This is what happens to your pay once you've set up a RemServ salary packaging account:
- Each pay cycle your 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.superannuation, portable electronic devices, rent, mortgage 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
*Please note that eligibility criteria applies for some benefits.
By getting taxed on a lower amount you could effectively be paying less tax and your disposable income could be increased. This could leave you with more to spend at each pay cycle.
Before you start…
The Queensland Government strongly recommends prior to employees entering into or changing their Salary Packaging Agreement that they seek independent financial advice.