I have started working for a not-for-profit rebateable employer. I am earning ~$75,000 and am able to package $15,900 for my rent. However, based on some online calculators it seems it might actually be worse off for me to salary package and I don't understand how that is possible. It seems like it is something to do with fringe benefit tax but from my understanding FBT is paid by the employer so how would that negatively affect my pay. I thought that by salary packaging I would just be able to avoid paying tax on the $15,900.
I do have HECS debt atm, but it seems even without that it still makes me worse off.
Any help explaining how this works would be greatly appreciated!
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3,174 views10 replies
10 replies
3,174 views
10 replies