Wage subsidy applications for employees close 30 June

Posted on 7 June 2022 | by Allan Hall

Be quick to claim yours!

Overview of the Boosting Apprenticeship Commencements (BAC) wage subsidy

The Boosting Apprenticeship Commencements (BAC) wage subsidy supports employers of any size in onboarding new apprentices.

The subsidy is not just for traditional apprentices or young people (although it does also apply to them). Employers who organise training for their employees through Group Training Organisations may also be eligible – see eligibility criteria below.

Group Training Organisations must pass on the BAC and CAC payments to the host employer. Employers (via the Group Training Organisation) will be eligible for the wage subsidy for up to 30 approved employees registered for training.

Businesses that employ an Australian Apprentice for training between 5 October 2020 and 30 June 2022 may be eligible for a subsidy of 50% of the gross wages paid. The subsidy is for a maximum of $7000 per quarter, per eligible employee, for wages paid in the 12-month period from the date they start.

Payments will be made quarterly in arrears into the employer’s nominated bank account. Employers are encouraged to submit claims as soon as possible after the relevant claim period opens.

Eligibility Criteria

The subsidy is available to employers of any size, industry, or geographic location.

Your business may be eligible if:

You engage an Australian Apprentice between 5 October 2020 and 30 June 2022
Your Australian apprentice or trainee is undertaking a Certificate II or higher qualification and has a training contract that is formally approved by the state training authority.

Please note, you may still be eligible for the wage subsidy if your employee is registered prior to 30 June 2022 to complete the training, and the required application is completed / approved.

Additional eligibility requirements apply to existing workers.

The employee must not be:

Employed as a casual or contractor
Sole director of the employer company
Sole trader
Majority shareholder in the employer company
Partner in a partnership (of the employing business)
Trustee in a trust (of the employing business)

For further information regarding eligibility refer to the Department of Education, Skills and Employment Q&A here »

Moving forward – the Completing Apprenticeship Commencements (CAC) wage subsidy

After 12 months of this support, employers may be eligible to transition to the time-limited Completing Apprenticeship Commencements (CAC) wage subsidy for the second and third years of an apprenticeship.

Under this scheme, eligible employers will receive a 10% wage subsidy in the second year of an eligible apprenticeship, up to a maximum of $1500 per quarter per apprentice, and a 5% wage subsidy in the third year of their apprenticeship, to a maximum of $750 per quarter per apprentice.

How to apply for BAC and CAC

Employers must set up a Digital Identity (such as myGovID and link it to your business)

Employers should then check their eligibility using the Apprenticeship Data Management System (ADMS)

If eligible, a form will be created in ADMS and you will receive an email notification inviting you to make the claim

When ready to claim, go to ADMS Website and log in using your myGovID, fill in the form and upload evidence for your apprentice and submit application. The ADMS will assist in calculating the subsidy amount you may be able to claim

Once you have submitted the claim, you will receive an email notification with the outcome.

Alternatively, there are a number of third-party providers who can assist. You simply provide them with details of your eligible employees and they do the rest.

Other rebates available

Wage subsidies are also available for employees who have been hired through an employment services provider, and fit the following criteria:

15 to 29 years of age
Indigenous Australians
50 years of age and above
A parent
Registered with an employment services provider for 12 months or more

For more information please check out the Australian Government Wage Subsidies Fact Sheet »

Contact us

Our experienced HR Consultants are available to support you with any employee-related questions. Please get in touch with us today on 1300 675 393 or at [email protected].

Claiming Family Tax Benefit and Child Care Subsidy

Posted on 8 March 2022 | by Allan Hall

REMINDER: Claim Family Tax Benefit and Child Care Subsidy by 30 June

Confirm your income now for the 2020/21 year to receive the Family Tax Benefit (FBT) or Child Care Subsidy (CCS).

You need to confirm your income by lodging your tax return for the 2020/21 year, or advising that you do not need to lodge a tax return, no later than 30 June 2022, if you wish to:

Submit a claim for the 2020/21 year for Family Tax Benefit (FTB) (lump sum)
Submit a claim for the 2020/21 year for Single Income Family Supplement (SIFS)
Ensure you continue to receive your Child Care Subsidy (CCS)

If you DON’T do this:

You will not receive your FTB supplements and top ups for the 2020/21 year
Your CCS will reduce to zero – Services Australia will balance CCS once they receive:
- all attendance information from your child care service
- confirmation of your family’s income
You may also be required to repay all the FTB and CCS you got for the 2020/21 financial year.

If you are eligible the Child Care Subsidy (CCS) is paid directly to your child care provider to reduce the fees you pay. CCS claims can only be backdated by 28 days. CCS replaced Child Care Benefit and Child Care Rebate when they stopped on 1 July 2018.

Act now!

To ensure both you and your partner’s Tax Returns are lodged on time, please contact your Allan Hall Business Advisor or simply click below.

We are anticipating a high demand off the back of this article. To enable us to lodge your returns by the 30 June deadline, we would encourage you to send in your information as soon as possible and no later than 31 May 2022.

Boosting Apprenticeship Commencements

Posted on 24 March 2021 | by Allan Hall

Expansion of the targeted wage subsidy program

An extension to the apprenticeship wage subsidy program for another 12 months has been announced.

The Boosting Apprenticeship Commencements wage subsidy program is fully subscribed, helping create 100,000 apprenticeships in less than five months.

The Program will now become demand driven and expanded for a full 12 months for new apprentices and trainees signed up prior to 30 September 2021. It is estimated that this demand driven expansion will generate around 70,000 new apprentice and trainee places, with the Government investing around $1.2 billion.

Eligibility requirements

A business or Group Training Organisation may be eligible if:

you engage an Australian Apprentice between 5 October 2020 and 30 September 2021, and
your Australian Apprentice or trainee is undertaking a Certificate II or higher qualification and has a training contract that is formally approved by the state training authority.

How much is the subsidy?

Eligible employers and Group Training Organisations will receive a wage subsidy of up to 50 per cent of the Australian Apprentice’s gross wage paid.

The subsidy is available for Australian Apprentices commencing or recommencing between 5 October 2020 and 30 September 2021.

The wage subsidy is available for a maximum of $7,000 per quarter, per eligible Australian Apprentice, for wages paid in the 12-month period from date of commencement or recommencement.

Additional information

The subsidy is available to employers of any size, industry or geographic location.
The subsidy is not available to any apprentice receiving any other form of Australian Government wage subsidy e.g. Supporting Apprentices and Trainees or JobKeeper.
Payments will be made quarterly in arrears, with first claims for the subsidy available from 1 January 2021.
Final claims for payment must be lodged by 31 December 2022.
The 100,000-cap limit has been removed to provide additional support to employers and Group Training Organisations.

How to apply or find out more

Creating jobs, generating economic opportunities and boosting the skills of workers lies at the heart of Australia’s National Economic Recovery Plan.

For further information on how to apply for the subsidy, including information on eligibility, contact an Australian Apprenticeship Support Network provider.