Forum Discussion

MichelleZ's avatar
MichelleZ
Member
6 months ago

Terminating old casual employees who haven't worked for years

I've just taken on a new MYOB file that has a lot of casual employees who haven't worked for years, but instead of terminating them they were set to inactive and never had a termination date put in. Some of them haven't worked since the 2020 fin year. I've set the termination dates in their employee cards as the date that the business owner advised me the employees are no longer working (which is in this current financial year). When I go to the STP termination reporting I have to choose the financial year these employees last worked to find them & it goes all the way back to 2020. By choosing the previous financial year they worked but setting the termination date to this financial year will it cause any issues with previous STP finalisations?

Thanks 

3 Replies

  • Earl_HD's avatar
    Earl_HD
    MYOB Moderator
    6 months ago

    Hi MichelleZ,

    Thanks for sharing all the details! To keep things clear, it’s best to contact the ATO. They can help you sort through any details.

    Regards,
    Earl

  • MichelleZ's avatar
    MichelleZ
    Member
    6 months ago

    Thanks for replying but it doesn't answer my question. I'm asking how MYOB will report it back to the ATO. Will MYOB report that the employee is terminated on the 1st July 2025, or will MYOB try to add that employee into a previous financial year? Here is the breakdown of it - 

    - Casual employee hasn't worked since 2020 - does not appear in any payruns for 5 financial years. 

    - Employer has now informed me that the employee will not work for them again and can be taken off the       books. Termination date will be 1st July 2025.

    - When terminating employee in MYOB's STP section I need to move the financial year to 2020 to find the employee as they haven't worked for that long.

    - I will put in the termination date as 1st July 2025

    - Will MYOB send the information to the ATO that employee's termination date is in the 2025-26 financial year or will MYOB send to the ATO that it's in the 2020 financial year as I have to pick up the employee from that year's dropdown box?

    So the question is not for the ATO at all, the question is about how will MYOB report it to the ATO?

    Thanks

  • Genreve_S's avatar
    Genreve_S
    MYOB Moderator
    6 months ago

    Hi MichelleZ,

     

    Thanks for clarifying your question in detail. That certainly poses some difficulties with the termination process. The STP, only covers previous and current financial year. Since your employee hasn’t worked for years and you’re trying to put in a termination date now, you won’t be able to do this through STP in your software anymore. Processing a manual lodgment with the ATO to terminate your employee is your only option.

     

    Regards,
    Genreve