Salary packaging is legal and is a practice offered by a number of private and public organisations. Salary which is packaged retrospectively will be reclassified as income by the ATO and subject to income tax. The salary sacrifice arrangement for packaging superannuation contributions must be properly structured so that the amount sacrificed is not in lieu of an existing and continuing obligation of an employee to make contributions. Changes made to the UniSuper Trust Deed, effective from 1 July 1994, allow employers to pay member contributions to UniSuper. The Tax Office stipulates that, to be effective a salary packaging arrangement must reduce an employee's remuneration.
Salary packaging is a voluntary option for members of staff.
The decision of whether or not to enter into a salary packaging arrangement will rest with each individual employee. Maxine Gamble has been appointed as Co-ordinator, Salary Packaging within the Human Resources department. This position will be responsible for the implementation and on-going administration of salary packaging. If you are an existing member, you may commence salary packaging contributions from the first day of any future pay period. New members to the Fund may commence salary packaging from the date of joining the Fund provided all the paperwork is signed prior to the joining date or from the first day of any future pay period.