Meal Entertainment - Frequently Asked Questions

What is meal entertainment?

Meal entertainment allows staff to pay less tax by claiming meals and drinks consumed in a restaurant or café or provided at a social gathering. Technically, it is defined as the ‘provision of entertainment by way of food and drink’.

Why is it available?

NSW Health staff can access Meal Entertainment because the organisation is categorised as a Public Benevolent Institution by the Australia Taxation Office. The benefit is shared between the organisation and staff.

Do the meals need to be related to work?

The meals and drinks (including those of guests with the eligible employee) do not have to be related to employment with NSW Health.

Why can meals that are not work related be claimed?

Meals that are not work related can be claimed because the organisation is a Public Benevolent Institution (PBI). PBIs can offer meal entertainment as an incentive to retain staff.

Can I claim my weekly groceries?

Meal entertainment cannot be used to claim weekly groceries. This is because it is not for the purpose of entertaining guests.

What is the minimum claim?

You need to provide at least $500 worth of receipts for each personal or private catering meal entertainment claim.

What is the maximum amount that can be claimed?

The maximum amount that can be claimed under meal entertainment is $2,649. This is a combined limit of both meal entertainment (receipts) and the Meal Entertainment Card.

Is meal entertainment a reportable fringe benefit?

Meal entertainment is a reportable fringe benefit with a $5,000 ‘grossed up’ cap, and will be included on your Income Statement. This cap is separate to the $17,000 ‘grossed up’ Salary Packaging cap.

Can I claim food and drinks for a birthday, wedding or anniversary?

Yes. You can claim all food and drinks served at the party provided they are itemised on a receipt. Please make sure there are no ‘non-food items’ such as cups or plates on the receipt because this will void the claim.

Are receipts ever rejected?

If a receipt does not meet the guidelines it will be deducted from the total claim.

What else can I claim with my meal?

Expenses such as parking or a taxi to/from the venue where the meal entertainment is held as well as overnight accommodation can also be claimed.

Can I claim meals while I am overseas?

Yes. If the receipts are in English and they meet the guidelines. SalaryPackagingPLUS will convert the receipt amounts to Australian Dollars.

How many times can I claim meal entertainment?

There is no limit to the number of personal or private meal entertainment claims you can make. The only restriction is that only 12 self-catered events can be claimed per year (between 1 April and 31 March).

Will I know how much of my claim was approved?

The approved value of your claim is not generally sent to employees, unless more than 10% of the claim value has been declined. SalaryPackagingPLUS  endeavours to set up meal entertainment claims so the maximum benefit is received. If you would like to know how much of your meal claim was approved please contact SalaryPackagingPLUS.

How many pays will my claim be spread over?

Employees are not generally told how many pays their claim will be spread over. SalaryPackagingPLUS endeavours to set up meal entertainment claims so the maximum benefit is received.

What is a meal entertainment card?

The Meal Entertainment Card allows employees to pay for meals with their gross salary (before tax is deducted) using a visa debit card. Each pay, an amount that is nominated by you is deducted from your pay and added to the card for you to use for meal entertainment. See the Meal Entertainment Reference Guide for more information.

What is the minimum amount I have to contribute to my meal entertainment card?

The minimum amount which can be placed on your meal entertainment card each pay is $20.00.

Further information

Book an appointment or contact the SalaryPackagingPLUS team:

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