What You Need to Know About STP Phase 2

 

Home / Blog / What You Need to Know About STP Phase 2

 

What You Need to Know About STP Phase 2

 

Author: Nirmit Desai, Consultant

Published: 19th April 2022

 

What is Single Touch Payroll Phase 2?

In the 2019–20 Budget, the government announced that Single Touch Payroll (STP) would be expanded to include additional information. The expansion of STP, also known as STP Phase 2, reduces the reporting burden for employers who need to report information about their employees to multiple government agencies. It will also help Services Australia’s customers, who may be your employees, get the right payment at the right time.

STP Phase 2 improves the visibility of payroll data, reducing manual processing and duplicate processes. The mandatory start date for Phase 2 reporting was 01/01/2022, however Scope Systems customers using the Pronto Xi Payroll module have a deferred start date of 01/01/2023.

 

What this Means for You

If you are one of our customers using the Pronto Xi Payroll module then you are covered by the deferred start date (01/01/2023), providing you keep using the Pronto Xi Payroll module covered by the deferral.  The deferred start date covers you up to the last possible payday within the deferral period granted. The deferral period allows you time to transition to the new Single Touch Payroll Phase 2 reporting requirements.

It is important for you to work through all the steps necessary for moving from the way you are currently reporting payroll – to being ready and able to report as required for STP Phase 2. If you will not be ready by the end of the deferral date and need additional time to get your systems ready then you will need apply for your own deferral separately. 

 

STP Phase 2 Key Changes 

Most of the additional information you need to report should already be captured in your Pronto Xi Payroll screen.

The key changes to the STP report include:

  • Disaggregation of gross
  • Employment and taxation conditions
  • Income types
  • Country codes
  • Child support garnishees and Child support deductions
  • Reporting previous Business Management Software IDs and Payroll IDs

 

Key Dates

There are a few key dates to keep in mind during the transition to STP Phase 2:

  • STP Patches will be received by the second week of July.
  • STP Patch will be released for V760 only and then lower versions (earliest version patches will be V730 and above).

These lead times will give you time to test and ensure you have the processes in place for STP Phase 2 reporting when the deferral ends. If you are using an earlier version of Pronto Xi from 670 to 720 – you will need to upgrade as STP Phase 2 will not be supported on these versions.

 

What you Need to Do

There are a few tasks you can do to get ready for STP Phase 2, these include:

  • Updating historical data.
  • Review Pay code settings.
  • Ensure your existing processes can be completed with the new STP Phase 2 patches in place.

One of the key tasks you will need to do to get ready is familiarising yourself with the main changes to the Pronto Xi Payroll screens, particularly the Pay code screen in the ATO reporting section. You will need to check your pay code settings before you begin to report under STP Phase 2. Under the STP Phase 2 changes the pay codes are classified into categories, another change is that you will need to report allowances separately across most income types.

These upcoming changes will be included in the STP Phase 2 patches being received by the second week of July. We will work together to set aside time for software reconfiguration and your own testing. We will be in contact with you to organise the deployment of these patches, working with you to ensure your team has enough time to get prepared for the changes. 

 

To make your switch to STP Phase 2 as smooth as possible it is important for you to familiarises yourself with the upcoming changes to your Pronto Xi Payroll environment and ensure that your current processes can accommodate the extra reporting requirements. If you have any questions or concerns about transitioning to STP phase 2 please get in touch with your account manager.

 

For additional information see the links below:

ATO STP Phase 2:

https://www.ato.gov.au/Business/Single-Touch-Payroll/In-detail/Single-Touch-Payroll-Phase-2-employer-reporting-guidelines/

Changes to Pronto Xi Payroll Screen:

https://www.youtube.com/watch?v=bQCZG3CxKtc

 

Discover more.

Company News

Partnership Announcement

Scope Systems and PeopleTray Announce Strategic Partnership to accelerate the delivery of workforce management software to the mining and mining contracting market.
Read More
Partnership Announcement
Consulting

Scope Systems Parked Invoice System

The Parked Supplier Invoice Approval System is a Pronto Xi enhancement created by Scope Systems that provides you with additional functionality by adding the ability to edit and include an approval process for invoices.
Read More
Scope Systems Parked Invoice System
Industry News

The Mining Outlook According to RIU

The RIU Explorers conference this year saw a packed full house of over 1800 delegates and 200 exhibitors in the Esplanade Hotel, Fremantle. Both exhibitors and attendees there had a pretty bullish outlook, despite the repeated doom and gloom in the media.
Read More
The Mining Outlook According to RIU
Consulting

Workforce Engagement Through Digital Automation

With staff retention a key issue currently facing the mining industry, discover why digital automation is key to increasing you workforce engagement.
Read More
Workforce Engagement Through Digital Automation
Industry News

Top Risks in the Mining Industry 22/23

The mining industry has once again faced many challenges this year, with a major one again being the microscope the industry has been put under for its male-dominated culture. This year’s Australian Mining Risk Forecast has been recently released by KPMG and it’s an interesting read on what is top of mind for mining executives.
Read More
Top Risks in the Mining Industry 22/23
Industry News

Going for Gold – The Year in Review

Take a look at the year in review. From the RIU Explorers conference to Diggers and Dealers, our Sales and Marketing Manager Sonia Turner give her summary of the financial year.
Read More
Going for Gold – The Year in Review
Industry News

What is e-invoicing?

