Salary sacrifice

Salary sacrifice (or salary sacrificing or salary sacrifice arrangement) refers to including before-tax superannuation contributions as part of a salary package, which then reduces a person’s taxable salary and the amount of income tax payable.


Set out below are all SuperGuide articles explaining Salary sacrifice.

Cashing in on the co contribution rules (2014/2015 year)   Super Guide

The federal government is giving away money to anyone who makes a non-concessional (after-tax) contribution to their super fund, and who earns less than $49,488 a year (for the 2014/2015 year). The tax-free giveaway is officially called the co-contribution scheme.

Super concessional contributions: 2014/2015 survival guide   Super Guide

Superannuation contributions can be divided into two types — concessional (before-tax) and non-concessional (after-tax). Each type of super contribution is subject to a contributions cap.

Double contributions tax for high income earners   Super Guide

Anyone earning more than $300,000 (including rental property losses and other items) now pays 30% tax on concessional contributions paid into a super fund, doubling the super tax bill for high-income earners. The regular contributions tax is a flat rate of 15%.

Tax deductible super contributions: Meeting the 10% income test   Super Guide

Q: I work for myself but I also have a part-time job. I have been told that even though I receive SG from my part-time employer, I can also make tax-deductible super contributions. Is that true? And if it is true, how does it work?

Superannuation Guarantee: Many Aussies to miss out on SG increase   Super Guide

You can expect some difficult conversations between employers and employees in coming months as some salaried employees discover that the Superannuation Guarantee (SG) increase of 0.25% (taking the SG rate to 9.5%) will not benefit those employees on fixed remuneration packages.

Superannuation Guarantee: 10 facts about your SG entitlements   Super Guide

If you work as an employee, and you satisfy certain minimum requirements, your employer must pay Superannuation Guarantee (SG) contributions on your behalf, to a super fund.

Superannuation Guarantee: What is the maximum SG employers must pay?   Super Guide

Can you please confirm what the maximum SG contribution is allowed to be for the 2014/2015 year, based on $270,000?

Concessional contributions caps: 10 facts you should know   Super Guide

We receive many questions about the concessional contributions caps. Throughout 2014, SuperGuide, as always, will regularly update readers on any proposed changes to the contributions caps (and other super changes), and the implications of such changes on super strategies.

Upper limit on SG contributions (for 2014/2015 and previous years)   Super Guide

This article explains the maximum superannuation contribution base for the 2014/2015 year, 2013/2014 year and previous years.

Super for beginners, part 19: My employer has gone broke. What happens to my SG entitlements?   Super Guide

Q: My employer has suddenly ceased trading and despite appearing on weekly pay slips, I and fellow employees find no super contributions have been made, in my case for over 12 months. What, if any recourse, do we have?