Salary packaging is an ATO approved way of paying for certain items before you pay income tax. Meal Entertainment - Frequently Asked Questions - HealthShare NSW payment of your expenses for loan repayments, school fees and childcare costs. The table below provides an outline of what you can and cant package as meal entertainment: The AccessPay Salary Packaging and Meal Entertainment Card is a prepaid, reloadable Mastercard issued by EML Payment Solutions Limited ABN 30 131 436 532 AFSL 404131. Mortgage, rent, car and credit card expenses are just some of the things you can use to minimise your tax. Meal Entertainment - Salary Packaging Benefits - AccessPay Pty Ltd Your card is not able to be used for direct debit or BPay payments. It is an arrangement between an employer and an employee, where the employee: An effective salary sacrifice arrangement will detail the amount of salary or wage income to be sacrificed. (e.g. What an employee cant pay for with the MEC. If you provide a benefit under a salary packaging arrangement, you must use the actual cost. 1. Yes. . taxi travel for meal at such and such restaurant on such and such date). $4,145if employee contributions of $7,000are made. The meal entertainment card allows employees to expense food and drink, entertainment, holiday accommodation, and even venue hire while using pre-tax dollars. To be effective, the employee must enter into the arrangement: Under an effective salary sacrifice arrangement: From 1January 2020, salary sacrificed contributions: Employers may be required to report certain benefits on their employees' income statements or payment summaries. What is Salary Packaging and How Does it Work? - Eziway Maxxia Wallet is a Mastercard and is issued by EML Payment Solutions Limited ABN 30 131 436 432 AFSL 404131. 1 Theres a cap across Meal and Entertainment, Holiday Accommodation and Venue Hire benefits of $2,650 per FBT year (1 April 31 March). Send us a message using your GO Salary inbox, emailgetgo@gosalary.com.au, phone (03) 9955 7380, or Ask Amy! To have an effective salary sacrifice arrangement, you must: An effective salary sacrifice arrangement can't include salary and wages, leave entitlements, bonuses or commissions that you accrue before you enter an arrangement. Such a review will be over and above the 20 referred to in Item 1 above (The Director of Internal Audit is to assess the timing and duration of ongoing reviews). We are committed to providing you with accurate, consistent and clear information to help you understand your rights and entitlements and meet your obligations. Exempt entertainment benefits for business, Common entertainment scenarios for business, FBT and entertainment for not-for-profit and government organisations, Tax-exempt body entertainment fringe benefits, Entertainment exemptions for not-for-profit and government organisations, Common entertainment scenarios for income tax exempt bodies, Calculating the taxable value of entertainment-related benefits, Accommodation and location related fringe benefits, Living-away-from-home allowance fringe benefits, Relocation expenses fringe benefit concessions, Exemptions, concessions and other ways to reduce FBT, Taxi, ride-sourcing and public transport exemptions, Contributions to approved worker entitlement funds, FBT concessions for not-for-profit organisations, Overview: FBT concessions for not-for-profits, FBT and not-for-profit organisations that provide care, FBT registration, lodgment, payment and reporting, Reporting exclusion for pooled or shared cars, Reporting exclusion for entertainment-related benefits, FBT administration in government organisations, How FBT operates for government employers, Effective FBT administration by government organisations, Establish and maintain effective FBT controls, Review the effectiveness of FBT administration, Nominating state or territory bodies as FBT employers, Effect of nominating a body as an FBT employer, FBT exemption for fly-in-fly-out arrangements, Aboriginal and Torres Strait Islander people. Link to download MySalPack app user guide, More information about our partnership with Beyond Bank Australia, Book a salary packaging phone consultation. This is the end of the salary packaging year. Gasthaus Lehner Zum Storchennest - Tripadvisor wedding or birthday party. Theres no need to submit claims or receipts just present your card to pay the bill and it will automatically be deducted from your entertainment account its as simple as that! Salary+car (withoutemployee contributions), 3. These are ATO restrictions. . Use the actual value or meal entertainment methods to work out the taxable value of entertainment-related benefits. Drive thru or take away at fast food restaurant. We don't provide advice on entering or rejecting a salary sacrifice arrangement. Food consumed in-flight. You can salary package: up to $15,900 per FBT year if you work for a charity or not-for-profit organisation (equal to $611.50 per fortnight) up to $9,010 per FBT year if you work for a public or private not-for-profit hospital (equal to $346.50 per fortnight) Even if you have a HELP/HECS debt you could benefit from salary packaging. Over 60% of Australian health, charity and PBI employees are salary packaging. Takeaway (including drive-through and home-delivered meals), Self catering (including groceries and bottle shop purchases), Drinks only (for example, buying a coffee only), Light refreshments (non dine-in meals, such as chips, pies, cakes, etc. Alcoholic drinks that are not purchased in conjunction with a meal. The 50:50 split method the taxable value is 50% of