Hi Everyone,
My annual income is $102,000 per year and I am a single earner with a family of four.
From 1st of July 2015, the Govt. is reducing the FTB part B income threshold to 100,000 which will reduce my FTB B payments to zero. At the moment it is around $3950/year.
Just wanted to discuss ideas for reducing my income by $2001 to bring it down to $99,999 to continue receiving the payments.
Your ideas are welcome. I guess many other people will be in the same boat as well.
You don't have to depreciate the laptop - portable computers, tables and phones are deductible in one year.
There's nothing that says you would have to declare what you sold it for - except if you made a profit in which case you might have to declare a capital gain.
Well this is completely wrong and the fact that you said it with such conviction is a major worry
A depreciable asset is anything which is worth >$300 after it has been apportioned for private use. On the depreciation worksheet in your tax return you are required to declare the date and amount you sold the asset for to determine the depreciation deduction you can get for that year.
Also profits on personal use assets which are less than $10,000 are exempt from capital gains calculations.
Some of the info here is not entirely correct. Now I know it may be different for single parents but take my case.
I get access to part A and B I earn over 100k by a fair bit. Married with kids
The trick is to get your taxable income down, and have many kids I know this is now changing.
Getting it down by investing in property is one way see a tax agent and they can spell it out to you.
Threshold is currently $150k, that's why you still get FTB A&B. From 1/7/15 onwards the limit is dropping to $100k (adjusted taxable income). You may be affected by this - that is exactly the point of the OP's post.
Plus investing in property has no effect on your FTB limit because investment property losses are added back in adjusted taxable income. If your tax agent gave you advise contrary to this it might be time to find a new one :)
I dont see why I need a new agent, if My agent maximises my return better than others.
If I get an audit so what that's why I have an agent :)
Its all about using the system
I dont see why I need a new agent, if My agent maximises my return better than others.
Because from your post they have given you false information. As in blatantly wrong (about the investment property losses helping you out with FTB). And if they give you advice that far off the mark I would begin to question if they really are maximising my return.
If I get an audit so what that's why I have an agent :)
If you get an audit then it rests on your shoulders. Agent does not protect you in anyway, shape or form. The ATO will contact your agent in first instance but the penalties lie squarely on your shoulders and you can bet your last dollar they won't 'help' you pay some of the penalties. When you sign the tax return you also sign a waiver that it is your responsibility and the agent cannot be held accountable. Further, if you did get audited (not saying you would, in fact it's extremely rare) then when the ATO contacts your agent they will be billing you for their time so it's a double-loss.
Its all about using the system
Yep. 100% agree.
i've been on 40k for years…………… i dont care about ftb if my salary is around 100k…………. @@
Depending on the industry you are working at, you can go to an overseas conference (make sure it is a work related) then claim the work related deduction. Many medical professionals are doing this. You can claim air-ticket, accommodation during conference and conference fee as long as your primary purpose is to attend the conference. If you stay back for holiday, make sure that the holiday period is less than half of total travel period.
while you can get a deduction for work related travel you are required to apportion it based on the percentage of the trip that is work related. So if you have the conference for one day out of five then you can only claim 20% of the relevant expenses
Boohoo so you won't get your free money for having kids. Wah wah. I'm single and never get any free money. That's discriminatory. Politicians only ever try to win the family vote and dont give a stuff about single people. Deal with it.
purchase the most hard core health insurance possible for your family.
The bonus is you'll have A+ healthcare for a year.
you don't get a deduction for Private Health Insurance, if you have adequate cover you don't pay the medicare levy surcharge and you may be able to receive a rebate depending on your adjustable taxable income.
same here, earn 102xxx per year, after tax it is not too much.
we have 2 kids , one is 8 years old and another one is only 2 years old, renting spend us a lot per year in Sydney. it is harder to get deposit for our first property in these years as the property price keeps increasing.
anyway, my point is earning 100000 is really not so much as you think , after tax and without any FTB, in Sydney, it is still hard.
Ask for a de-raise
Like those iSelect ads
Or he could ask for a larger raise to offset his FTB loss…
Spot on. Asking for less money marks you as an idiot in the eyes of your employer. You'll never break through that $100k barrier again. Ask for more time off (unpaid), or ask for a raise. Or donate to a charity. Never EVER ask for a pay cut.
As above, negotiate a pay-rise to $110k, should just about balance out after tax :)
Each year, pay your partner an amount that brings you under the threshold for services of a PA.
Your partner declares this as taxable income, hopefully offset with share of IP deductions or depreciation.
No different to a subsidiary invoicing its parent company - the funds stay in-house.
Not if you say you scrapped it.