hiring

Attracting talent to your workplace

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7 Ways to Distinguish your Business in a Competitive Hiring Environment

Businesses need people to serve customers and grow. This requires ‘recruitment’ which can take many forms like hiring full or part-time, subcontracting, and offshoring.

Whatever the approach, a recruitment strategy should help the business to stand out from other options candidates are considering. This is especially important when fewer graduates are taking entry-level positions and attitudes to work are evolving.

We asked some recent graduates what attracts them as potential employers and to provide some examples. Here’s a summary of their feedback.

1. An Employer with Resilience

A majority of graduates said they want to ‘avoid employment uncertainty’, especially when beginning their careers. They prefer to ‘find their feet’ in their first role and MAY consider more ‘risky’ employment options later.

Lesson: A business which shows it has weathered (or even thrived) in tough times (without reducing the team) will be attractive to job seekers.

2. An Employer which Stands Out

A challenge in any industry is to stand out from the competition. Differentiation can take many forms including services, customers, working conditions or culture.

Lesson: Address the question. “How are we different?” throughout the recruitment process. You may not appeal to everyone… but are more likely to attract the candidates that will ‘fit’.

3. An Employer Offering Attractive Compensation and Benefits

This will be a factor in swaying an applicant’s decision, especially when considering several job offers. However, applicants don’t just consider the annual compensation in the first year. Many will look at longer-term earning opportunities, like bonus plans, equity participation, and non-financial benefits.

Lesson: Take a flexible view on compensation. Know that it is important but will mean different things to different candidates based on their ambitions. Tailor packages which will make sense to your target employees.

4. An Employer which is Flexible and Responsive

Many businesses will be on the smaller side (revenues, number of employees, etc.) compared to employers in other industries. But this can be an advantage. A small business can easily design attractive compensation plans, provide exposure to a wide range of duties and be flexible on employment policies. (Compare this to large firms, which can be impersonal and inflexible).

Lesson: Emphasise that you are flexible as an employer (while still maintaining good processes and discipline).

5. An Employer which Offers Advancement Opportunities

Career advancement can mean formal training. It can also mean exposure to new opportunities in a growing, dynamic business which will offer new management positions in the near future. A clearly-defined career path is attractive… but some candidates will recognise that the best and fastest advancement arises in ambitious firms which take on interesting and challenging projects.

Lesson: Demonstrate how people learn in your business both through your professional development activities and because of your bold, innovative approach.

6. A Successful Employer

Success means different things to different candidates but most want to feel proud of their association with their employer. Growth is an obvious indicator of success but other factors include a good reputation, significant customer engagements, industry leadership, prominent partners, a track record of innovation, and community service projects.

Lesson: Highlight your accomplishments, especially those which help you to stand out.

7. An Employer who Takes a Long-Term View

In some industries, businesses have short-term horizons, including the ‘exit’ of the founders as the business transitions to new owners. This can be appealing and exciting but is not ‘normal’ in professional services. A firm that hires entry-level candidates so they can be groomed for long-term success in a growing, vibrant, stable organisation is likely to be attractive.

Lesson: Emphasise long-term commitment to employees since this will attract more loyal employees who want to develop their skills as the firm grows.

How does your business stack up on these criteria? A small tweak in your strategy may yield significant results.

Certified Xero Bookkeepers

Notch Above Bookkeeping are certified Xero bookkeepers and feature agreed-price monthly fees so you know exactly where you stand. No hidden extras and no ticking clock. Browse our range of Xero bookkeeping services below and get in touch today to discuss the plan which best suits the needs of your business.

employee & employer on computer

Getting employees on board for the holiday rush?

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Hiring additional employees to help with surging end-of-year demand?

The New employment form, accessed through ATO online services, will help reduce your administration.

It’s an easy way for your employees to provide you and us with the information the ATO needs. If your new employee has a myGov account linked to the ATO, once signed in they can:

  • access ATO online services
  • go to the ‘Employment’ menu
  • select ‘New employment’ and complete the form.

Your employees will need your ABN to complete the form. When they submit the form, their tax file number (TFN) declaration details are sent straight to the ATO, so you don’t need to do this. The form will then enable them to print and give you the summary of their tax details. You’ll need the summary so you can input the data into your system.

