Loan for Salary Sacrifice

• 

  Findmebargain on 10/12/2020 - 09:38

  Assuming your employer is NFP. Rents? And if you have a credit card, your payments towards each month's closing balance will count as well.

• 

  jv on 10/12/2020 - 09:40

  +1

  to take advantage of the benefit?

  What is the benefit?

  • 

    theHMASfriendship on 10/12/2020 - 09:47

    Friendship

  • 

    perhaps on 10/12/2020 - 09:50

    …BeNeFiTz

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  snagsnag on 10/12/2020 - 09:54

  You get to use pretax pay to pay towards things like rent and loan.
  The year end of the benefit is April each year.
  If you don't have those things and don't use it, it just goes to waste

  Cheers

  • 

    jv on 10/12/2020 - 10:03

    You get to use pretax pay to pay towards things like rent and loan.

    It means your salary would be less than what it would otherwise be to pay for FBT.

  • 

    stirlo on 10/12/2020 - 10:43

    +1

    If your talking about salary packaging at a not for profit organisation the only limitations were very specific like not to be used to purchase guns or explosives. Apart from that get the salary packaged debit card and put your expenses on it. Unless you somehow manage to spend less than $16k per year total…

    Keep in mind that salary packaging will mess with any HECS/HELP debts you might have so you get far less benefit if you have these debts.

• 

  Duckie2hh on 10/12/2020 - 10:01

  +1

  Take a loan and buy shares,

  • 

    jv on 10/12/2020 - 10:04

    -1

    Do you mean:

    Take a loan and buy chairs?

    • 

      snagsnag on 10/12/2020 - 10:06

      +2

      I think they mean buy flares
      - Duck Duck is all about the disco

      • 

        holdenmg on 10/12/2020 - 10:22

        Damn, thought you meant Distress/Signal Flares…

    • 

      JIMB0 on 10/12/2020 - 12:05

      You need to be careful to only buy chairs that go up. Try to avoid chairs that fold up.

      • 

        jv on 10/12/2020 - 12:05

        True…

• 

  Gunther on 10/12/2020 - 11:14

  Salary Sacrificing is usually a ripjob, especially for cars. Works out better just pay the cash upfront if you have it.

  You need to run a total cost of ownership to see if its worth it in the long run, which will have many variables based on your personal situation and salary sacrifice provider.

  • 

    MS Paint on 10/12/2020 - 11:39

    +4

    Are you confusing a novated lease with a not for profit salary sacrifice scheme?

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  Ellioty on 10/12/2020 - 12:16

  Salary Sacrifice can be used for rent expenses as well as personal loan or Mortgage repayments, up to $9,009.86 per Fringe Benefits Tax year (This may not be the same as the ATO Tax year)

  Some organisation will allow meals and entertainment up to a limit also.

  So doesn't necessarily need to be in conjunction with debt.

  Hope this helps

• 

  cheaplee on 11/12/2020 - 16:10

  There should be a brochure by the salary sacrificing company that details what you can claim. If you are taking it a loan to access the benefits of SS I feel you are not going to end up in front.

  Also FBT year, as mentioned above, runs 1st April to 31st March. If you start in Jan you can max out your FBT year in the remaining 3 months. Essentially $10,000 in the first 3 months is tax free.