• Part 1: Employee starts

    The first part of the Employee checklist contains the tasks that you need to complete to meet your not-for-profit organisation's tax and super obligations for when an employee starts.

    Is your worker an employee?

    • Check that your worker is an employee – refer to Type of worker
    • Check that your employee is legalExternal Link – they must be one of the following  
      • an Australian citizen
      • a permanent resident
      • a non-citizen with an Australian visa that allows them to work.

    PAYG withholding

    • Provide a Tax file number declaration (NAT 3092) to your new employee for them to complete and return to you
    • If your employee has a Higher Education Loan Program (HELP), Trade Support Loan (TSL) or Financial Supplement debt, they must advise you when they complete their Tax file number declaration
    • Complete Section B of your employee's Tax file number declaration
    • Send the completed original of the Tax file number declaration to us within 14 days of the employee's start date
    • Keep the necessary PAYG withholding records.

    Super

    Fringe benefits tax (FBT)

    • Work out if any fringe benefits will be provided to your employee
    • Check if your organisation can access FBT concessions such as  
      • FBT exemptions (subject to capping) that apply to public benevolent institutions, health promotion charities, public ambulance services, and public and non-profit hospitals
      • FBT rebates (subject to capping) that apply to income tax exempt charities and other rebatable employers
      • exclusions from FBT capping measures for certain types of fringe benefits such as car parking and meal entertainment
      • FBT exemptions that apply to approved worker entitlement funds.
    • Keep the necessary FBT records.

    Salary sacrifice arrangement

    • If entering into a salary sacrifice arrangement with your employee, ensure the arrangement is agreed by both parties and preferably documented

    Next steps:

    See also:

    Last modified: 17 Oct 2016QC 46319