Salary Packaging - Queensland In-House Benefits:

What is the Queensland In-House Benefit?
The Queensland Government is the largest company in Queensland to supply all of its employees with salary packaging benefits.

One of the exclusive benefits offered to Queensland Government employees is the ‘QG In-House Benefit’.

Because the Queensland Government owns the power grids and the public transport system they are able to offer to their employees the ability to salary package up to $1333.33 per FBT year towards a GO Card or their electricity bills.  The FBT year is from 1 April until 31 March each year.

This benefit is offered by the Queensland Government to help with staff retention and to  give Queensland government employees a higher disposable income.

 

Here is an example:
Jane and Jack are on the same income and have the same expenses. Jane works for the Queensland Government and is packaging her electricity whilst Jack is not.  

Jane

Jack

Gross Income

$55,000

$55,000

Less Salary Packaged

In-House Benefit

$1,333

-

Taxable Income

$53,667

$55,000

Income Tax

$9,650

$10,050

Medicare Levy

$805

$825

Net Pay (per Annum)

$43,212

$44,125

Minus Expenses (eg Electricity)

$0

$1,333

Net Disposable Income (per Annum)

$43,212

$42,791

Net Disposable Income (Fortnightly)

$1,662

$1645

At the end of the year Jane’s Disposable income is $43,212 and Jack’s is $42,791.  Through salary packaging her In-House benefit Jane is able to save an $442 every year! 

Although it may not seem like much, but when added with other salary packaging benefits the saving just continue every year. As your income increases then so will your savings.

You have the opportunity to put more in your back pocket? Why would you not take full advantage of it?

 

How does it Work?
Money is taken from your pay before tax and sent to the administration company. From there you will send proof of a paid bill or a bill that is required to be paid.

The money is then sent from your administration account to either yourself in the form of a reimbursement or to pay for the bill. 

 

What to do now?
To ensure that you are maximising your packaging you should contact us.  We can give you some information specific to your situation and even set up your salary packaging to ensure that you are taking full advantage to what is available to you.

If you are already salary packaging, but not sure if you are gaining your full benefits available we can complete a review of your account free of charge.

Prepared by John Hehir - Financial Advisers Australia (FAA)