Effective from July 2018
Approved by: Chief Executive Officer
Five Good Friends has a salary packaging arrangement available to permanent employees whereby remuneration may be split between PAYG salary and benefit items.
This policy aims to provide guidance on the list of benefits available to employees and the related terms and conditions.
All employees within Five Good Friends.
Salary sacrifice arrangement (www.ato.gov.au) - A salary sacrifice arrangement is also commonly referred to as salary packaging or total remuneration packaging. It is an arrangement between an employer and an employee, where the employee agrees to forgo part of their future entitlement to salary or wages in return for the employer providing them with benefits of a similar value.
Agreement between you and your employer - It is advisable that you and your employer clearly state and agree on all the terms of any salary sacrifice arrangement. The agreement will need to be in writing. If you enter into an undocumented salary sacrifice arrangement, you may have difficulty establishing the facts of your agreement. Subject to the terms of any contract of employment or industrial agreement, employees can renegotiate a salary sacrifice arrangement at any time. Where you have a renewable contract, you can renegotiate amounts of salary or wages to be sacrificed before the start of each renewal.
Further ATO definitions and criteria available via this link: ATO Salary Sacrifice Arrangements for Employees
It is the responsibility of all Senior Executives, General Managers, Human Resources, and Senior Managers to maintain this policy.
Benefits for which salary can be sacrificed are as follows: