• Work out tax to withhold and super to pay

    Use the:

    Use the tables below to work out which payments are subject to tax and super:

    See also:

    Earnings under awards and agreements

    Amounts paid to employees for their services.

    Payment type

    Withhold tax?

    Pay super?

    Ordinary hours

    Yes

    Yes

    Overtime – employee works additional hours for which they are paid overtime rates

    Yes

    No

    Overtime – component of earnings based on hourly driving-rate method stipulated in award

    Yes

    No

    No ordinary hours of work specified

    Yes

    Yes – for all hours worked

    Piece rates

    Yes

    Yes – for all hours worked

    Commissions

    Yes

    Yes

    Casual employee shift loadings – ordinary hours

    Yes

    No

    Casual employee shift loadings – overtime hours

    Yes

    No

    Allowances

    Additional amounts paid to employees to recognise or compensate for certain conditions about their employment.

    Payment type

    Withhold tax?

    Pay super?

    Unconditional allowance – paid for working conditions, qualifications or special duties: danger allowance, dirt allowance, first aid officer, safety officer etc

    Yes

    Yes

    Expense allowance (expected to be fully spent): used to pay for tools, compulsory uniform, phone/internet access etc

    Yes

    No

    Meal allowance (excluding award overtime meal allowance)

    Yes

    Yes

    Part-day travel allowance (no overnight absence)

    Yes

    Yes

    Motor vehicle allowance for non-deductible travel (home to work etc)

    Yes

    Yes

    Retention allowance

    Yes

    Yes

    On-call allowance (during ordinary hours of work)

    Yes

    Yes

    On-call allowance (outside ordinary hours of work)

    Yes

    No

    Cents per kilometre car expense allowance using the approved rate (up to 5,000 business kilometres)

    No

    No

    Cents per kilometre car expense allowance using the approved rate (over 5,000 business kilometres)

    Yes – for excess over 5,000 kms

    No

    Cents per kilometre car expense allowance above the approved rate (up to 5,000 business kilometres)

    Yes – for excess above rate

    No

    Laundry allowance (up to threshold amount)

    No

    No

    Laundry allowance (above threshold amount)

    Yes – for excess above threshold

    No

    Award overtime meal allowance (up to reasonable allowances amount)

    No

    No

    Award overtime meal allowance (above reasonable allowances amount)

    Yes – for excess above threshold

    No

    Travel allowance involving an overnight absence from employee’s ordinary place of residence (up to reasonable allowances amount)

    No

    No

    Travel allowance involving an overnight absence from employee’s ordinary place of residence (above reasonable allowances amount)

    Yes – for excess above threshold

    No

    Award transport allowance (for deductible transport expenses)

    No

    No

    Award transport allowance (for non-deductible transport expenses)

    Yes

    Yes

    Expenses

    Amounts paid to employees to cover or reimburse expenses incurred while providing services.

    Payment type

    Withhold tax?

    Pay super?

    Reimbursements

    No

    No

    Petty cash

    No

    No

    Paid leave

    Amounts paid to employees while on leave.

    Payment type

    Withhold tax?

    Pay super?

    Annual leave, sick leave or long service leave

    Yes

    Yes

    Parental leave (maternity, paternity, adoption)

    Yes

    No

    Ancillary leave (jury duty, defence force reserves)

    Yes

    No

    Workers’ compensation (returned to work)

    Yes

    Yes

    Workers’ compensation (not working)

    Yes

    No

    Termination payments

    Amounts paid to employees upon termination of employment.

    Payment type

    Withhold tax?

    Pay super?

    Annual leave, sick leave or long service leave

    Yes

    No

    Parental leave (maternity, paternity, adoption)

    Yes

    No

    Ancillary leave (jury duty, defence force reserves)

    Yes

    No

    Workers’ compensation (returned to work)

    Yes

    Yes

    Workers’ compensation (not working)

    Yes

    No

    Bonuses

    Additional amounts paid to employees as a reward for good performance.

    Payment type

    Withhold tax?

    Pay super?

    Performance bonus

    Yes

    Yes

    Ex-gratia bonus paid for ordinary hours of work

    Yes

    Yes

    Christmas bonus

    Yes

    Yes

    Bonus paid for overtime work only

    Yes

    No

    Next step:

    Last modified: 30 May 2016QC 47991