Hello,
I am trying to figure out the best tax option.
Numbers are approximate but you get the idea.
1/ Can you still sacrifice on top of salary packaging or does the packaging cap affect how much sacrifice you can do?
2/ should I go for the full on solution in your opinion or keep a bit more cash and therefore flexibility?
Salary is 95k + super.
Max packaging (rent+debit card + meals card) = 35k
Maxing super concessional contributions requires 16k on top of compulsory guarantee.
95-51=44k taxable income.
After tax I would have about 38k net left, which I would save entirely as I would live on the package.
If I add the sacrifice to that I would save 54k a year, close to 60% saving rate.
BUT I am locking most of it inside super and receive less income in cash.
What would you do?
Interested in your opinion, especially if you work for an organisation with Public Benevolent Institution status.
Cheers