How Salary Packaging Works
The easiest way to increase your income without working longer hours is to salary package. Put simply, salary packaging is a way for you to purchase a variety of goods and services, as well as pay bills (including mortgages or rent) using tax-free dollars. The end result is an increase in your take home pay.
Employees have a total of $15,900* per Fringe Benefit Tax year to salary package.
When you choose salary packaging, the approved expenses you incur are deducted from your salary before tax is calculated. This means you end up paying less tax overall. With those key costs taken care of in advance, you can enjoy more of your hard-earned money for the things that really matter to you.