FAQs

You are here:

Print

How do I claim?

Three ways to claim your salary packaging benefits

1. Set up automatic payments where possible

The easiest way to claim benefits is to set up automatic payments for items such as mortgage, rent or credit card payments. This allows us to take care of it all for you. And you avoid any extra paperwork.

Once you've provided initial documentation to verify the expense (e.g. home loan records), your job is done.

2. A Salary Packaging Payment Card makes it easy

For living expenses, such as groceries and clothing, the Salary Packaging Payment Card is a convenient option.

You use it like a credit card - except the funds are drawn from your salary packaging account. Just swipe, sign and go.

3. How to submit a paper claim

If you don't have a Salary Packaging Payment Card - or if you've already paid for the item - you can submit a paper claim for reimbursement.

Please remember to always keep your proof of purchase (typically a tax invoice or receipt).

  • visit the forms section and download a claim form
  • complete the claim form and attach your proof of purchase
  • upload your documents using our form upload tool, email to remserv@remserv.com.au or mail to: RemServ, GPO Box 424, Brisbane QLD 4001

Once received, we'll process your claim within 3-5 business days and deposit the funds from your salary packaging account into your regular bank account.

We will also send you a confirmation email on the same day.

Ready to find out more?

Back to top
How will my HELP/HECS debt impact my salary packaging?

Salary packaging with a HELP/HECS debt

You can benefit from salary packaging even if you have a HELP (Higher Education Loan Program) or HECS (Higher Education Contribution Scheme) debt.

Understanding your 'adjusted taxable income'

Although salary packaging can reduce your taxable income (for the purpose of paying income tax), it can increase the gross value of your salary.

This is referred to as your 'adjusted taxable income'.

So your adjusted taxable income equals your salary plus the gross value of your fringe benefits (e.g. $40,900 + $17,667 = $58,567)

How your adjusted taxable income impacts HELP and HECS repayments

The ATO assesses you on your 'adjusted taxable income' when working out how much you should pay in HELP or HECS repayments.

So with an increased gross salary, you may need to increase your regular HELP or HECS repayments.

Otherwise you may end up with a bill at tax time.

A salary packaging and HELP/HECS debt example

Without salary packaging With salary packaging
Ryan earns $55,000 each year Lisa earns $55,000 each year
He is taxed $10,347* She salary packages $9,010 in rent payments, including $220 in administration fees
Ryan's HELP payment is $2,000 Lisa is taxed $7,024*
He then pays $9,010 in rent Her HELP payment is $2,855
His take home pay is$33,443 Her take home pay is $35,891
Lisa is $2,448 better off than Ryan because she has paid an extra $655 towards her HELP debt (or an extra $25 each fortnight).

* Includes PAYG, Medicare and Flood Disaster Levy (where applicable)

Before you start…

Before you start salary packaging, please tell your payroll department to take additional HELP or HECS repayments from your salary.

Please also seek financial advice if you're unsure.

Ready to find out more?

Back to top
How will salary packaging affect my pay?

A simple explanation

This is what happens to your pay once you've set up a RemServ salary packaging account.

  • each pay cycle, your employer's payroll department deducts a nominated portion of your salary before tax is applied - and sends those funds to us
  • you can then use these funds to pay for your chosen benefits (e.g. Living Expenses, Mortgage payments, Meal Entertainment etc.)
  • the rest of your salary gets taxed. However, because some of your salary has been taken out (to pay for your chosen expenses), you are taxed on a lower amount
  • your post-tax salary is then deposited into your bank account as usual.

By getting taxed on a lower amount and effectively paying less tax, your disposable income is increased. This leaves you with more to spend at each pay cycle.

Ready to find out more?

Back to top
Is it too good to be true?

Hundreds of thousands of Australians benefit from salary packaging every year

Salary packaging is an extremely popular way to get more out of your pay.

Many employers within the private and public sector offer salary packaging as an incentive to retain and reward their staff.

The types of benefits you can salary package, and how much, depends on what your employer offers, as well as, what the Australian Taxation Office (ATO) allows for your particular industry.

Rest assured our tax and compliance specialists keep up-to-date with ATO rulings and developments in Fringe Benefits Tax legislation to ensure we are across any changes to salary packaging which may affect you.

Ready to find out more?

Back to top
Is salary packaging easy to manage?

We take care of the hassles. You enjoy the benefits.

After we set up your salary packaging arrangements, we also manage them for you. This means that we pay for your nominated expenses on your behalf - using your pre-tax dollars.

That's right. You don't even have to remember to pay your bills!