your total expenditure on all meal entertainment for all people (irrespective of whether they're employees, clients or others) during the FBT year. Here are some examples of the potential tax saving structures: Public Benevolent Institution Public Hospital $18,200 Annual Tax-Free Threshold $18,200 $2,649 Meal Entertainment Cap $2,649 $15,900 ($30,000 Cap) Annual Cap $9,010 ($17,000 Cap) $36,749 Tax free Salary $29,859 This exemption only applies to meal entertainment and not to recreation. Access to balances and transaction history 24/7 via internet banking or the Beyond Bank mobile app. In order for food or drink to qualify as meal entertainment, there must be some element of entertainment present. You will still salary package the same amount annually itll just be spread over one less pay (say, 25 fortnightly pays instead of 26). e.g. To make the most of this benefit, you must reduce the balance on your card to $0 by 31 March each year as you cannot carry over any remaining balance to the next FBT year. Under a salary sacrifice arrangement, you should pay less tax than you would have without an arrangement. e.g. There is an annual cap amount of $2,650 for Meal Entertainment. There is no restriction on the types of benefits you can include in a salary sacrifice arrangement. any receipt marked takeaway, drive through, carry out, will not be accepted. The Target Market Determination for this product can be found here. Some of the information on this website applies to a specific financial year. This means they are taxed in the super fund under tax laws dealing with this subject. Conditions and fees apply. is more likely to be meal entertainment. SalaryPackagingPLUS is proud to partner with Beyond Bank to provide our customers with Visa debit cards for general living and meal entertainment expenses. To work out the fringe benefits tax (FBT) on entertainment-related benefits you've provided, you first need to know the taxable value of the benefits. Credit card stubs alone are not acceptable, tax invoices/receipts must be itemised and include at least two meals, NSW Health needs to be satisfied that the employee paid the account. meals or drinks from venues on-site (at your workplace), alcohol, unless it is consumed when dining out with friends or family, choose how much you wish to spend on your card (up to the yearly cap limit), put an end to paper receipts and filling out claim forms. tax invoices/receipts must identify the restaurant/caf/function centre/caterer. Non-food related purchases for self-catering. This includes either: The benefit you receive may affect your eligibility for: Your salary-sacrificed super contributions are additional to your super guarantee entitlements. Please consider if this product is right for you. If you follow our information and it turns out to be incorrect, or it is misleading and you make a mistake as a result, we will take that into account when determining what action, if any, we should take. Eligible expenses are 'packaged' and paid to you as tax-free salary, reducing your tax bill and potentially increasing your take home pay by thousands each year. providing accommodation or transport in connection with entertainment may be a residual fringe benefit entertainment provided by an employer who is exempt from income tax (for example, a registered charity) may be a tax-exempt body entertainment benefit. Salary sacrificing is also known as salary packaging or total remuneration packaging. Salary packaging your restaurant meals is a simple way to put tax savings on the menu, Have you got an appetite for savings? Download MySalPack app for existing customers. What expenses can an employee pay with the MEC? Permanent full time, permanent part time and temporary employees with contracts of at least three months duration are eligible for salary packaging and meal entertainment. Not For Profit Salary Packaging | Smartsalary Some of the information on this website applies to a specific financial year. Available benefits | Advantage - Salary To read more about how we handle your personal information, please read our Privacy Statement. You can do this quickly and easily using the Beyond Bank smartphone app. Salary packaging for not-for-profit employees is an ATO-approved way of reducing the tax you pay on certain expenses. Yes, you can package up to $2,650 each FBT year, but the Meal Entertainment cap is in addition to the existing salary packaging cap limit for everyday living expenses (for example, mortgage or rent). Holidays or any other recreational activities do not meet the criteria of in connection with and are not allowed. claims should only be made when at least $500 worth of receipts are gathered. Calculating the taxable value of entertainment-related benefits Use the actual value or meal entertainment methods to work out the taxable value of entertainment-related benefits. FBT and entertainment for not-for-profit and government organisationsTax-exempt body entertainment fringe benefits, exemptions and common scenarios for not-for-profits and government. If you are under the $30,000 cap for that employee, go straight to step 20. You can then check your balances and transactions live. Add Card Benefits of our Cards Paperless. If you follow our information and it turns out to be incorrect, or it is misleading and you make a mistake as a result, we will take that into account when determining what action, if any, we should take. Quality time with friends and family over a good meal at your favourite caf or restaurant is all the more affordable and achievable when you salary package meal entertainment.