What is Single Touch Payroll (STP)

  • Single Touch Payroll (or STP) is a new way of reporting tax and super information to the ATO.
  • It started from 1 July 2018 for employers with 20 or more employees. From 1 July 2019 STP will also apply to businesses with 19 or less employees.
  • You will still process your payroll as usual and provide a payslip.
  • The software sends employees’ tax and super information to the ATO each pay. 
  • Mistakes can be corrected it you following STP report.
  • It means no more payment summaries or payment summary annual report.

What has changed?

Under new legislation, from 1 July 2019 all employers will be required to start reporting through Single Touch Payroll. 

Employers with 5-19 employees (small employers): Gradual transition from 1 July to 30 September 2019. 

Employers with 1-4 employees (micro employers): For those who don’t currently use payroll software, there will be other ways to report STP information.