Here’s 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.