new equipment.

The shortcut method covers all your working from home expenses, such as:

phone expenses
internet expenses
the decline in value of equipment and furniture
electricity and gas for heating, cooling and lighting.

The shortcut method includes decline in value of all items. If you choose to use this method there is no requirement to separately calculate the decline in value of equipment or depreciating assets or any other working from home expense.

However, as you may need to use a different method to work out your working from home deduction in later years it’s important to keep the:

receipts for depreciating assets or equipment you use when working from home
records of how you calculated your work-related use of the asset
your decline in value calculations.

Record keeping for the shortcut method

You must have a record of the hours you worked from home, for example, a timesheet, roster or diary.

Calculate your work from home deduction

Use the ATO’s Home office expenses calculator to help work out your deduction.

Completing your tax return

Once you calculate your deduction, enter the amount at ‘Other work-related expenses‘ in your tax return. Include in the description ‘COVID-19 hourly rate’.