E-invoicing isn’t a new idea, the first electronic invoices were sent over 30 years ago through an electronic data interchange. Since then, e-invoicing has developed into a safe and secure way for suppliers to automatically and digitally exchange invoice information to customers through a secure network. So why move to e-invoicing and what are the benefits it can give to your company?
Read More
What is e-invoicing?
Consulting

ERP Software Solutions for Exploration Mining

Starting up an exploration venture requires careful planning of capital, with keeping costs to a minimum one of the highest priorities for a company. One aspect of keeping costs low can include the business systems designed to help control expenditure.
Read More
ERP Software Solutions for Exploration Mining
Consulting

Why Partner with a Software Solutions Provider?

Why partner with a software solutions specialist? Is it worth considering or are you better off managing on our own? To answer these questions, let’s look at what a specialist like Scope Systems can bring to the table.
Read More
Why Partner with a Software Solutions Provider?
Consulting

Why Integrate your ERP Software?

Companies today are more diverse then ever, finding they to have multiple software solutions to add extra functionality to their system. Having an integrated solution allows all your systems to 'talk' to each other , with your ERP acting as your primary system.
Read More
Why Integrate your ERP Software?
Consulting

3 Benefits of Software Training

For some companies, the idea of training staff to use new or existing software is a no brainer, recognising the benefits to the company from the outset. Others are more hesitant, with questions such as if there will be any tangible benefit, what will the true ROI be and what’s stopping staff jumping ship to another company after.
Read More
3 Benefits of Software Training
Industry News

.Au Domain Names Have Arrived

From March 2022 a new domain name category has become available for Australian domain names, with the new, shorter .au name arriving.
Read More
.Au Domain Names Have Arrived
Consulting

Improve Your Budgeting and Forecasting

Budgeting is one of those unavoidable tasks that most of us would prefer not to do, investing in a budgeting solution can help improve your processes.
Read More
Improve Your Budgeting and Forecasting
Consulting

Improving Your Passwords Strength

A password is the first line of defence in protecting not only your own personal data, but also confidential company data. Check out our tips for creating a strong and memorable password.
Read More
Improving Your Passwords Strength
Consulting

What You Need to Know About STP Phase 2

Are you ready for the upcoming reporting changes for STP Phase 2? Learn what you need to do now to prepare and what to expect.
Read More
What You Need to Know About STP Phase 2
Consulting

Modern Enterprise Data Architecture – Data Lake or Data Warehouse?

For data to be transformed into understandable information it first needs to be stored somewhere accessible, most commonly in a Data Warehouse or Data Lake.
Read More
Modern Enterprise Data Architecture – Data Lake or Data Warehouse?
Consulting

Greater Visibility Across Mining Supply Chains Will Reduce Supplier Risk

With accurate inventory data, you can measure supplier performance and help reduce extended lead times across your mining supply chain.
Read More
Greater Visibility Across Mining Supply Chains Will Reduce Supplier Risk
Consulting

Is Your Tenement Management System Time Consuming?

Ensuring your multiple tenements activities are being recorded and reported on is vital, as failing to do so can affect your whole mining operation and lead to costly penalties.
Read More
Is Your Tenement Management System Time Consuming?
Consulting

Intelligent Inventory Management Solutions will Transform the Mining Industry

An inventory management solution will give mining companies data-driven insights to help increase profits by focusing on having the right stock to meet demand.
Read More
Intelligent Inventory Management Solutions will Transform the Mining Industry
Pronto Xi

How Your ERP System can Help Relieve Worker Shortages

With shortages of skilled workers across many industries, optimising your ERP system can reduce the stress caused by gaps in your workforce.
Read More
How Your ERP System can Help Relieve Worker Shortages
{"slides_column":1,"slides_scroll":1,"dots":"true","arrows":"true","autoplay":"true","autoplay_interval":2000,"speed":300,"lazyload":""}

Take the next step.

Get the help you need now. One of our experts will call you to discuss your needs and help start you on the path to greater control.

© Scope Systems Pty Ltd 2023
Business Management Software Solutions