Background
David Morgan a young 27 year old from the United Kingdom came to Australia on a working holiday visa 417. As an IT professional David was interested in contracting as it would give him the flexibility to travel and work on various projects.
The problem
With no knowledge of the Australian employment market, David was in over his head with paperwork and trying to comprehend how to move forward. Faced with the burden of studying the administration and legalities involved, David was struggling to see the benefits of becoming a contractor.
Summary of issues,
- No knowledge of employment structures
- Too much time consuming administration
- No TFN number
- No Australian bank account
- No Insurances
The SDP Solution
David Morgan called SDP to seek assistance with the contracting process. After meeting with David we devised a complete package for him – where we would cover all the elements for him; not only sorting out his TFN and bank account for him, but to supply a fully compliant and legal management solution, we also passed on details of our network of IT specialised recruiters to assist him finding work.
Summary of contracting services offered to David:
- Facilitation of contracts
- Compliant employment structure PAYG
- Full insurance cover, PI, PL and workers compensation
- Salary packaging – including car, travel and work related expenses
- Payroll management
- Payment of expenses and allowances – LAFHA and superannuation
Results
When David completed his first contract project as an IT engineer; a short term assignment which was secured through SDP’s referral to the IT recruitment agency, he was overwhelmed with the benefits. He was surprised that by hiring a contract company he would be taking home more money each month and could claim back work related expenses.
- David was able to reduce his tax by 20%
- Take home pay increase of 18.5%
David Morgan a young 27 year old from the United Kingdom came to Australia on a working holiday visa 417. As an IT professional David was interested in contracting as it would give him the flexibility to travel and work on various projects.
The problem
With no knowledge of the Australian employment market, David was in over his head with paperwork and trying to comprehend how to move forward. Faced with the burden of studying the administration and legalities involved, David was struggling to see the benefits of becoming a contractor.
Summary of issues,
- No knowledge of employment structures
- Too much time consuming administration
- No TFN number
- No Australian bank account
- No Insurances
The SDP Solution
David Morgan called SDP to seek assistance with the contracting process. After meeting with David we devised a complete package for him – where we would cover all the elements for him; not only sorting out his TFN and bank account for him, but to supply a fully compliant and legal management solution, we also passed on details of our network of IT specialised recruiters to assist him finding work.
Summary of contracting services offered to David:
- Facilitation of contracts
- Compliant employment structure PAYG
- Full insurance cover, PI, PL and workers compensation
- Salary packaging – including car, travel and work related expenses
- Payroll management
- Payment of expenses and allowances – LAFHA and superannuation
Results
When David completed his first contract project as an IT engineer; a short term assignment which was secured through SDP’s referral to the IT recruitment agency, he was overwhelmed with the benefits. He was surprised that by hiring a contract company he would be taking home more money each month and could claim back work related expenses.
- David was able to reduce his tax by 20%
- Take home pay increase of 18.5%
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Looking professional advice or have any queries? Simply drop us a line, we would be more than happy to assist you.
Contact us here