I have just been made redundant. I am looking to understand how much tax is payable when I lodge my tax return after this financial year ends. My final payout also includes unpaid salary.
The numbers may appear very slightly off if you manually calculate it but I am pasting them as they appear on my final payout / payslip.
Key info:
- Genuine redundancy, non-voluntary. We were given 3 month notice so no notice pay.
- Total time employed: 1.5 years
- Salary: $140,000 (not including super),
- Hourly rate: $71.79
- Unused Leave (in hours) - 168.4536
- Total amount = 168.4536 * 71.79 = $12,094.10
- Redundancy payout:
- 4 weeks of pay = $10,768.5
- Golden handshake as 4 weeks of pay = $10,768.5
- Unpaid salary:
- 67.5 hours
- 67.5 * 71.79 = $4,846.16
- Tax Free limit
- Base limit = $12,524
- Each year of service = 1 * $6,264 = $6,264
- Total = $18,788
The below is what appears on my final payout payslip
------- BEGIN PAYSLIP -------
Wages and Earnings
- Salary
- 67.5 hours
- $71.79 hourly rate
- This Pay
- $4,846.16
Termination Payments
- Excluded (Type R) Employment Termination Payment
- $2,750.46
- Unused Leave Payment (Genuine Redundancy)
- 168.4536 hours
- $71.79 hourly rate
- equals a total of $12,094.10
- Lump Sum D $18,788.00
- TOTAL
- $33,632.56
Taxes
- PAYG
- $5,534.00
- STSL
- 48
- TOTAL
- $5.582.00
Superannuation Breakdown
- SG
- $557.31
- TOTAL
- $557.31
Employment Termination Payments
- ETP Type R
- Tax Free
- $0.00
- Taxable
- $2,750.46
- Withheld
- $880.00
- Tax Free
Total paid into bank account:
- $32,896.72
------- END PAYSLIP -------
At first I thought I shouldn't have to pay any more tax when I do my individual tax return as the 18,788.00 is tax free and I have already paid tax on the:
- Unused leave
- Salary
- Amount over the Lump Sum D
- (Excluded Type R Employment Termination Payment)
However, after researching it appears the redundancy payments are taxed in two parts. Once when you are made redundant and the other when you do your individual tax return. I am now unsure when I do the individual tax return will I have to declare any amount/s as an ETP?
Can anyone clarify what amount/s will be taxable from this payout once I do my tax return after the end of the financial year? If there are taxable amounts then it would be awesome if I could know what percentage / cents per dollar is taxed per amount.
Cheers.
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