The New employment form can also be used to collect a range of information. For example, employees can use it to authorise variations to the amount you withhold from their pay for tax or the Medicare levy, or to advise you of their choice of super fund. They can also use it to update their tax circumstances with you, for example, if:

  • their residency status has changed
  • they no longer have a government study and training loan
  • they are claiming the tax-free threshold from a different employer.

The downloadable version of the TFN declaration form will be removed by the end of this year.

Certified Xero Bookkeepers

Notch Above Bookkeeping are certified Xero bookkeepers and feature agreed-price monthly fees so you know exactly where you stand. No hidden extras and no ticking clock. Browse our range of Xero bookkeeping services below and get in touch today to discuss the plan which best suits the needs of your business.

payroll

STP Phase 2 reporting

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Getting STP Phase 2 reporting right

Single Touch Payroll (STP) Phase 2 reporting started on 1 January 2022.

So far, more than 200,000 employers have started reporting STP Phase 2 information for over 3 million individuals.

We’ve noticed some mistakes people are making as they move to STP Phase 2 reporting and are sharing the most common mistakes so you can avoid them, such as:

  • re-mapping pay codes or categories incorrectly. Check if you have pay codes for items you need to list separately, such as bonuses, commissions and overtime
  • continuity of year-to-date (YTD) reporting. If the solution you use requires you to input your existing YTD amounts manually; make sure you bring over all the amounts you need to
  • incorrectly categorising allowances. You must report all allowances separately in your STP Phase 2 reporting, which includes 8 allowance categories and one for ‘other allowances’. Only report an amount as an ‘other allowance’ if it doesn’t fit into one of the 8 categories.

Certified Xero Bookkeepers

Notch Above Bookkeeping are certified Xero bookkeepers and feature agreed-price monthly fees so you know exactly where you stand. No hidden extras and no ticking clock. Browse our range of Xero bookkeeping services below and get in touch today to discuss the plan which best suits the needs of your business.

Related reading

Single Touch Payroll changes 2022

Source: ATO

cafe counter front of house

Minimum wage increase for some awards from 1 October 2022

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Minimum wages in 10 awards in the aviation, tourism and hospitality sectors increase from 1 October 2022

Following the Annual Wage Review 2021-22, the Fair Work Commission (the Commission) announced:

  • an increase to the National Minimum Wage of $40 per week, which amounts to an increase of 5.2%
  • an increase to award minimum wages of 4.6%, which is subject to a minimum increase for adult award classifications of $40 per week and based on a 38-hour week for a full-time employee.

Other award wages, including junior, apprentice and supported wages that are based on adult minimum wages, get a proportionate increase.

The increases to award minimum wages in 10 aviation, tourism and hospitality sector awards start from the first pay period on or after 1 October 2022.

The increases to the National Minimum Wage and to award minimum wages in all other awards started on the first pay period on or after 1 July 2022.

The Fair Work Ombudsman’s pay tools, information and resources have been updated with the new pay rates and allowances.

Contact the team at Notch Above Bookkeeping for clarification around payroll requirements on 1300 015 130.

Source: Fair Work Ombudsman

green payroll binder

Superannuation Guarantee changes

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Is your system updated for the latest SG changes?

From July 2022, the $450-per-month super guarantee (SG) eligibility threshold was removed.

This means that if an employee meets the other SG eligibility requirements, you must pay them SG, regardless of how much they earn. However, employees under 18 must still work more than 30 hours in a week to be eligible.

It’s important to make sure your payroll and accounting systems have been updated for salary and wages paid from 1 July 2022. This will ensure you correctly calculate your employee’s SG entitlement.

An employee’s eligibility for SG is determined when they are paid, not when they earn the income.

This means if you pay an eligible employee on or after 1 July 2022, you need to pay their super regardless of how much they have earned – even if all or part of the relevant pay period is before 1 July.

The ATO’s Superannuation guarantee eligibility decision tool can help you determine if your employees, including any contractors treated as employees for super purposes, are eligible for super.

You can also check out the Super guarantee contributions calculator to help you work out how much super you need to pay.

Check ATO guidelines to help you understand the changes and contact the team at Salisburys on 02 6041 3014 to find out what they mean for your business.

More payroll changes

Single Touch Payroll changes 2022

Source: ATO

 

payroll

Single Touch Payroll changes 2022

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There have been changes to Single Touch Payroll (STP)

Employers are required to report additional payroll information now or once your payroll product is ready.

You need to start reporting additional information on or before each pay day — this is known as STP Phase 2.

