Considering Shared Management?
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1 Considering Shared Management? Consider Senses Australia 1
2 Senses Australia Senses Australia provides services for people with disability including unique services for people who are deafblind. This booklet is about how Shared Management works at Senses Australia For more information about Senses Australia see our website at It is designed to be only an introduction. If you are considering Shared Management and you think that Senses Australia offers what you are looking for, contact our Manager Service Development: Jodi Perkin by or telephone to discuss your individual situation. Throughout this booklet you means either the person receiving or wishing to receive services and/or their family. 02 1
3 How Senses Australia will relate to you We at Senses Australia want to increase your control over your services, and support you to live your life in a way that you choose. We are committed to listening to you and we will support you to: Design and plan your service Have genuine choice and decision-making about the supports and services you use Shared Management at Senses Australia Shared Management is where Senses Australia and you share the management of your service. Shared Management is not about you having to manage all aspects of your funding and service. It is about you being able to choose just how much or how little of the management role you would like to take on. You can manage a little bit or the whole lot. And we will support you in whatever decisions you make. Determine how much or how little information and control you want over the management of your services 2 3
4 Why Shared Management? To be in control, or to direct your own support, does not mean having to be responsible for all tasks and funding. It means being heard and respected as a unique individual with thoughts and ideas about how and who should provide your support. It means having a say in designing your service. If you want some or all of the following, shared management may be for you! More choice and control over your service and your life More respect as an expert on your own life Senses Australia is there for you Senses Australia will help you and will involve you whether you choose for Senses Australia to manage your service or whether you choose one of the Shared Management options. Remember we are committed to listening to you and we will support you. To be the one who says what you are trying to achieve from services and to design the services accordingly. 4 5
5 What does Senses Australia offer as Shared Management? Senses Australia offers two forms of Shared Management, known as Co-Management and Self-Management. Shared Management Who does what? We have developed a table so that you can gain an understanding of the types of responsibilities under each option. Co-Management is where you become the employer of your support staff and take on all of the associated legal responsibilities of that. Senses Australia deals with the funder (usually the Disability Services Commission), takes responsibility for the payment of wages, PAYG payments and returns, and provides support around other administrative requirements to you as the employer. Self-Management is where you take responsibility for the management of all of the service except for dealings with the funder (usually the Disability Services Commission) and maintenance of public liability insurance. This table aims to show you the level of involvement required under the standard shared management options offered by Senses Australia, so you can decide what best suits you. In either of the Shared Management options, even when you are responsible for something, you will receive assistance from Senses Australia if you want this. Contact our Manager Service Development Jodi Perkin by jodi.perkin@senses.org.au or telephone to discuss your individual situation. If you feel comfortable with some parts of Co-Management or Self-Management but not others, we usually can develop an option that suits your individual circumstances. 6 7
6 Key Senses does this You do this We do this Requirements Senses Australia Managed Co- Management Self- Management Requirements Senses Australia Managed Co- Management Self- Management Liaise with DSC regarding funding applications Pay staff each fortnight according to employment contract Receive and administer funding from DSC Provide payslips to staff Manage all reporting to DSC Develop a service budget Manage funds as per budget Regular reporting against budget Set up bank account to manage funds n/a n/a Calculate and remit PAYG tax withholding amounts and superannuation contributions Complete ATO BAS or PAYG withholding statements Produce end of year PAYG tax summaries for staff Provide Senses Australia with bank statements and other acquittal documentation Be the employer of staff Advertise for staff Pay recruitment costs Interview and appoint support staff Perform reference checks on preferred staff n/a n/a Identify and provide staff training Provide performance management guidance to staff. Includes regular staff meetings, confl ict resolution and termination management. Set up and manage public liability insurance policies Manage occupational safety and health legislative requirements Gain copies of all documents eg contracts, drivers license, national police clearance, working with children check Set staff terms and conditions including pay rates Determine employment category and tax position (employee, contractor, volunteer) Manage staff absences such as annual leave and sick leave Calculate and manage all leave accruals including provision accounts Develop and store important service management documents such as Individual plans Provide staff a Contract of Employment if applicable Set up Australian Taxation Offi ce (ATO), Superannuation and Workers Compensation agreements/policies Maintain and store all fi nancial information to facilitate audit requirements by ATO or DSC Develop and provide all service related policies and procedures Manage staff time-sheets and other documents 8 9
