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Salary Packaging
Salary packaging (also known as salary sacrifice or salary exchange) is the inclusion of employee benefits (also called fringe benefits) in an employee remuneration package in exchange for giving up part of monetary salary. Such arrangements are entered into most commonly if there are tax or other benefits to be derived by the employer or employee from the arrangement. Salary sacrifice in the United Kingdom In the United Kingdom, employee benefits commonly included in salary sacrifice arrangements are pension contributions, childcare vouchers, and annual leave. If correctly structured, the arrangement can benefit both parties as it saves them both NI contributions as well as save the employee income tax. Salary sacrifice can be extended to any range of benefits and has become increasingly popular in the public sector as well as for transport-related benefits e.g. cycles, bus travel, low CO2 emission cars through a car scheme, and more recently in 2020 vehicle maintenance. Salary ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Employee Benefit
Employment is a relationship between two party (law), parties Regulation, regulating the provision of paid Labour (human activity), labour services. Usually based on a employment contract, contract, one party, the employer, which might be a corporation, a not-for-profit organization, a co-operative, or any other entity, pays the other, the employee, in return for carrying out assigned work. Employees work in return for wage, wages, which can be paid on the basis of an hourly rate, by piecework or an annual salary, depending on the type of work an employee does, the prevailing conditions of the sector and the bargaining power between the parties. Employees in some sectors may receive gratuity, gratuities, bonus payments or employee stock option, stock options. In some types of employment, employees may receive benefits in addition to payment. Benefits may include health insurance, housing, and disability insurance. Employment is typically governed by Labour law, employment laws, o ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Remuneration Package
Remuneration is the pay or other financial compensation provided in exchange for an employee's ''services performed'' (not to be confused with giving (away), or donating, or the act of providing to). Remuneration is one component of reward management. In the UK, it can also refer to the automatic division of profits attributable to members in a Limited Liability Partnership (LLP). Types Remuneration can include: *Commission *Employee benefits *Employee stock ownership *Executive compensation **Deferred compensation *Salary **Performance-linked incentives *Wage * Mandatory compensation payable by an employer to an employee for the benefit obtained from a patent for an invention made by an employee United States For wage withholding purposes under U.S. income tax law, the term "wage" means remuneration (with certain exceptions) for services performed by an employee for an employer.''See generally'' subsection (a) of . Under the faithless servant The faithless servant Legal doct ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
National Insurance
National Insurance (NI) is a fundamental component of the welfare state in the United Kingdom. It acts as a form of social security, since payment of NI contributions establishes entitlement to certain state benefits for workers and their families. Introduced by the National Insurance Act 1911 and expanded by the Attlee ministry in 1948, the system has been subjected to numerous amendments in succeeding years. Initially, it was a contributory form of insurance against illness and unemployment, and eventually provided retirement pensions and other benefits. Currently, workers pay contributions from the age of sixteen years, until the age they become eligible for the State Pension. Contributions are due from employed people earning at or above a threshold called the Lower Earnings Limit, the value of which is reviewed each year. Self-employed people contribute through a percentage of net profits above a threshold, which is reviewed periodically. Individuals may also make volunt ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Company Car
A company car is a vehicle which companies or organizations lease or own and which employees use for their personal and business travel. A take-home vehicle is a vehicle which can be taken home by company employees. Depending on the company, company cars may be available to all employees or just top-level personnel. In corporate car sharing, the company shares the vehicles and allows multiple employees (rather than just one) to make use of a company car, at times when they actually need it. The vehicles are made available from a corporate car sharing pool, and shared for a fixed or flexible period of time. One shared car could replace up to 8 non-shared cars. However, car-sharing does involve additional processing and associated costs. Still, it reduces fleet-related costs over the long term and allow employees to save not only on costs but also on time. Attractiveness There are three main reasons which explain why the provision of a company car for private use as a benefit m ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Novated Lease
A novated lease is a motor vehicle lease which has been novated, that is, the obligations in the contract have been transferred from one party to another. In Australia, it refers almost exclusively to the practice of salary packaging a motor vehicle using a novated lease. A lease is novated with a three way ( tripartite) agreement (''Deed of novation'') between the lessee, the lessor (usually a finance company), and a third party, under which all parties agree that the third party will take on some or all of the lessee's obligations and rights under the lease (generally this is making the rental payments instead of the lessee, as well as having use of the vehicle). Novated leases in Australia Novated leases are almost exclusively used in Australia as part of an arrangement for providing the use of a motor vehicle by an employer to an employee via salary packaging. In a salary packaging arrangement involving a novated lease, an employee leases a motor vehicle and the lease is ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Mobile Phone
