Our guide to payroll for WPN holders

If you’re hiring someone but don’t have an Australian Business Number (ABN), you may still have payroll obligations, and that’s where a Withholding Payer Number (WPN) comes in. CloudPayroll offers a simple, Single Touch Payroll (STP) ready payroll solution built for WPN holders, so you can pay your team correctly, calculate PAYG, and manage super, all in one place.

Read on to learn more about payroll for WPN holders and how CloudPayroll makes it easy.

What is a Withholding Payer Number (WPN)?

A WPN is issued by the Australian Taxation Office (ATO) to individuals and certain non-individuals who don’t have an ABN but need to withhold tax from their payments to workers. It’s designed to help people meet their Pay As You Go (PAYG) obligations while not running a typical business.

You might need a WPN if you:

• Employ household staff like a nanny, carer, or cleaner.
• Are a self-managed participant in the National Disability Insurance Scheme (NDIS).
• Represent a non-profit organisation, embassy, or sporting club paying casual staff.

WPN holders don’t operate like typical employers, but they’re still expected to handle payroll responsibilities properly.

Payroll obligations for WPN holders

Even without an ABN, WPN holders still have legal obligations to pay employees accurately and report taxes correctly. If you're paying someone regularly for work, even in a home setting, you're likely required to:

• Withhold PAYG tax from wages and report it to the ATO.
• Pay superannuation (if the employee meets eligibility requirements).
• Keep proper records of pay, hours worked, and leave.

It can sound complicated, especially for individuals unfamiliar with payroll law, but a cloud payroll solution like CloudPayroll can handle all the calculations and reporting for you.

STP exemptions

WPN holders are exempt from using Single Touch Payroll (STP), the ATO’s digital payroll reporting system. While STP became mandatory for most employers in 2019, the exemption for WPN holders was extended several times.

WPN holders remain exempt from mandatory STP reporting until 1st July 2034, but the ATO encourages voluntary participation. If you choose to report via STP:

• Your EOFY processes are faster (no more payment summaries).
• Your payroll records are more accurate and streamlined.
• It’s easier to stay compliant and avoid errors.

CloudPayroll fully supports STP reporting for WPN holders, so even if it’s optional, you can use it to simplify your obligations.

How CloudPayroll supports payroll for WPN holders

Whether paying one staff member or a team, CloudPayroll makes it easy to manage payroll with a WPN. Here are the CloudPayroll features that can help:

• Process payments to employees via ABA file or direct debit (2-day turnaround).
• Calculate PAYG tax and pay directly to the ATO each pay run or generate quarterly reporting.
• Manage super contributions including optional payments for household employers.
• Track hours worked using our online Timelog tool.
• Handle leave management and ensure accurate entitlements.
• Enable STP reporting for improved transparency and EOFY convenience.

You don’t need an ABN or prior payroll experience; we’ll guide you every step of the way.

Who uses WPN payroll solutions?

Many of our CloudPayroll clients are WPN holders who just need a simple, trustworthy system to pay staff. Common scenarios include:

• NDIS participants who employ carers or support workers using self-managed funding.
• Families are hiring nannies, gardeners, or household staff.
• Clubs or charities pay casual workers for weekend shifts.

In each case, CloudPayroll makes it easy to process pay, meet ATO obligations, and feel confident that everything is done correctly.

Get started with CloudPayroll

If you’re a WPN holder looking for an easy, compliant way to run payroll, CloudPayroll is here to help. We’ve built our solution to support people like you, from onboarding and setup to pay runs and reporting. With local Support Teams available by phone and email, you’ll always have payroll experts ready to help, so you never feel alone. Start your free demo of CloudPayroll today and discover an easier way to handle payroll.