Published on 24/09/2019 by Any Business.Com.Au

Minimum Wages - Where do I find them?

Wages and employment conditions are often one of the first things a potential employee will consider about a job. They are also an effective way to reward employees according to their skills and experience. That's why you need to understand your obligations as a business owner and an employer to uphold the entitlements of your staff.

As an employer, you must pay your employees at the correct rate, as well as any entitlements they are eligible for. This includes minimum wage, parental leave, sick leave or overtime rates.

The wages and entitlements your employee is eligible for can depend on:

  • their age
  • the state they're in
  • your industry
  • their qualifications
  • their work duties and responsibilities.

Working out pay for your employees

To help you work out what you need to pay your employees, the Fair Work Ombudsman (FWO) has created a Pay Calculator. You can use this online tool to calculate modern award pay rates for your employees, including:

  • base pay rates
  • allowances
  • overtime and penalty rates
  • pay rates per hour
  • pay rates for entire shifts
  • their employment status (full-time, part-time, casual).

National minimum wage in Australia

The current minimum wage in Australia is $740.80 per week, which equates to a minimum hourly rate of $19.49.The minimum wage is the absolute lowest that an employee can be paid. This minimum wage was set on May 30, 2019 and must be adhered to by all businesses operating in Australia.

The increase applies to employees that get their pay rates from:

  • the national minimum wage
  • a modern award
  • in some cases, a registered agreement.

Single Touch Payroll

The Australian Taxation Office (ATO) introduced the Single Touch Payroll in July 2018, changing the way certain businesses report employee tax and super to the ATO.

For employers with 20 or more employees, you need to report to the ATO each time you pay your employees. The information you need send to the ATO includes your employees' salaries and wages, allowances, deductions (for example, workplace giving) and other payments, pay as you go (PAYG) withholding and superannuation.

From 1 July 2019, Single Touch Payroll will be extended to include employers with less than 20 employees.

The changeover will be gradual, and when you need to start reporting through Single Touch Payroll will differ depending on how many employees you have.

Head to the ATO website to find out more on the Single Touch Payroll.


Checkout our listings here
Ab Assets/Broker Avatar

AnyBusiness.com.au

Curtis is a leading expert in the business-for-sale industry, serving as a senior content creator at anybusiness.com.au.

With a career spanning over fifteen years, Curtis has accumulated extensive knowledge in the domain of business sales, acquisitions, and valuations. His deep understanding of market dynamics and his ability to translate complex industry jargon into accessible insights make him a trusted resource for entrepreneurs and business owners looking to buy or sell businesses.

Related articles

23/10/2020 by AnyBusiness.com.au
Are you planning on buying a business for investment or as an owner-operator? These are two completely different propositions suited to quite distinct types of people. Both investment types have a level of risk and demonstrate an entrepreneurial streak, with one being more of a passive investment and the other being an active investment.Managed InvestmentsIf you're planning on buying a business as a managed investment, you ...