Salary $90,000
Motor Vehicle $30,000
Travelling 25,000 Kilometres
Superannuation $10,000
Laptop Computer $3,300
Mortgage $5,450
Entertainment $5,200

 

Benefit Items
Not Packaged
Packaged
Gross Salary
$90,000
$90,000
Less
Motor Vehicle Operating Costs
$13,712
Superannuation
$10,000
Laptop Computer
$3,300
Mortgage
$5,450
Entertainment
$5,200
Total Deductions Before Tax
$37,662
Input Tax Credit
$1,546
Gross Salary after Packaging
$90,000
$53,884
Less
PAYG and Medicare Levy
$25,200
$12,323
Net Salary after PAYG and Medicare
$64,800
$41,561
Less After Tax Costs
Non-Packaged Motor Vehicle Costs
$13,712
Non-Packaged Superannuation
$10,000
Non-Packaged Laptop Computer
$3,300
Non-Packaged Mortgage
$5,450
Non-Packaged Entertainment
$5,200
Disposable Income
$27,138
$41,561
Estimated Net Fortnightly Savings
$554
Estimated Net Annual Savings  
$14,423

Increase in Net Salary: 53%


Disclaimer: The calculations contained in the above example are estimates only and are based on packaging parameters and do not take into account your individual circumstances. The calculations assumes, that your employer is eligible to claim back the GST and returns it to your package and that you are claiming the tax-free threshold and that you have no other salary packaged components or additional income/deductions, such as an investment property and are based on Tax rates for 2006-2007. The estimated annual savings are based on the assumption that the financing of the motor vehicle outside of the salary packaging arrangement is on the same terms and conditions as the novated lease quotation. We recommend that you obtain independent financial advice prior to proceeding with a salary packaging arrangement.