JobKeeper Wage subsidy for Sole Traders effected by Covid-19

Extract from Government website below

Payment process

Eligible sole traders will be paid $1,500 per fortnight per eligible employee (which may include the individual themselves if they are self-employed). Eligible employees will receive, at a minimum, $1,500 per fortnight, before tax.  Where sole traders participate in the scheme, either they or their employees will receive this Payment in a number of different ways.

  • If the employee ordinarily receives $1,500 or more in income per fortnight before tax, the employee will continue to receive their regular income according to their prevailing workplace arrangements. The JobKeeper Payment will assist the sole trader to continue operating by subsidising part or all of the income for themselves or for their employee(s).
  • If the employee ordinarily receives less than $1,500 in income per fortnight before tax, the sole trader must pay their employee, at a minimum, $1,500 per fortnight, before tax.
  • If the employee has been stood down, the sole trader must pay the employee, at a minimum, $1,500 per fortnight, before tax.
  • If the employee was employed on 1 March 2020, subsequently ceased employment with the sole trader, and then has been re-engaged by the same eligible sole trader, the employee will receive, at a minimum, $1,500 per fortnight, before tax.

It will be up to the employer if they want to pay superannuation on any additional wage paid because of the JobKeeper Payment.

Payments will be made to the sole trader monthly in arrears by the ATO.


The subsidy will start on 30 March 2020, with the first payments to be received by sole traders in the first week of May. Sole traders will be able to register their interest in participating in the Payment from 30 March 2020 on the ATO website.


JobKeeper Wages subsidy for Businesses effected by COVID-19

This package provides a flat minimum payment of $1,500 per employee per fortnight over the next 6 months for businesses affected by COVID-19.

Employee eligibility
Currently employed employees and those stood down are Eligible. They must be Full-time, part-time or casual employees and over 16 years old that have been employed for at least 12 months.

Sole-traders without employees that meet the turnover tests will also be eligible.

Businesses with turnover of up to $1 billion that have seen their revenue drop by 30% due to Covid-19 are eligible to register with the ATO for the JobKeeper subsidy.

The first payment will be made via the ATO from 1 May and will be backdated to 30 March 2020.

What to Claim when working from home?

When working from home I suggest claiming..

Electricity for heating and cooling and depreciation of office furniture – claim at $0.52 per hour. Keep a logbook of the hours worked from home.

Phone and internet – claim a percentage for work related purpose based on estimated actual work related costs.

Stationery – claim based on actual usage. Keep your invoices to substantiate.

Office equipment (EG laptop owned by you not your employer) – claim depreciation based on actual % of work related activities. Invoice required for purchase of laptop.

Give me a call if you need further clarification or would like me to send you the ATO guide.

Cheers Tony Heywood (CPA)

0407 439 063