Salary packaging is an employee benefit and an ATO-approved means through which employees can optimise their income. The arrangement enables employers to make payments for various everyday items on their employees’ behalf, at an agreed rate and for an agreed time-frame from a combination of their pre and post-tax salary (hence the term salary sacrifice). Two common items that employees salary package include superannuation and vehicles, though depending on your industry, they may also be able to salary package other items such as electronic devices used for work related purposes, remote area benefits and more. By paying for these items before income tax is deducted, employees can access significant savings and increase their disposable income.
Selectus will ensure that all aspects of salary packaging are explained to you when you meet with us. Our mission is to make your salary packaging program simplified, cost neutral and effective.