Salary Sacrifice (to Super Fund, OTE)

Aimee Slatter

Dec 10, 2024

1821

🎯 The reporting of payments for Salary Sacrifice (to Super Fund, OTE) are now included per the Australian Taxation Office Single Touch Payroll Phase 2 guidance. Salary Sacrifice (to Super Fund, OTE) is reported separately under Salary Sacrifice Type Code = S.

🎯 If you are unsure if this Pay Type applies to your circumstances, please refer to the Payee's Employment Contract or obtain advice from either the Australian Taxation Office or Fair Work Ombudsman.

Salary Sacrifice (to Super Fund, OTE) is applicable when you have established an effective salary sacrifice arrangement and the Payee requests to forego part (either percentage or dollar value) or all of their salary or wages which is contributed by the Payer into their Superannuation Fund at the end of the reporting period. Please visit the ATO's Website to learn more about Salary Sacrifice to Superannuation and the requirements for an effective salary sacrifice arrangement.

As Salary Sacrifice (to Super Fund, OTE) is deducted before PAYGW is calculated, the contributions will not be taxed until the Superannuation Fund receives them.

Salary Sacrifice (to Super Fund, OTE) uses the $ (or % of Rate Per Hour) set within the Deduction and Leave Entitlements are not applicable. Payments with this pay type are considered to be W1 (Total of Salary, Wages & other payments), Taxable and Ordinary Time Earnings (OTE).