What is Single Touch Payroll (STP)?

Single Touch Payroll (STP) is a new, simpler way for employers to report employees’ payroll information to the Australian Taxation Office (ATO), on or before the day employees are paid.

Single Touch Payroll will be required for all employers by 1st July 2019. Worried? Don’t be. We’ll do the heavy lifting – BiYP makes it easy by automatically reporting to the ATO with our payroll software.

With STP, instead of employers completing and submitting payments summaries and group certificates at the end of the financial year, that is now taken care of every time you pay your employees.

The ATO requires small business owners report the following employee information before or on each pay day:

  • Salaries, wages, and any other payments made to employees
  • Pay as you go (PAYG) withholding
  • Superannuation information

So what does this mean for you? Remember, the payment process will not change. The only thing changing is how you report this information to the ATO.

Why do I need STP?

Because the ATO has advised that from 1 July 2019 all businesses with employees must do this. That means you!

When will small and micro business owners need to be STP compliant?

Small and micro business owners can start reporting directly to the ATO from 1 July 2019. 

How do I become STP compliant?

Generally speaking, when you want to drive your car, you don’t need to know how your engine works. You simply want to get from (point) A to (point) B. In the same way, we take care of the STP process for you without you having to look under the hood. We do the heavy lifting, making it seamless and simple on your end. Bonus? You can do it all from your smartphone.

How does STP affect employees?

It doesn’t. Employees are not affected by STP. They need only worry about receiving their payslips, which can be easily emailed to them through the BiYP app.

How often do I need to report payroll information to the ATO?

You, the business owner, are now required to report payroll information to the ATO on or before each day your employees are paid. In other words, every pay day.

Does STP affect me if I report manually?

If you report manually, you are not Single Touch Payroll compliant. To meet your reporting obligations, you need to purchase a
payroll solution, like BiYP, that will meet your payroll reporting obligations on your behalf.

Can I opt in now and start using STP later?

You should only opt in once you want to start filing using STP. Once you’ve opted in, you won’t be able to opt out again.