Reporting the Final Event indicator for Employees
When you use STP Update to report the Final Event for the financial year, it notifies the ATO that all financial information for the year has been provided. You must complete this by 14 July of the new financial year and report as an STP Update Event. Final Event is reported by clicking Mark All as Final Pay and submitting the Update Event.
It's also possible to use STP Update to report the Final Pay for an individual employee during the financial year, e.g., because they have been terminated, by ticking the Final Event checkbox for that employee before an Update Event is reported. A Final Pay for individual employees can also be reported through a Pay Event.
Report Final Event through STP Update
Go to Payroll, Transactions, Import and Export, STP Update.
In the STP Update Filters, select a Payroll Company. STP Update is run one Payroll Company at a time.
Select the applicable Location(s), otherwise leave <All> selected.
To load all employees, tick All. Otherwise, untick All and select the individual Employee.
Select Financial Year. The Financial Year chosen affects the options available. The options will change depending on whether the data for the year was reported as STP2 or STP1 (see the bottom of the page).
For STP2, to load all employees, tick All Employees paid in the selected Financial Year. Below are the Finalise Employees options, which change depending on what has been selected. E.g., if you select Terminated in the selected Financial Year, All Employees paid in the selected Financial Year will be greyed out.
All Employees paid in the selected Financial
Terminated in the selected Financial Year
Not marked as Final for the selected Financial Year
Marked as Final for the selected Financial Year
Excluded from ATO Reporting
Reportable Fringe Benefit (RFB)
Leave all options in Reporting Special Category Employees unticked to load all employees. If you select a special category, the Finalise Employees options will be greyed out. You can only choose one at a time from the list below:
Closely Held Payees
Foreign Employment Income Employees
Inbound Assignees to Australia
Click Apply. The STP Update grid is populated based on your selections.
The checkbox on the left is used to include employees in the event. By default, all employees are selected. To change the selection or the filters:
Tick Select All to select all employees shown in the grid. When you click Select All, it changes to Unselect All. Click the button again to unselect all employees in the grid.
Individual employees can be ticked or unticked.
The Show Filters button displays the current filters. Use this to change the filters.
Save Grid will export the data to an external file, such as CSV or XLSX. You can export to keep a record of the update event.
Click Print Report to generate the STP Event Report. This allows you to review the information that will be reported in the Update Event.
The first page of the report shows information for the Payroll Company, with information for each employee following.
Click Mark All as Final Pay if you are reporting the Final Event for the year.
When you are ready to report the Update Event, click Update ATO.
The Declaration window will appear.
Complete the Declaration. The Full Name is populated with the Payroll Company's nominated Contact Person, as the person authorised to complete the Declaration. This field should be changed if a different authorised person is reporting the event.
Click Report.
A message confirms that the Update Event has been submitted.
Next, go to Payroll, Transactions, Import and Export, STP Reporting to check that the event is successful.
If you can't see the Update Event, ensure that the Payment Dates include 30/6 of the selected financial year. The Update Event will show under Reported Pay Events, with Update Event as the Event Type.
If your Update Event has a Failed Validation status, refer to our article STP Failed Gateway errors in STP Reporting. This includes instructions on how to find the error.
Important: Your first pay in the new financial year must have a Payment Date of 1 July or later. The Payment Date is created when Pay Advices are produced. The ATO uses this Date to determine which financial year the values relate to.
If you have a Payment Date earlier than 1 July on the STP Reporting screen and process to the ATO, the data from the previous financial year's Update Event will be overridden in the employee's MyGov account with the first pay of the new financial year.
Review the ATO website for more information on what financial year payments should appear in:
STP1
If the Financial Year selected was reported as STP1, the STP Update filters screen will change to include the following selection:
Options
Select the filter Options to apply by ticking the relevant checkboxes:
Transaction Adjustments loads employees with transaction adjustments processed in the selected Financial Year.
Previous Year Transaction Adjustments load employees with a Previous Year Adjustment processed in the selected Financial Year. This option is only enabled when the Financial Year is not the current year.
YTD Reportable Super (RESC) Changes loads employees with reportable employer or employee super contributions processed in the selected Financial Year.
YTD Reportable Fringe Benefit (RFB) Changes loads employees with values recorded in applicable fields of their employee record.
Foreign Employment Income (FEI) Changes loads employees with values recorded in applicable fields of their employee record.
Display
Select the employee Display options you wish to apply by ticking the relevant checkboxes:
Include Employees not Marked as Final, limits grid results to employees who HAVE NOT HAD a Final Pay processed in the selected Financial Year.
Include Employees Marked as Final, limits grid results to employees who HAVE HAD a Final Pay processed in the selected Financial Year.
Include Employees Terminated, limits grid results to employees with a Termination Date in the selected Financial Year.
Include Employees Excluded from ATO Reporting limits the grid results to employees who have Exclude from STP Reporting ticked on their employee record.
Include Closely Held Payees (CHP) limits the grid results to employees who have Closely Held Payees as their Income Type.