Hi,
A motel pays its employees under Hospitality Industry (General) Award.
On occassion, some employees are asked to stay at the motel premises overnight in case the guests need prompt assistance. They get paid $52.66 as Overnight Stay Allowance per the award rate. Under the award, if the employee has to assist more than one hour, then they get extra pay.
My questions are:
1- What allowance is this classed as? Is it an expense allowance? Travel allowance? (can the employee claim any deduction in tax return?)...
2- Is it subject to Pay As You Go Withholding?
3- Is this allowance and any extra payment over 1 hour work form part of Ordinary Time Earnings for the purpose of superannuation guarantee?
4- How is it treated on the payment summary?
5- Should it be reported for STP as a separate item and not included in gross wages?
I appreciate a prompt response to this question.
Kind regards,
Breeze
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