COVID-19 Financial Support

The Government has released financial support packages to help support business and families during this trying time. Each are outlined below with links to more information.

JobKeeper Payment

The JobKeeper Payment will help businesses to keep people in their jobs so they can earn an income, even if their hours have been cut.  Eligible businesses can access $1,500 a fortnight for 6 months to keep paying eligible employees. The JobKeeper Payment is also available to people who are self-employed.

For information on eligibility and how businesses can apply, visit The Treasury website.

Income support payments

Extra income support payments will be available for people affected by COVID-19:

  • a temporary fortnightly $550 coronavirus supplement from 27 April 2020 if you’re getting an eligible payment
  • expanded eligibility for some payments to make them easier to claim
  • a crisis payment if you need to self-isolate, are in severe financial hardship and you can get an income support payment

Household support payments

There are two automatic $750 Economic Support Payments. If you’re living in Australia and get an eligible payment, you will get two $750 payments:

  • between 12 March and 13 April 2020, and
  • from 13 July 2020

Visit Services Australia for more information on payments and services if you’re affected by COVID-19.

Access up to $20,000 from your super

If you’re affected by COVID-19, from mid-April you can access up to $10,000 of your super in 2019-20. You can also apply to access another $10,000 from your super in 2020-21.

You can access your super if:

  • you are unemployed
  • you are eligible to receive a job seeker payment, youth allowance for jobseekers, parenting payment (which includes the single and partnered payments), special benefit or farm household allowance
  • on or after 1 January 2020:
    • you were made redundant
    • your working hours were reduced by 20 per cent or more
    • you’re a sole trader and your business was suspended or there was a reduction in your turnover of 20 per cent or more

You won’t pay tax on super you withdraw and it won’t affect Centrelink or Veterans’ Affairs payments.

You will be able to apply for early release of your super from mid-April 2020 through myGov. There will be separate arrangements if you have a self-managed super fund (SMSF).

For more information visit The Treasury website.

Drawdown rate for account-based pensions

If you have an account-based pension or a similar product, reduced drawdown rates will apply for 2019-20 and 2020-21. This will reduce your need to sell investment assets to fund minimum drawdown requirements.

Find the reduced drawdown rates on The Treasury website.

Deeming rates for the Age Pension and income support

From 1 May 2020, the upper deeming rate will be 2.25 per cent and the lower deeming rate will be 0.25 per cent.

For more information visit The Treasury website.

Financial support for businesses

To help financially distressed businesses, the Government will:

  • provide up to $100,000 to eligible small and medium-sized businesses, and not for-profits that employ people
  • provide temporary relief for financially distressed businesses
  • increase the instant asset write-off to $150,000
  • provide a 15-month business investment incentive
  • subsidise up to 50 per cent of apprentice and trainee wages for 9 months

For more information and other financial support in your state or territory, visit business.gov.au

Emergency, crisis and legal support

There are free services to help you with food, housing and bills. See urgent help with money.

You can access to free legal advice and support if you need it:

COVID-19 support in your state or territory

Your state or territory government can also help you find support during the coronavirus (COVID-19) pandemic.

Australian Capital Territory

ACT Government – COVID-19 economic survival package

New South Wales

NSW Government – COVID-19

Northern Territory

NT Government – jobs rescue and recovery

Queensland

Queensland Government – COVID-19 economic relief package

South Australia

SA Government – COVID-19

Tasmania

Department of Health Tasmania – COVID-19 response measures

Victoria

Department of Health and Human Services Victoria – COVID-19

Western Australia

WA Government – Coronavirus COVID-19

If you need help please contact the Holzworth Partners team

Accounting Team

accounting@holzworth.com.au

Legal Team

legal@holzworth.com.ai

Advice Team

service@holzworth.com.au

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