What is Salary Sacrifice
Salary sacrifice is an arrangement between you and your employee where they agree to forego part of their before tax pay, in return for you making super contributions of the same value to their BUSSQ account.
The pay they sacrifice is paid directly into your employee’s super fund before income tax is taken out (ie. gross wages).
It is recommended to take the time to negotiate any salary sacrifice packages with your employee in writing, which specifies how much of their employment package is to be paid in super, and how much in wages.
You are not legally obliged to offer salary sacrifice to your employees. It is at your discretion if you choose to do so.
How to manage salary sacrifice payments in EmployerAccess
If you are submitting salary sacrifice payments for your employees, please ensure these contributions are entered into the Salary Sacrifice column in the contribution screen. This will ensure that the salary sacrifice contributions are clearly identifiable and allocated correctly.
When your employee receives their member statement from BUSSQ, they will be able to see their salary sacrifice contributions in the salary sacrifice column, separate from your employer (SG/Award) contributions.
Please note, both employer SG/Award contributions, together with any salary sacrifice contributions count towards an employee’s allowable concessional contribution limit. Any contributions in excess of these limits may attract additional tax.
If you have any questions about salary sacrifice, please contact one of our dedicated Employer Representatives on 07 3369 1111.