Salary Sacrifice within Entire OnHire

Frequently Asked Questions (FAQ) - Salary Sacrifice in Entire OnHire

1. What is Salary Sacrifice?
   Salary sacrifice is a voluntary arrangement where an employee agrees to give up a portion of their pre-tax salary in exchange for certain benefits. In the context of Entire OnHire, this can include sacrificing a part of your salary to avail of specific benefits or allowances.
2. How can I set up a Salary Sacrifice Deduction in Entire OnHire?
   To set up a salary sacrifice deduction in Entire OnHire, follow these steps:
   
   Please note that even though this is set for 100% you will be able to adjust the amount accordingly when assigning it to the member, so we would suggest not writing the % in this if you want to use it across.
   
   Or you can create multiple deductions based on the %.
3. What is STP Mapping, and how does it relate to Salary Sacrifice in Entire OnHire?
   STP (Single Touch Payroll) mapping is the process of aligning the salary sacrifice deductions and benefits with the Australian Taxation Office's (ATO) reporting requirements. In Entire OnHire, this is crucial to ensure that your salary sacrifice arrangements are compliant.
   1. How to map allowances if you are getting the error "Allowances which are pending to map with codes provided by ATO" which doing STP.
   2. Select the specific salary sacrifice allowances you've set up.
   3. Map them to the corresponding ATO reporting categories, ensuring accuracy.
   4. Review and confirm the mapping.
   5. Ensure that this mapping information is consistently updated and aligned with ATO guidelines.
4. How to assign to a member
   Now that you have created the deduction, you can assign this to the member via their member card - How to add an Addition or Deduction to a Members Profile
5. Is Salary Sacrifice a Tax-Efficient Option?
   Yes, salary sacrifice can be a tax-efficient option, as the sacrificed portion of your salary is typically not subject to income tax. However, there may be some exemptions and limits, so it's essential to consult with your tax advisor or HR department to understand how it applies to your specific situation.
6. Can I Change or Cancel Salary Sacrifice Arrangements in Entire OnHire?
   Yes, you can change or cancel your salary sacrifice arrangements in Entire OnHire. Simply log in to your account, navigate to the 'Deductions' section, and make the necessary adjustments. Keep in mind that there may be specific deadlines or requirements for changes, so it's advisable to check with your HR department or payroll administrator.