Savings and benefits
NSW Health offers salary packaging to eligible staff on the condition that the benefit, through saved income tax, is shared equally between the staff member and the organisation.
The amount you save is calculated at the commencement of your package and will depend on how many fortnights it has been structured over. A fixed amount is then taken out of your fortnightly pay before tax is deducted.
Estimating your salary packaging savings is simple. Packaged salary amounts are paid to you tax-free, so you save the tax you would otherwise have paid on the amount claimed.
For example, if you pay tax at the 34.5% marginal rate (meaning your taxable income is between $45,000 and$120,000 p.a.) then salary packaging $1,000 reduces your tax bill by 34.5% x $1,000 = $345. This saving is then shared 50/50 with NSW Health so you save around $175.
An employee earning $60,000 who maximises their General Living and Meal Entertainment benefits could increase their take home pay by $2,413 per year.
The more you claim, the more you save. And if you have a higher income (and pay a higher tax rate), you save even more.
Note: Savings can be impacted if you have a student loan debt, receive Centrelink benefits. Speak to SalaryPackagingPLUS to understand how your savings will be affected.
Further information
Book an appointment or contact the SalaryPackagingPLUS team:
- Email: nswhealth@salarypackagingplus.com.au
- Phone: 1300 402 523 (Monday to Friday 8am-8pm)
- Website: salarypackagingplus.com.au/nswhealth