You can claim up to $9,010 per FBT year and, by packaging these costs under your employer’s tax-free cap entitlement, you can significantly reduce your annual tax bill.
Here's a breakdown of the items you could package.
Evidence will need to be provided of your ongoing repayment obligation; you will not need to submit any further claims during the life of your mortgage/loan.
You must provide substantiation, as per the 'Benefit Substantiation' tabled below.
Evidence of your ongoing rental amount will need to be provided. If we have set up salary packaging reimbursements based on your rental amount and that amount increases/decrease at a future time or you change rental properties you must inform us so we can adjust your package. If you do not advise us you could incur FBT or other tax charges. You must provide substantiation, as per the 'Benefit Substantiation' tabled below.
We will set up salary packaging reimbursements for the total $9,010 cap limit. If you submit statements that do not cover your full annual cap entitlement you will need to submit further claims to ensure your annual benefits are paid prior to 31 March annually. If you submit credit card claims that exceed your remaining annual cap entitlement we will rollover the excess claims towards next year’s cap.
If you aren’t packaging an ongoing expense like mortgage or rent, the easiest way to salary package your living expenses is by using the ATO-approved Eastern Health Salary Packaging VISA debit Card. Use it to pay for groceries, bills, clothing, and just about anything else where Visa is accepted.
You can send in a claim form and proof of payment for Private health insurance, HECS/HELP repayments and School fees/Child Care.
Download the claim form to provide details of benefits.
Repayments for an employee’s mortgage, personal or car loan are an on-going item with a regular frequency and repayment amount. The below outlines the documentation required to substantiate the claims for particular benefits. For all other benefits copies of tax invoices or receipts providing evidence of the expenditure must be provided.
A copy of loan documentation or an account statement (in your or your spouse’s name) showing your minimum monthly repayment obligation or the expenditure you have incurred.
A copy of your rental agreement showing your periodic rent obligations;
A credit card or bank account statement (or similar) showing repayment amounts debited against your account or credited to the card account.
Salary packaging this benefit will result in a Reportable Fringe Benefit Amount (RFBA) on your annual income statement.