Each year, all employers are required to pay a WorkCover premium. This insurance provides cover for the costs of benefits if your workers are injured or ill because of their work.

In order for WorkCover to adequately calculate what your premium should be, you are required to submit a WorkCover declaration form each year. It is important to know how to fill out this form correctly and submit it each year to ensure you are not overpaying or underpaying your WorkCover premium.

Here is our guide to filling out your WorkCover declarations correctly:

Check your industry code
First off, one of the most important things to be aware of is ensuring you have classified your business under the correct industry code. Each code applies a different rate based on your industry.

What do I need to include in my declaration?
Generally speaking, what is required to be declared is your wages and benefits paid to employees.
This includes the following:

• Salaries
• Wages
• Gross pay before tax
• Allowances
• Annual leave payments (including leave loading)
• Long service leave
• Paid parental leave (when funded and paid by an employer – Government funded parental leave is not rateable)
• Make-up pay
• Back pay
• Bonuses
• Directors' fees (and all remuneration to directors or members of a governing body of a company)
• Fees for work performed by a worker or deemed worker
• Certain payments to contractors
• Fringe Benefits
• Superannuation
• Commissions

What don’t I need to include in my declaration?

Below are the items that are excluded from the declaration which you do not need to report on:

• Motor vehicle allowance (up to the exempt amount)
• Accommodation allowance (up to the exempt amount)
• Apprentices or trainees (some apprentice remuneration is exempt for WorkCover insurance purposes)
• Compensation payments to an injured worker
• Distributions of profit, trust distributions, company dividends and payments to partners
• Payments to a portable long service leave scheme and payments to the Redundancy Payments Central Fund
• Government funded parental leave payments, passed on to workers by employers acting as agents of the Government
• Goods and Services Tax (GST) paid or payable in relation to payments to contractors
• Termination payments made to a worker on cessation of employment

Do I need to declare JobKeeper payments?

No. Any additional payments that an employer makes to bridge the gap between their employee’s normal wage and the $1500 a fortnight required to qualify for JobKeeper payments are not required to be declared.

Things to remember when completing your declaration:
• Review/update your industry classification to ensure it’s appropriate
• Update any changes to your workplace or business activity
• Review the classification of employers as workers or contractors – it is important to understand if they are considered workers by WorkSafe.

Please see below links for further information:

https://www.worksafe.vic.gov.au/resources/your-workcover-insurance-guide-employers

https://www.worksafe.vic.gov.au/remuneration-inclusions-and-exclusions