PAYG Payment Summary vs Income Statement: What's the Difference?
Quick answer: A PAYG payment summary is the paper or PDF record your employer used to give you each July, showing your wages and the tax withheld. Most employees now get an income statement instead, generated through Single Touch Payroll and available in myGov once your employer marks it tax ready for that income year.
What Is a PAYG Payment Summary, and Who Still Gets One?
A PAYG payment summary, sometimes called a group certificate, is the traditional end of year statement an employer produced showing your gross wages, allowances and the PAYG tax withheld. Before Single Touch Payroll became standard, every employer issued one of these each July so employees could complete their tax return. Today, nearly all employers report wages and withholding to the ATO every pay run through Single Touch Payroll, so a separate payment summary is no longer produced for most people. A small number of employers with a Commissioner approved exemption from Single Touch Payroll reporting may still issue a payment summary directly to you, so it is worth asking your employer if you are not sure which applies to your job.
What Is an Income Statement, and How Is It Different From a Payment Summary?
An income statement is the digital replacement for the PAYG payment summary, built from the data your employer reports to the ATO through Single Touch Payroll. It shows the same core information, including gross payments, tax withheld, reportable fringe benefits and reportable employer super contributions, but you view it online in ATO online services through myGov or the ATO app rather than receiving a paper copy or PDF from your employer. Because it updates after every pay run, you can check it throughout the year, not only after 30 June.
Where Do I Find My Income Statement in myGov?
Sign in to myGov, open ATO online services, select Employment and then Income statement to see the figures for each employer and income year. You can also check it through the ATO app by logging in, selecting Employment, then choosing the relevant income year. If you worked for more than one employer during the year, each one appears as a separate line, which is useful for checking nothing has been missed before you lodge.
What Does Tax Ready Mean, and When Should I Wait to Lodge?
Tax ready means your employer has finalised their Single Touch Payroll data for the year, so the figures on your income statement are complete and will not change.
According to the ATO, most employers must finalise and mark their employees' data as tax ready by 14 July each year. If your income statement is still not marked tax ready after 31 July, the ATO recommends contacting your employer directly, since lodging before the data is finalised can mean you need to amend your return later if the reported figures change.
PAYG Payment Summary vs Income Statement: A Quick Comparison
The table below summarises the practical differences between the two.
Feature | PAYG Payment Summary | Income Statement |
Format | Paper or PDF from your employer | Digital, viewed in myGov or the ATO app |
Issued by | Employer, directly to you | Generated automatically via Single Touch Payroll |
When available | Only after the income year ends | Updated after each pay run, finalised by 14 July |
Who still uses it | Employers with an ATO exemption from STP | Nearly all employers and employees |
Do I Need to Do Anything Differently With an Income Statement?
No extra work is required for most people, since tax return software and myTax pre-fill your income statement figures automatically once they are marked tax ready. It is still good practice to check the pre-filled numbers against your own payslips or pay records before you lodge, particularly your gross income and the tax withheld, so any discrepancy can be sorted out early.
What if My Income Statement Is Missing or the Figures Look Wrong?
If you cannot see an income statement for an employer, or the figures do not match your payslips, contact that employer first, since they are responsible for reporting and finalising the data. If the employer cannot resolve it, or has stopped trading, the ATO can help you work out an estimate of your income and withholding so your return is not delayed. Keep your payslips and any old payment summaries as evidence while the issue is being sorted out.
Getting your PAYG payment summary or income statement sorted is only the first step. Once your income statement is tax ready, Tax Falcon can help you lodge quickly and claim every deduction you are entitled to.
Frequently Asked Questions
Is a PAYG payment summary the same as an income statement?
Not quite. They show the same kind of information, gross income and tax withheld, but a payment summary was issued directly by your employer, while an income statement is generated automatically from Single Touch Payroll data and viewed in myGov.
Do employers still give out PAYG payment summaries?
Most employers no longer issue PAYG payment summaries, since Single Touch Payroll reporting means your figures go straight to the ATO and appear as an income statement instead. Only employers with a specific ATO exemption still provide a payment summary directly.
How do I get my income statement from myGov?
Sign in to myGov, select ATO online services, then choose Employment and Income statement to view the figures your employer has reported for the income year.
What happens if my income statement is not tax ready yet?
If it is not marked tax ready, your employer has not yet finalised the data, so the figures could still change. The ATO recommends waiting until it is tax ready, usually by 14 July, before you lodge your return.
Can I still lodge my tax return without a payment summary?
Yes. As long as your income statement is available and marked tax ready in myGov, you do not need a paper payment summary to lodge your return, since the ATO and most tax software use the online figures directly.