7 A Partnership with Senses Australia Shared management means you will need to work in partnership with Senses Australia; and to fulfil your part in a Shared Management Agreement. Senses Australia will help you and will involve you whether you choose for Senses Australia to manage your service or whether you choose one of the Shared Management options. Remember - We are committed to listening to you and we will support you to: Design and plan your service Have genuine choice and decision-making about the supports and services you use Determine how much or how little information and control you want over the management of your services Employing your own staff Shared Management also provides some different ways you can pay for your support workers. You and your support worker can have a different working relationship. What is possible will vary and you may need to check your situation with the Australian Taxation Offi ce (ATO) before your support worker starts work. The three main working relationships are these: 1. Your support worker can be an Employee 2. Your support worker can be an Independent Contractor, or 3. Your support worker can be a Volunteer The Australian Taxation Offi ce provides a guide to decide if workers are employees or independent contractors See the following website for further information:
8 1. Employee (contract of service) If you decide you want your support worker to be your employee, you will have to do certain things according to the law. These include: Registering for Pay As You Go (PAYG) withholding Having the employee sign and return a Tax File Number (TFN) Declaration Form and then providing this to the ATO Deducting PAYG amounts from the employee s payment Giving the PAYG deducted to the ATO and completing the necessary activity statements on a regular basis Providing the employee with a payment summary regarding the amount paid to them and the amount withheld Making payments as per the Superannuation Guarantee Administration Act on behalf of the employee Holding appropriate insurances. 2. Independent Contractor (contract for service) A support worker may be an independent contractor rather than your employee. The Australian Taxation Office provides a guide to help you decide which category your support worker will come under. See the following website for further information. If your support worker is an independent contractor they will need to give you a Tax Invoice before you pay them and you will be required to withhold tax from payments unless the contractor quotes their Australian Business Number (ABN) on their Tax Invoice. There are some exceptions to this requirement to withhold tax, if an ABN is not provided. Some of these may apply to you and your service. Therefore, if your support worker is an independent contractor and does not have an Australian Business Number you need to check with the Australian Taxation Offi ce to see whether you need to withhold tax. It may be that your support worker needs to complete the Australian Taxation Office Statement by a Supplier form (NAT 3346), then you will not have to withhold tax. If your support worker is an independent contractor they will be responsible for their own taxation obligations and superannuation
9 3. Volunteer Your support worker can be a volunteer. A volunteer is someone who offers to perform your service and does not receive a salary or a wage. They can be paid in cash or given non-cash benefits (or both) which can be honoraria, allowances and reimbursement for expenses. It is important to determine whether the support worker is really a volunteer or whether they are your employee. There are a number of ways to work this out. Generally, money which is regularly earned and is expected and relied upon by the support worker will be seen as income, and then subject to tax. The support worker in this case, will also be seen as your employee. Where the support worker is providing your service as a pastime and does not rely on the money or benefi ts, then any money or benefi ts that they receive may not be seen as income and therefore not be taxable. The money or benefi ts that your support worker receives for the services they provide you will not be subject to tax, and your support worker will be determined to be a volunteer, if the money or benefi ts are: For expenses Not related to your support worker s income-producing activities Not provided as payment for the support worker s employment Not relied on by the support worker for day-to-day living. There must also be no obligation on you to make any payment or give any benefi ts. And, fi nally, the money or benefi ts must be a token compared to the value of the services provided or expenses incurred by the support worker. If you are still not clear whether your support worker is a volunteer you need to contact the Australian Taxation Offi ce at the following website for further information
10 And Remember! This booklet is about how Shared Management works at Senses Australia. It is designed only to be an introduction. If you are considering Shared Management and you think that Senses Australia offers what you are looking for, contact our Manager Service Development: Jodi Perkin Telephone to discuss your individual situation. Acknowledgement This document was prepared using the WA Individualised Services Shared Management Guide as a reference and Senses Australia acknowledges the support of WAiS in developing resources for the sector. WAiS (waindividualisedservices.org.au) has a number of resources including a comprehensive Shared Management Guide, as well as links to the relevant Legislation, Tax rulings and forms: waindividualisedservices.org.au/resources/shared-management 16 17
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