STP Phase 2 started on 1 January 2022

Some Digital Service Providers (DSPs) need more time to update their payroll software products and transition users. If your DSP has a deferral, this covers you.

It’s important you understand which of the following circumstances apply to you:

  • Your payroll product is ready — it’s time for you to start STP Phase 2 reporting now or have a plan in place to transition as soon as possible
  • You are covered by a DSP deferral — know when your product will be ready and that you are ready to start Phase 2 reporting when it has been updated, or no later than the first payday after your DSP deferral expires:
    • Xero 31/12/2022
  • Your payroll product is not being updated to offer STP Phase 2 reporting — your DSP will let you know if they have another product you can use. If not, you’ll need to choose a product that offers STP Phase 2 reporting.

If you’re unsure as to which of these circumstances applies to you, speak with your provider or your BAS professional.

What you need to do

Many DSPs are releasing changes progressively. Your DSP will provide you with instructions so it’s essential that you follow them.

The ATO has compiled some resources to help business owners to understand the changes and prepare. These include a factsheet, checklist and detailed reporting guidelines which outline the STP Phase 2 reporting requirements. These can be accessed at ato.gov.au/STPresources.

The additional STP information is intended to help Services Australia customers, who may be your employees, get the right payment. It will also reduce the need for you to provide information about your employees to multiple government agencies.

Need extra time to transition?

You can apply for a delayed transition if you need more time to start STP Phase 2 reporting. Visit ato.gov.au/delayedstp2transitions to find out how to apply.

Source: ATO

payroll

Prepare Payroll for year end

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What you need to do with Payroll for year-end

With the end of the financial year approaching, follow these steps to ensure that your payroll and payroll summaries are in order.

Overview

  • If you haven’t opted into Single Touch Payroll (STP), review your employee PAYG payment summaries – individual non-business.
  • If you have opted into STP, sign off your STP data and send it to the ATO.
  • Create summaries for labour-hire and some employment termination payments (ETPs).

If you’ve opted in to STP before 1 July 2020, you can’t produce payment summaries for the 2020 financial year. Instead, file a pay run in the 2019/2020 financial year and then finalise your STP data.

Before you begin

  • If you’ve set up STP, you don’t need to file PAYG payment summaries. Instead, ensure that you finalise your STP data so the relevant information is automatically sent to the ATO.
  • You can send or print summaries for ETPs – Type R or O. You need to manually produce summaries for labour-hire and other ETP types.
  • You need payroll admin access to prepare payroll data for the end of the financial year.

Review payroll transactions

At the end of the financial year, reconcile your payroll to the general ledger and fix any errors. Ensure you’ve posted your last pay run for the financial year before continuing.

Reconcile payroll data with the general ledger

Run the Payroll Activity Summary report and make sure you select all employees and the financial year you’re checking.

Run the Trial Balance report, select the last date of the relevant period and sort by account name.

Use the following table to check your payroll data by matching the report balances in your Payroll Activity Summary report and the Trial Balance report:

Matching report balances
In your Payroll Activity Summary In your Trial Balance report
Total Earnings should match Total Wages and Salaries
Total Super should match Total Superannuation
Total Tax should match Total PAYG Withholding Payable

If balances don’t match, check your pay run history to find the pay run with the error and process an adjustment.

Once all balances are correct, you need to review the payment summary amounts.

Review payment summary details and fix any errors

Run a Payment Summary Details report, select all employees and the financial year you’re checking before reviewing the amounts for each employee.

If you find any incorrect amounts in the payment summaries, you’ll need to fix these before you continue.

What’s next?

Once you’ve generated payment summaries for your employees, you can submit these to the ATO.

Setting yourself up for the new year

Financial year-end is the perfect time to do a payroll check-up, celebrate your successes, and refocus on business goals.

For more Xero payroll, advice and bookkeeping essentials for your business, visit How We Help You and get started today with Notch Above Bookkeeping, Australia-wide.

Source: Xero

bookkeeping

EOFY resources for small business

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End of financial year resources for your small business

Get help with tidying up the books and wrapping up the accounts this end of financial year (EOFY).

Dates to mark in your diary

Here are the key EOFY milestones you need to know. Check out Xero’s handy key dates calendar so you can meet your year-end requirements on time.

