Salary packaging?

[Mattt]

Can someone give me a brief rundown of the best way to optimise your salary?

I've seen things mentioned about novated car leases, rental pre-tax, entertainment pre-tax etc - but it all seems a bit confusing!

I'm hoping to take my TVR out as a weekend car, then I will need probably to get an everyday car (until the TVR arrives, and for the OH to use when she eventually arrives).

I'll be doing FIFO, so doubt my mileage will be high - I'm told that high mileage makes packaged leases the most tax efficient.

[motomk]

Mattt said:

I'll be doing FIFO, so doubt my mileage will be high - I'm told that high mileage makes packaged leases the most tax efficient.

I assume you mean novated lease stuff. The government changed the Fringe Benefits Tax rates last year to come in effect this year.
These are the old ones so it encouraged people to do big kms.

<15000kms = 26%
15000kms - 25000kms = 20%
25000kms to 40000kms = 11%
>40000kms = 7%
Don't worry I don't know them, I just read them from the article!

Now it will be 20% all around on any new leases no matter how many kms you do.

http://www.theage.com.au/money/tax/car-packaging-a...

[yorky500]

Mattt said:

Can someone give me a brief rundown of the best way to optimise your salary?

I've seen things mentioned about novated car leases, rental pre-tax, entertainment pre-tax etc - but it all seems a bit confusing!

I'm hoping to take my TVR out as a weekend car, then I will need probably to get an everyday car (until the TVR arrives, and for the OH to use when she eventually arrives).

I'll be doing FIFO, so doubt my mileage will be high - I'm told that high mileage makes packaged leases the most tax efficient.

I have been advised to get a good accountant.

[Pommygranite]

yorky500 said:

Mattt said:

Can someone give me a brief rundown of the best way to optimise your salary?

I've seen things mentioned about novated car leases, rental pre-tax, entertainment pre-tax etc - but it all seems a bit confusing!

I'm hoping to take my TVR out as a weekend car, then I will need probably to get an everyday car (until the TVR arrives, and for the OH to use when she eventually arrives).

I'll be doing FIFO, so doubt my mileage will be high - I'm told that high mileage makes packaged leases the most tax efficient.

I have been advised to get a good accountant.

A lot of the pre-tax packaging has been removed, unless you work in charity, some education and healthcare roles I understand - if it was available we'd all do it!

Leasing really only works well once you get above around25k's a year business use (I think) - I do about 17k business and I was told the benefits were marginal. The other factor is explaining in your role how you would even do business use on a FIFO role.

However, my knowledge is limited so do post up any tips you get/info.

Good advice getting a good accountant but hardest thing is finding one. Lots of people refer the one they use but you never know if theyregood unless you know they're capturing all the things you can do. I work for a large wealth provider/bank and work with accountancy/financial planning practices and quality varies - be assured you pay for what you get.

[james280779]

Be very very very careful with TVR. They dont come with ECE compliance plates as standard. Makes it very difficult to import. Only chance is personal import but even then it can be a bt touchy. If its not a personal import then unless you got over $120k plus shipping charges, sell it!