Salary Packaging Program Procedure

Policy Procedures Human Resources Procedures Salary Packaging Program Procedure

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Intent

The intent of this procedure is to enable staff members to participate in a salary packaging program, whereby the staff member can receive part of their salary in the form of benefits, payment of which is deducted from the staff members pre-tax salary rather than after-tax salary.

Scope

This procedure applies to new or existing staff members of JCU Australia. It does not apply to casual staff and short-term academic visitors or adjuncts.

Definitions

nil applicable

Procedure

1. JCU’s partnership with nlc Pty Ltd

  1. James Cook University has partnered with nlc Pty Ltd to offer an extensive salary packaging program to employees. nlc were selected by the University after a thorough tender process and market evaluation.
  2. JCU will continue to manage salary packaging for Superannuation.

2. Entering into a Salary Packaging Program agreement

  1. The staff member should review the Salary Packaging Program – Benefits Guide, which provides detail of the various benefits offered at JCU.
  2. After reviewing the Salary Packaging Program – Benefits Guide, any staff member who would like to enter into a package (excluding superannuation) or investigate further should contact nlc directly via phone on 1800 652 652, by emailing customersupport@nlc.com.au or visiting www.nlc.com.au .
  3. After reviewing the Salary Packaging Program – Benefits Guide, any staff member who would like to enter into an agreement relating to superannuation, should make application to Remuneration Services at JCU on the JCU prescribed form.
  4. It is important that staff members seek their own independent professional legal, financial and taxation advice before entering into any salary sacrificing arrangement. The University accepts no liability for staff members failing to obtain advice on financial matters concerning their remuneration.
  5. All costs associated with salary packaging (including establishment and administration fees) are the financial responsibility of the staff member and are to be met by the staff member, including in circumstances such as leave without pay or termination of employment.

3. Finalising, amending, or ceasing a Salary Packaging Program agreement

  1. Where a Salary Packaging Program agreement is due to conclude, or where the staff member wishes to amend the agreement, or where the staff member’s work arrangements may impact the agreement (e.g. participating in leave without pay) the staff member should contact nlc directly (excluding superannuation).
  2. Any staff member who would like to amend or cease an agreement relating to superannuation should make application on the JCU prescribed form, as amended from time to time.
  3. An agreement set for the purposes of superannuation, will cease automatically on cessation of employment.
  4. Where a staff member is ceasing employment with the University, the staff member should contact nlc directly.
  5. Any outstanding amount for salary packaged items will need to be cleared prior to departing from the University and before the termination payment is processed.
  6. Where the pay deduction received does not match the benefit/expense, JCU will recover or reimburse any gap.

Related policy instruments

Related policy instruments include but are not limited to the following documents. Further related instruments can be found at the JCU Human Resources website.

Schedules/Appendices

nil

Administration

Approval Details

Policy Sponsor and approver of procedure

Deputy Vice Chancellor, Services and Resources

Version no

16-1

Date for next review

16 June 2019

Revision History

Version

Approval date

Implementation date

Details

Author

16-1

16/06/2016

18/07/2017

  • Separation of procedure from   the policy in accordance with, JCU’s approved Policy and Delegations Framework,   Policy Handbook procedures.
  • Details of benefits removed   from policy and procedure, and contained in supporting Salary Packaging   Program Benefits Guide.

Deputy Director, Human Resources

Keywords

Salary packaging program, salary packaging, salary sacrifice, flexible remuneration, benefits guide, salary packaging – benefits guide.