Single Touch Payroll Services for Employers
Manage ATO pay-event reporting, STP Phase 2 compliance, corrections, and year-end finalization declarations.
Service at a Glance
Personalized scope & lodgementWage earners, investment property owners, CGT, crypto & standard returns
100% online video meetings (Outlook Calendar) or in-person
Direct electronic ATO portal lodgement by Registered Tax Agent
Draft explained and authorized by you before electronic submission
- Pre-lodgement draft walkthrough & written client sign-off
- Extended ATO tax agent lodgement deadlines available
- Transparent upfront quoting & zero lodgement without approval
What Is Single Touch Payroll?
Single Touch Payroll, or STP, is the ATO reporting system used by employers to report payroll information such as salaries and wages, PAYG withholding and super-related information through enabled payroll software. For most employers, STP reporting occurs as part of the payroll process.
STP does not calculate every employer obligation for you. Accurate reporting still depends on correct employee setup, payroll data, classifications and payroll processing.
Reporting vs Calculation
Single Touch Payroll is the digital communication protocol connecting your payroll platform directly with the Australian Taxation Office. It does not replace accurate award setup, correct tax withholding scales, or super rules.
When Is STP Reporting Required?
Employers generally need to lodge STP pay-event information on or before the relevant payday, subject to the rules and concessions that apply to their circumstances. At the end of the financial year, employers generally make an STP finalization declaration so employees can see their income statement as tax ready.
The standard finalization due date for employees is generally 14 July, although different rules or concessions can apply in specific circumstances. If payroll information is later corrected, the STP data may also need to be updated and re-finalized.
On or Before Every Payday
Each recurring pay run (weekly, fortnightly, or monthly) must trigger an STP pay event file lodged to the ATO on or prior to the date salaries are disbursed.
Annual 14 July Finalization
Year-end finalization declaration confirming all employee year-to-date figures are complete, allowing employees to access tax-ready pre-fill for tax returns.
What Can STP Reporting Services Help With?
STP reporting services are useful when a business wants payroll reporting to be part of a controlled, repeatable process rather than handled as a separate last-minute compliance task.
Reviewing whether payroll software is set up for STP reporting.
Configuring BMS identifiers, ATO digital software certificates, and payroll clearing accounts.
Checking employee payroll information before reporting begins.
Verifying TFN declarations, residency status, super USI fund codes, and contact details to avoid ATO rejection.
Coordinating pay-event reporting with regular payroll processing.
Automating or managing the transmission of pay event payloads each pay run without operational delays.
Reviewing rejected or incorrect STP submissions and identifying corrections.
Diagnosing error codes, mismatched employee identifiers, or failed transmissions and preparing update events.
Assisting with year-end finalization declarations.
Reconciling annual payroll ledgers, W1/W2 activity statements, and signing off on 14 July final declarations.
Helping update previously reported payroll information where appropriate.
Submitting replacement pay events or update events when prior pay calculations or leave payouts are adjusted.
STP Setup for New or Changing Payroll Systems
STP setup services may be required when a business hires its first employees, changes payroll software, moves payroll from an internal process to an outsourced provider, or discovers that existing payroll data is inconsistent.
A careful setup should consider employee details, payroll categories, PAYG withholding information, super-related fields, opening balances and year-to-date amounts where relevant. Incorrect opening information can flow through future STP reports, so migration and setup should be reviewed rather than assumed to be correct.
STP, PAYG Withholding and Activity Statements
STP reporting and activity statements are related but separate obligations. STP communicates employee payroll information to the ATO, while PAYG withholding amounts may also need to be reported and paid through the business activity statement or other applicable reporting process.
For assistance with preparing and lodging activity statements, see our BAS Lodgement service page.
Superannuation and Current Payroll Reporting
From 1 July 2026, Payday Super changed the timing of super guarantee contributions. Employers generally need to ensure contributions are received by the employee's super fund within seven business days of payday, subject to the applicable exceptions. Payroll and STP processes should therefore use the current rules rather than older quarterly-payment assumptions.
The exact super treatment can depend on the worker, payment and circumstances, so any unusual arrangements should be reviewed separately.
Common STP Problems
Common issues include incorrect employee details, duplicated employees, incorrect year-to-date balances, reporting under the wrong payroll categories, missed pay events, software migrations and year-end figures that do not reconcile to payroll records.
A single touch payroll accountant can help review the accounting and tax-reporting side of these problems. Employment-law or entitlement disputes are separate matters and may require specialist workplace advice.
Incorrect employee personal and tax details
Duplicated employee records across software migrations
Incorrect year-to-date (YTD) opening balances
Reporting wages under the wrong payroll categories (disaggregation)
Missed pay events or late pay-event transmissions
Software migrations resulting in broken BMS identifiers
Year-end finalization figures that do not reconcile to payroll records
Records and Information We May Need
Depending on the issue, useful information may include payroll reports, employee setup details, prior STP submission summaries, year-to-date payroll data, payroll clearing accounts, activity statements and any ATO messages or error notices. The aim is to reconcile the underlying records before submitting or correcting reported figures.
Detailed payroll reports & summary registers
Employee setup details & TFN declarations
Prior STP submission summaries & pay event IDs
Year-to-date payroll earnings data & leave logs
Payroll clearing accounts & general ledger reconciliations
Activity statements (BAS/IAS) & ATO error notices
How Financially Up Can Help
Financially Up can provide STP payroll services for businesses needing practical support with setup, recurring reporting, corrections and year-end finalization. We can also coordinate STP with broader payroll, bookkeeping and BAS work where those services are included in the engagement.
Why Choose Financially Up?
Financially Up Pty Ltd is a registered tax agent with 10+ years of experience. Our professional team includes CPA and IPA members, and we support businesses Australia-wide through online appointments as well as in-person appointments where preferred.
Registered Tax Agent Compliance
Direct authority to lodge pay events, STP update files, and annual declarations with the ATO.
10+ Years Payroll Experience
Experienced in managing complex Phase 2 disaggregation of gross wages across Australian industry sectors.
CPA & IPA Certified Team
Qualified accountants verifying your year-to-date income statements match general ledger accounts before finalization.
Contact Our STP Specialists
Frequently Asked Questions
Common questions about Single Touch Payroll Phase 2 reporting, deadlines, and STP error adjustments.
Identifying eligible deductions is crucial for minimizing your taxable income and maximizing your tax savings. Our team at Financially Upwill diligently explore all potential deductions applicable to your situation. From commonly claimed deductions to often overlooked ones, we leave no stone unturned in helping you claim every deduction you're entitled to.