  • 30 June: The Australian financial year runs from 1 July to 30 June. At midnight on 30 June, the financial year ends and your business books are closed off. Super contributions must be paid to qualify for tax deductions.
  • 14 July: Reconcile your payroll in Xero so you can submit your end-of-year finalisation declaration via Single Touch Payroll (STP) by 14 July. Your employees can then complete their income tax returns.
  • 28 July: Lodge and pay your Q4 business activity statement (BAS). If you lodge online, you may be eligible for a two-week extension. If you have employees, your super and PAYG instalments are also due.
  • 31 Oct: You have until 31 October to submit your tax return, but there are exceptions. Check the ATO website or ask your tax agent.

Processing payroll

Understand how to review, reconcile and amend your payroll, so you can finalise and lodge your Single Touch Payroll (STP) declaration by July 14.

First-timers

If it’s your first time using Xero to complete your end of financial year:

Pros

If you’ve used Xero to complete your end of financial year before:

Closing the books

Familiarise yourself with bank reconciliations, closing off accounts in Xero, EOFY adjustments and more.

First-timers
Pros

Setting yourself up for the new year

Financial year-end is the perfect time to do a check-up, celebrate your successes, and refocus on business goals.

For more Xero tips, advice and bookkeeping essentials for your business, visit How We Help You and get started today with Notch Above Bookkeeping, Australia-wide.

Source: Xero

green payroll binder

Employer guide to family and domestic violence

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What are your legal responsibilities as an employer?

As an employer, you need to be aware that the Fair Work Act provides minimum entitlements for employees.

Employers can provide more than the minimum entitlements under workplace policies, enterprise agreements and informally.

Under the Fair Work Act, employees dealing with the impact of family and domestic violence can:

  • take unpaid family and domestic violence leave
  • request flexible working arrangements
  • take paid or unpaid personal/carer’s leave, in certain circumstances.

Unpaid family and domestic violence leave

Employees (including casual and part-time employees) are entitled to 5 days of unpaid family and domestic violence leave each 12 month period. This leave:

  • doesn’t accumulate from year to year if it isn’t used
  • is available in full when an employee starts working at a new workplace
  • renews in full at the start of each 12 month period of employment
  • can be taken as a single continuous period or separate periods of one or more days.

Employers and employees can agree for an employee to take less than one day at a time, or for the employee to take more than 5 days of leave.

What is family and domestic violence?

The Fair Work Act defines family and domestic violence as violent, threatening or other abusive behaviour by an employee’s close relative that seeks to coerce or control the employee and causes them harm or to be fearful.

Who is a close relative?

A close relative is:

  • an employee’s:
    • spouse or former spouse
    • de facto partner or former de facto partner
    • child
    • parent
    • grandparent
    • grandchild
    • sibling
  • an employee’s current or former spouse or de facto partner’s child, parent, grandparent, grandchild or sibling, or
  • a person related to the employee according to Aboriginal or Torres Strait Islander kinship rules.

When can employees take unpaid family and domestic violence leave?

Employees can take leave when they:

  • are experiencing family and domestic violence
  • need to do something to deal with the impact of that violence
  • it’s impractical to do so outside their ordinary hours of work.

Notice and evidence

If an employee takes family and domestic violence leave, they have to let their employer know as soon as possible. This can happen after the leave has started. Employees also need to tell their employer how long they expect the leave to last. An employer can ask for evidence, which can include:

  • documents issued by the police
  • documents issued by a court
  • family violence support service documents, or
  • a statutory declaration.

Confidentiality

Employers have to take reasonably practical steps to keep any information about an employee’s situation confidential when they receive it as part of an application for leave. This includes information about the employee taking family and domestic violence leave, including leave records as well as any evidence provided by the employee.

Employers aren’t prevented from disclosing information if it’s:

  • required by law, or
  • necessary to protect the life, health or safety of the employee or another person.

Employers need to be aware that any information about an employee’s experience of family and domestic violence is sensitive. If information is mishandled, it could have adverse consequences for their employee including serious injury or harm. It is recommended that employers work with their employee to discuss and agree on how this information will be handled.

Visit fairwork.gov.au to learn more about family and domestic violence leave including access to their free resource Employer Guide to Family and Domestic Violence.

Certified Xero Bookkeepers

Notch Above Bookkeeping are certified Xero bookkeepers offering agreed-price monthly fees so you know exactly where you stand. No hidden extras and no ticking clock. Browse our range of Xero bookkeeping services below and get in touch to discuss which plan best suits the needs of your business.

Source: Fair Work Ombudsman