A mobile phone or cell phone is a portable telephone that allows users to make and receive calls over a radio frequency link while moving within a designated telephone service area, unlike fixed-location phones ( landline phones). This radio frequency link connects to the switching systems of a mobile phone operator, providing access to the public switched telephone network (PSTN). Modern mobile telephony relies on a cellular network architecture, which is why mobile phones are often referred to as 'cell phones' in North America. Beyond traditional voice communication, digital mobile phones have evolved to support a wide range of additional services. These include text messaging, multimedia messaging, email, and internet access (via LTE, 5G NR or Wi-Fi), as well as short-range wireless technologies like Bluetooth, infrared, and ultra-wideband (UWB). Mobile phones also support a variety of multimedia capabilities, such as digital photography, video recordin ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Laptop Computer
A laptop computer or notebook computer, also known as a laptop or notebook, is a small, portable personal computer (PC). Laptops typically have a Clamshell design, clamshell form factor (design), form factor with a flat-panel computer screen, screen on the inside of the upper lid and an alphanumeric keyboard and pointing device on the inside of the lower lid. Most of the computer's internal hardware is in the lower part, under the keyboard, although many modern laptops have a built-in webcam at the top of the screen, and some even feature a touchscreen display. In most cases, unlike tablet computers which run on mobile operating systems, laptops tend to run on desktop operating systems, which were originally developed for desktop computers. Laptops are used in a variety of settings, such as at work (especially on business trips), in education, for PC game, playing games, Content creation, content creating, web browser, web browsing, for personal multimedia, and for general P ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Fringe Benefits Tax (Australia)
The fringe benefits tax (FBT) is a tax applied within the Taxation in Australia, Australian tax system by the Australian Taxation Office. The tax is levied on most non-cash benefits that an employer provides "in respect of employment." The tax is levied on the employer, not the employee, and will be levied irrespective of whether the benefit is provided directly to the employee or to an associate of the employee. The tax was first imposed in 1986 and the operation of the tax is described by the Fringe Benefits Tax Assessment Act 1986. Fringe benefits A fringe benefit is an extra benefit supplementing an employee's monetary wage or salary. For example: A company car, private health care, fitness club membership, phone or internet service reimbursement, etc. In Australia, a fringe benefit is a payment to an employee that is not considered part of the employee's income. Fringe benefits can be given to current, former, or future employees or a member of their family, a trustee, or ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Taxation In Australia
Income taxes are the most significant form of taxation in Australia, and collected by the federal government through the Australian Taxation Office (ATO). Australian GST revenue is collected by the Federal government, and then paid to the states under a distribution formula determined by the Commonwealth Grants Commission. Australians pay tax for the provision of healthcare, education, defense, roads and railways and for payments to welfare, disaster relief and pensions. Definition The "classic definition" of a tax used by the High Court derived from '' Matthews v Chicory Marketing Board (Vic)'' (1938), where Chief Justice John Latham stated that a tax was "a compulsory exaction of money by a public authority for public purposes, enforceable by law, and is not a payment for services rendered". In a series of judgments under the Mason court – including ''Air Caledonie International v Commonwealth'' (1988), '' Northern Suburbs General Cemetery Reserve Trust v Commonwea ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Tax Avoidance
Tax avoidance is the legal usage of the tax regime in a single territory to one's own advantage to reduce the amount of tax that is payable. A tax shelter is one type of tax avoidance, and tax havens are jurisdictions that facilitate reduced taxes. Tax avoidance should not be confused with tax evasion, which is illegal. Forms of tax avoidance that use legal tax laws in ways not necessarily intended by the government are often criticized in the court of public opinion and by journalists. Many businesses pay little or no tax, and some experience a backlash (sociology), backlash when their tax avoidance becomes known to the public. Conversely, benefiting from tax laws in ways that were intended by governments is sometimes referred to as tax planning. The World Bank's World Development Report 2019 on the future of work supports increased government efforts to curb tax avoidance as part of a new social contract focused on human capital investments and expanded social protection. "T ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Wages And Salaries
Wages and salaries are the remuneration paid or payable to employees for work performed on behalf of an employer or services provided. Normally, an employer is not permitted to withhold the wages or any part thereof, except as permitted or required by law. Employers are required by law to deduct from wages, commonly termed "withhold", income taxes, social contributions and for other purposes, which are then paid directly to tax authorities, social security authority, etc., on behalf of the employee. Garnishment is a court ordered withholding from wages to pay a debt. Wages and salaries are typically paid directly to an employee in the form of cash or in a cash equivalent, such as by cheque or by direct deposit into the employee's bank account or an account directed by the employee. Alternatively, all or a part may be paid in various other ways, such as payment in kind in the form of goods or services provided to the employee, (SNA 7.32-7.42) such as food and board. For tax purpose ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
