We hope that you are enjoying some of this lovely spring sunshine, even if there are a few rain clouds lurking.
This is a quick update to let you know about the financial support currently available. Please take note of closing dates around the wage subsidy, as we've had a few situations where organisations have missed out on applying.
We understand that these uncertain times may be causing some turmoil in your world. If you need some mental health and wellbeing support, then check out https://www.xero.com/nz/about/social-and-environmental-impact/business-support/. There is some great material and also links to the Xero Assistance Programme (XAP) which is available to Xero Starter, Standard and Premium subscribers, their employees, and their families. The XAP gives Xero small businesses free, confidential access to face-to-face, telephone, live chat, and online counselling. These services are provided by Xero's own provider, Benestar.
As always, if you need support to assess your eligibility to the Covid-19 Financial Support or need help applying, please get in touch.
Second Resurgence Support Payment
Applications for the Second Resurgence Support Payment are now open.
A business or organisation must have experienced at least a 30% drop in revenue or a 30% decline in capital-raising ability over a 7-day period from 8 September, due to the increased COVID-19 alert level.
Revenue is compared to a typical 7 day period in the 6 weeks prior to the change in alert levels which started on 17 August.
Eligible businesses and organisations can apply to receive the lesser of:
- $1,500 plus $400 per full-time equivalent (FTE) employee, up to a maximum of 50 FTEs
- four times (4x) the actual revenue decline experienced by the applicant.
Businesses and organisations will be able to apply for the second payment even if they have received the first payment.
The payment is not a loan, so it does not need to be repaid.
You can apply through myIR.
Wage Subsidy #3
Applications for Wage Subsidy August 2021 #3 are currently open. They close at 11.59pm on 30 September 2021.
Even if you didn’t apply for previous payment/(s), you can apply for Wage Subsidy #3 if you meet the eligibility criteria.
If you've already applied for a previous COVID-19 Wage Subsidy August 2021, you need to wait until two weeks after you applied before you can apply for the new Wage Subsidy #3, even if you haven't received a payment yet.
If you apply earlier than this, your application for the new subsidy will be declined.
If you applied and were eligible for the Wage Subsidy #2, Work & Income will email you to tell you when you can apply for the new Wage Subsidy #3.
Along with the usual eligibility criteria, you are entitled to the second subsidy arising from the alert level increase announced on 17 August 2021 if because of the continuation of Alert Levels 3 or 4, your business has experienced a 40% decline in actual or predicted revenue between 14 September 2021 and 27 September 2021 when compared to a typical 14-day consecutive period of revenue in the six weeks immediately prior to the move to Alert Level 4 on 17 August 2021.
You can read more about the wage subsidy at https://www.workandincome.govt.nz/covid-19/wage-subsidy/index.html
If you are self employed, you can apply at https://services.workandincome.govt.nz/ess/trader_applications/new?subsidy_type=COVID19D
If you are an employer, you can apply at https://services.workandincome.govt.nz/ess/employer_applications/new?subsidy_type=COVID19D