A simple process at every pay cycle

  • each pay cycle, your employer's payroll department deducts a nominated portion of your salary before tax is applied - and sends those funds to us
  • you can then use these funds to pay for your chosen benefits (e.g. living expenses, mortgage payments, Meal Entertainment etc.)
  • the rest of your salary gets taxed. However, because some of your salary has been taken out (to pay for your chosen expenses) you are taxed on a lower amount  
  • your post-tax salary is then deposited into your bank account - as usual.

View and adjust your account at any time

Although we pay for your expenses on your behalf, it's still important you know what's being paid and how much is in your account at any time.

Your Secure Online Account is accessible 24/7 and allows you to:

  • view your transactions
  • view your account balance.

Ready to find out more?

Back to top
What are cap limits?

Cap limits explained

If you work in the public health or charity industry, you can package certain items up to a set amount. This is referred to as your FBT exemption 'cap limit'.

The cap limit is the highest amount you can salary package within a Fringe Benefits Tax (FBT) year (1 April to 30 March) without incurring FBT.

If you salary package capped benefits over your cap limit, FBT will be applied to the expenses - and you could pay tax on the extra.

Also from 1 April 2016, if you work in the health or charity sector you will also have access to a combined annual cap limit of $2,550 ($5,000 ‘grossed-up’) which applies to both Meal Entertainment and Venue Hire benefits each Fringe Benefits Tax (FBT) year if this is offered under your employer's workplace benefits program. 

Ready to find out more?

Back to top
What are the benefits of salary packaging?

Why so many people say 'yes' to salary packaging

Employers offer salary packaging to reward staff for their loyalty and hard work.

But not every employer offers this benefit. So if you're one of the lucky ones, take the time to understand the many advantages salary packaging has to offer.

Pay less tax

When you salary package, you pay for some expenses - such as mortgage,rent or work-related costs - with your pre-tax salary.

So you still pay for your usual expenses, but because you're using pre-tax dollars you are reducing your taxable income at the same time. And who wouldn't want to save on tax?

Enjoy more spending money

At each pay cycle you have more money to spend on the things you want.

You may spend it on some stylish new clothes, a well-deserved weekend away - or to simply get on top of your ongoing bills. The choice is yours.

Save on the cost of running your car

By salary packaging your car with a novated lease, you could reduce the cost of keeping your car on the road - and finally afford to drive the car want.

You pay for your lease and running costs (including fuel, tyres and roadside assistance) from a combination of your pre and post-tax salary.

With a novated lease you can package:

  • a new car
  • a used car
  • your existing vehicle.

If you are considering packaging a used car or your existing vehicle, some conditions may apply.

Ready to find out more?

Back to top
What does it cost?

A small fee for a potentially big saving

RemServ administers all your salary packaging arrangements. Fees for this service are paid to RemServ from your pre-tax salary and include GST. Fees vary depending on your employer and your chosen benefits package. You can find our fees in your employer’s Salary Packaging Information Booklet, available from My Hub.

Fees are paid out of your pre-tax dollars, and:

  • do not contribute towards any capping limit
  • do not attract FBT.

Want more information on fees?

Back to top
What if I don’t work full-time?

Good news for casual and part-time workers

Salary packaging is not only for full-time employees.

If you work casual or part-time hours, and your employer offers you salary packaging as part of your workplace benefits program, you can still reap the rewards of salary packaging, No matter how many hours you work or how much you earn, if you're paying income tax, you could save by salary packaging.

And depending on your employer, you can salary package as much or as little as you like.

For example, a part-time worker in the health industry earning $25,000 a year could save up to $1,073.

Ready to find out more?

Back to top
What’s the difference between capped and uncapped benefits?

Benefits may be capped or uncapped

If you work in the public health or charity industry, you will notice that benefits may be capped or uncapped - depending on the expense type and sector you work in.

Capped benefits are those that can only be salary packaged up to a certain amount. This is referred to as the 'cap limit'.

The cap limit is the highest amount you can salary package without incurring Fringe Benefits Tax (FBT). If you salary package capped benefits over your cap limit, FBT will be applied to the expenses - and you could pay tax on the extra.

Uncapped benefits have no limit at all - and do not incur FBT.

What are the cap limits for my industry?

Health employees can salary package a range of benefits up to the FBT exemption cap of $9,010 each FBT year.

Charity employees can salary package a range of benefits up to the FBT exemption cap of $15,900 each FBT year.

Health and charity employees can also salary package Meal Entertainment and Venue Hire with a cap of $2,550 each FBT year.

 

Ready to find out more?

Back to top

Loading