Single Touch Payroll Australia

Hi Tony,

Thanks very much for your reply. Could you elaborate a little as to the process, do you mean using your auskey logging into the ATO portal and uploading your file similar to uploading an aba file? When I look at the ATO portal the single touch payroll reports section appears to only display already lodged stp (which I haven’t done yet) should I be going to the area where you can upload a file? If so does Manager generate the required file to upload?

Thanks very much,

The ATO can help you with the procedure for using STP on the Business Portal. Manager doesn’t generate the file to upload.

Thanks for the prompt response.

Can I confirm that it is possible to continue using manager whilst being STP compliant? Will this process of logging onto the ATO business portal be required every payroll? Will like other accounting solutions manager submit the required information? Unfortunately, I am unable to see the section that you are referring to on the ATO website? Thanks for all of the help, I understand that it is not really a manager issue, but I am sure you can understand the concern that the ATO’s new policy bring me.

Thanks again

My reading of the ATO site is it does not support manual payment through them, in particular it is not one of the options listed under “How to report” https://www.ato.gov.au/business/single-touch-payroll/about-single-touch-payroll/

In contrast other software vendors have a clear strategy
Xero https://www.xero.com/blog/2018/03/single-touch-payroll/
Myob https://www.myob.com/au/support/single-touch-payroll
Quick Books http://intuitglobal.com/au/get-ahead/single-touch-payroll/

The process described by Australian business software industry association, looks rather involved https://www.absia.asn.au/page/ato-stp-products so I suspect the only viable option for businesses with more than 20 employees at 1 April 2018 is to get a third party to do it, buy specific payroll software or change their accounting package. Alternatively a business or software vendor can apply for a delayed implementation (assuming they have a plan to achieve one touch payroll).

You are correct. Pay Event Transactions can only be uploaded from STP enabled payroll software.

Hi,

Thanks for all of the assistance. Can I confirm that Manager is not STP compliant? Would Australian businesses be able to use manager in conjunction with a site such as https://singletouch.com.au/ in order to be compliant? Would Manger be able to create a suitable csv that could be uploaded to the singletouch website from which they will submit it on your behalf? If these is not the case does this render manager useless for Australians? Is there another way of lodging the required single touch payroll information? Thanks for all of the assistance, I understand that I am quite a novice in this particular area

Single Touch Payroll won’t be part of Manager. It will be a separate add-on which will integrate with Manager. It should be available before end of this year.

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Whew! This news is a great relief to me. I was starting to think I would be faced with persuading my paperwork hating tradie to learn a new software package. We actually have until 1 July 2019 to get on top of this change so I’ll relax now and keep an eye out for updates. Thanks. Mary

And just for the sake of letting off some steam, I think it’s a damn cheek for our politicians to impose a change on small businesses, which includes a significant annual expense, for the purpose of providing a government department with information it wants. Mary

I agree, well said Mary. Just more red tape and regulation.

Same in NZ ird are making it so small business will have to end up paying for MYOB or xero just to get a payroll for one or two employees. I just built my own payroll with everything in it and it works really well.

As we are now entering December, is the project to get STP module up and running still on track?

@Elfroar no work is being done on STP at the moment, mostly because it’s not mandatory until at least July 2019. However, there are other countries switching to online lodgement systems earlier than that. So I’m not particularly looking at STP right now. I’m looking into generic approach how to implement this across many countries and this will have to be complete by end of March 2019.

As for STP, don’t worry. We are based in Australia after all. And we have plenty of Australian users - we cannot afford not to have it.

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All employers with 20 or more employees have had to report via single touch pay roll since 1 April 2018 so must now no longer use manager.io for payroll

Only employers with 19 of fewer employees have until 1 July 2019 to comply with STP reporting requirements but are encouraged to achieve it prior to that time. After then ALL employers will no longer be able to use manager.io for payroll on Australia.

It is a difficult judgement call to guess if Manager.io will be compliant with STP by 1 July 2019 or not. I believe it requires API support and an external supplier to offer a compliant product. I suspect at this time it is probably wise for all employers to look at moving their payroll to another platform given this uncertainty.

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I am concerned about waiting until March to see if Manager will have STP available. If it doesn’t that will leave very little time to get sorted. That would be just 3 months to switch to another platform and, biggest issue of all, get our people using it correctly.

Say, this is quite interesting. Copied from the ATO website just now. I’ve been hoping they would have an alternative for people with only a few employees. Reporting weekly doesn’t bother me at all so long as I don’t have to pay a small fortune for the privilege.
"We won’t force employers with 19 or less employees to purchase payroll software if they don’t currently use it. Different STP reporting options will be available by 1 July 2019 to help smaller employers.

We have asked software developers to build low-cost STP solutions at or below $10 per month for micro employers – including simple payroll software, mobile phone apps and portals.

We have received over 20 expressions of interest (EOI) from software developers and will publish a register of the successful EOIs we have received by 30 November 2018.

Micro employers (1–4 employees) will also have a number of alternate options that are not available to employers with 20 or more employees – such as initially allowing your registered tax or BAS agent to report quarterly, rather than each time you run your payroll.

@ Mary,

I really think that Manager has no option but to get compliant quickly with STP (single touch payroll) and SBR (standard business reporting). Otherwise Manager becomes a very good software, but only useful for home budgeting, or other non-reporting type businesses (e.g. shady ‘cash only’ private concerns). It would be a real shame if Manager were relegated to that scenario. I use Manager, but I use other software (Free) for STP & SBR. Can’t say on here what those are because TUT informed me it’s not kosher to mention names of other software.

Just my humble opinion. :blush:

@Harry2 What other software products do you use to extend Manager.io functionality (while it does not currently support those functions)? An interim solution to STP and SBR would be appreciated however I agree native support would be preferable.

Oops
Apparently Software which extends Manager.io functionality or corrects a deficit in it, is banded on this forum so the above question can not be answered with a public post here. I think private messaging of this information is allowed on this forum.

Hi Lubos

What a great time to get Single Touch Payroll up and running ASAP now that it is law for under 20 staff.

There are so many schools out there that run their P&C or P&F committee’s with no software. They all usually have a canteen lady that is paid a wage and will need a solution. The sooner you get this up and running, the quicker you could get this out to schools as a fix…

Please do not make us wait…

Is there any update to Manager providing support for Single Touch Payroll (STP). Currently running a charity with no paid staff but will be putting one on from around 1 July. If no integration or simple to use solution, then may have to ditch Manager.