Seeking Work as a Locum or Associate

In the first instance, new graduates should consider seeking work at an established practice. This will help you to consolidate your clinical skills and gain further experience, particularly relating to general practice management. It also allows you to earn an income, while perhaps preparing to start your own practice, without the burden of additional business management concerns.

In seeking a position, you are in effect marketing yourself. The preparation of a resume or advertising on Osteopathy Australia’s website may prove useful.

It is good business practice to use a formal written contract for locum and associate positions. This helps to manage both parties’ expectations so that everyone is clear about the agreed terms. It also clarifies roles and responsibilities and helps to prevent disputes down the track.

Whether you become an employee or whether you remain an independent self-employed practitioner affects ultimate responsibility and taxation.

Most osteopathic practices operate on the basis that the locum or associate does not become an employee but remains an independent contractor despite the arrangement where the principal practitioner takes a percentage of the associate’s earnings.

Current law and rulings defining these relationships state that, regardless of the terms in a service agreement/ contract, it’s the actual relationship that counts. In other words, just because you and your boss say you’re a contractor doesn’t mean you’re not an employee in the eyes of the law (and in the eyes of both WorkCover and the ATO).

Various considerations may point to an obligation of the proprietor to nevertheless deduct tax, pay superannuation, WorkCover fees, holiday pay, etc.

Generally, if you work regular hours (no matter how many or how few) at a regular location, take directions from a clinic director, and the clinic provides all or most of the equipment, tools and other assets required to complete the work, you are an employee and should be engaged as such. The Osteopathy Australia HR Hotline is available for all members to call and discuss issues or seek advice on 1300 143 602. This service is available to employees, associates and business owners alike.

You are advised to seek further legal and accounting advice for more information.

GST and Locums/ Associates

Practitioners are strongly recommended to consult an accountant or other financial professional for advice concerning the treatment of GST with contracts between locums or associates. The following information is general and should not be considered financial or accounting advice.

If a practitioner is charging a service fee for use of treatment rooms and administration support to the locum or associate (which may be calculated as a percentage of patient receipts), then a tax invoice must be generated as per the ATO specifications and the locum or associate must pay the GST. In turn, if the locum or associate is registered for GST, they may claim back the GST as an input tax credit.

If the associate or the locum is charging the practitioner for providing osteopathic consulting services for patients (this may be calculated as a percentage of patient receipts), then a tax invoice must be generated as per the ATO specifications and the practitioner must pay the GST. In turn, if the practitioner is registered for GST they may claim back the GST as an input tax credit. The ATO has a Guide for Small Business available at www.ato.gov.au

Where the individual earns less than $75,000 per annum, they may not have to register for GST but cannot claim input tax credits. See ATO website for further information. www.ato.gov.au. This information was correct at time of publication.

Business Names

A business name is simply a name or title under which a person or other legal entity trades. If the business structure you have chosen is as a sole trader, a partnership or a trust, and not as a company, you are required to register your business name in the state or territory in which you will operate. You don’t need to register a business name if you plan to conduct your business under your or your partner’s first name and surname.

If you are planning to set up your business in more than one state or territory, you need to register your business name separately in each state or territory.

Other conditions to consider

• Names that are the same or similar to names that have already been registered will not be allowed

• Displaying the name

• The timing of registration and the commencement of its use

• Notification of any changes

Registration of a business name does not in itself give you any proprietary rights – only a trademark can give you that kind of protection.

Ensure you have exclusive use of your name now and in the future throughout Australia by registering a trademark.

You should be aware of this as you could be fined should there be a breach of these regulations. See more info at www. business.gov.au