Reporting employment separation through Single Touch Payroll

You must report through Single Touch Payroll (STP) when and why employees stop working for you.

We need to know when and why employees stop working for you, so we can pay them the right amount if they’re our customer. Reporting this through STP reduces the number of Employment Separation Certificate requests.

You must still supply an Employment Separation Certificate if your former employee requests one.

Read more about reporting employment and taxation information in the ATO’s Single Touch Payroll Phase 2 employer reporting guidelines.

What to tell us through STP

Employment separation information helps us get customer’s payments right. It also tells us that you don’t have to deduct child support any longer if they have stopped working for you.

Make sure you include both of the following in your STP report:

  • the cessation date - when your employee stopped working for you
  • the cessation reason code - why your employee stopped working for you.

You must also report any unused leave or termination payments you pay to your employee upon ceasing employment.

When to tell us through STP

You must report the date your employee stops working for you and the reason why as soon as you can. This would usually be in the payroll report for the pay cycle when they leave.

If you miss doing this, include the information as soon as you can in your STP reporting.

Page last updated: 12 June 2024.
QC 65325