Accept Parental Leave Pay for employees
How to accept our decision or ask for a review when you provide an employee Parental Leave Pay.
If we decide you must provide an employee’s Parental Leave Pay, we’ll send you a letter to let you know. You should accept our decision or ask for a review within 14 days. To accept our decision you need to give us an acceptance notice.
How to give us the acceptance notice
You can give us an acceptance notice either online or in writing.
In the notice, you’ll need to:
- accept our decision that you’ll provide Parental Leave Pay
give us your Australian Business Number (ABN)
- give us your bank account details
- give us your employee’s pay cycle details.
The easiest way to give us an acceptance notice is using Business Online Services. To do this:
- Log in to Business Hub, on behalf of your business.
- Select Your services.
- Select Paid Parental Leave Services.
If you’d prefer you can send your acceptance notice to us in writing. If you do, make sure you include all the details we need. Send it to:Services Australia
Paid Parental Leave Employer Processing Team
PO Box 2400
Hobart TAS 7001
What else you need to do
If we decide you must provide an employee’s Parental Leave Pay, you must do all of the following:
- provide Parental Leave Pay to your employee as per their usual pay cycle
- withhold tax from Parental Leave Pay under the usual Pay As You Go (PAYG) withholding arrangements
- give your employee a record of Parental Leave Pay within 1 working day of when you pay them
- include Parental Leave Pay in the total amounts on your employee’s annual or part year payment summary.
We also need you to do all of the following:
- keep a record of what we’ve paid you
- keep a record of how much you’ve paid your employee
- return any unpaid funds to us.
You must also tell us if any of the following happens while you're providing Parental Leave Pay:
- your employee returns to work
- your employee stops being employed by you
- your bank account changes
- your employee’s pay cycle changes
- you get the wrong amount or can’t provide Parental Leave Pay
- your business details change, for example you stop trading, sell your business, transfer ownership or merge with another business.
What you don’t need to do
There are some myths about the Paid Parental Leave scheme for employers. It's important to understand that you don’t need to fund it or work out if your employee is eligible.
You also don’t need to do any of the following:
- provide Parental Leave Pay to your employee before you’ve got funds from us
- make extra superannuation contributions
- accrue extra leave for employees
- create a new bank account
- report to us regularly
- separately identify Parental Leave Pay in your annual financial statements.
You don’t need to pay either of the following:
- extra worker’s compensation premium liabilities
- extra payroll tax.
Read more about employers providing Parental Leave Pay.
How to appeal our decision
If you disagree with the decision, you should start by talking to us. We’ll check the decision, explain why we made it and correct any errors. If you still disagree, you can ask for a formal review. Read more about reviews and appeals of decisions in the Paid Parental Leave Scheme Employer Toolkit.
Page last updated: 13 October 2020
This information was printed 24 October 2020 from https://www.servicesaustralia.gov.au/organisations/business/services/centrelink/paid-parental-leave-scheme-employers/what-you-need-know/your-role-scheme/accept-parental-leave-pay-employees. It may not include all of the relevant information on this topic. Please consider any relevant site notices at https://www.servicesaustralia.gov.au/individuals/site-notices when using this material.