Salary Packaging, sometimes referred to as salary sacrificing, is an Australian Taxation Office (ATO) approved way of receiving benefits such as novated or associate car leasing, deduction of professional/personal expenses from gross salary, laptop packaging and LAFHA; by way of a pre-tax salary payment. By paying for these items before tax means that you will be taxed only on your remaining income – meaning reducing your taxable income, meaning you pay less tax!
SDP’s team, qualified Accountants and Tax experts provides full salary packaging solutions for independent contractors, agencies and employers engaging contractors. Salary Packaging with SDP can increase contractors net income up to 30% and this is an ATO approved way of potentially saving on how much income tax you pay and therefore you will have more disposable income.
Visual Representation of Salary Packaging
For more information regarding Salary Packaging and details of what you can salary package click here
Visit ATO website for information on Salary Sacrificing click here
