LAFHA under threat
Apr 26th 2012, 8:31 am
#301
Forum Regular
Joined: Dec 2011
Posts: 131
Re: LAFHA under threat
For what it is worth, on a package around 200K, my LAFHA benefits were just 'approved' by a big 4 firm for the Aus bank I am working for as about 4K per month (50K between food and living expenses at 830 a week on housing). I arrived in Oz March 20th and only just now had this finally approved as of that date with back pay credits about to come in. We have a new hire coming in from London who will get it from May 15th - even though it is only for potentially 6 weeks. We are being advised to assume it will change but that there may still be a transitional arrangement (the usual stuff, more likely for families not single, more likely for those on it a long time very short period, etc etc)
I cant say it really changed my living standards - Im moving to a place at 620 a week july 1st under the assumption things are taxable, 200 more a week doesnt really make a huge material difference in living. That said, I wonder how this might impact CBD rents given the number of expats in the high rises here on rents between 600-800 that may be moving to the 400-600 range rents as of July, maybe a bit more pressure on cheaper apartments and an even bigger glut in the nicer high rises especially in Docklands.
I cant say it really changed my living standards - Im moving to a place at 620 a week july 1st under the assumption things are taxable, 200 more a week doesnt really make a huge material difference in living. That said, I wonder how this might impact CBD rents given the number of expats in the high rises here on rents between 600-800 that may be moving to the 400-600 range rents as of July, maybe a bit more pressure on cheaper apartments and an even bigger glut in the nicer high rises especially in Docklands.
Apr 26th 2012, 8:36 am
#302
Forum Regular
Joined: Dec 2011
Posts: 131
Re: LAFHA under threat
Those on much higher levels though are still spending that money on the housing though - my LAFHA was reviewed directly based on lease cost, so those funds are going directly back into the already very high priced Australian rental mark.
Apr 26th 2012, 8:38 am
#303
Forum Regular
Joined: Dec 2011
Posts: 131
Re: LAFHA to go...
We recently had a tax audit where they literally went back 5 years over all LAFHA cases to review if the accomodation and food allowances were within reason.
While they did not find any issue as we maintain a robust policy, it makes you wonder the implications where junior managers on $120k were living in $2k per week properties.
It was suggested that if that occured the company would be liable for the FBT and penalties. Which raises thequestion on whether or how they wouldrecoup that from the employee?
While they did not find any issue as we maintain a robust policy, it makes you wonder the implications where junior managers on $120k were living in $2k per week properties.
It was suggested that if that occured the company would be liable for the FBT and penalties. Which raises thequestion on whether or how they wouldrecoup that from the employee?
May 23rd 2012, 4:20 pm
#304
Forum Regular
Joined: Sep 2011
Posts: 168
Re: LAFHA under threat
Oh well, here we go.
My company yesterday confirmed that they will not increase salaries to offset loss of LAFHA.
Today I resigned; 2 months notice.
New job outside Australia pending but hopeful.
Anybody have experience regarding breaking apartment lease? Can it be done in 28 days or less?
I can't say I'll miss Australia. In general it seems to me that working here is more hassle than it's worth. Australia won't see me again.
Cheers!
My company yesterday confirmed that they will not increase salaries to offset loss of LAFHA.
Today I resigned; 2 months notice.
New job outside Australia pending but hopeful.
Anybody have experience regarding breaking apartment lease? Can it be done in 28 days or less?
I can't say I'll miss Australia. In general it seems to me that working here is more hassle than it's worth. Australia won't see me again.
Cheers!
May 31st 2012, 3:17 pm
#305
Forum Regular
Joined: Sep 2011
Posts: 168
Re: LAFHA under threat
Oh well, here we go.
My company yesterday confirmed that they will not increase salaries to offset loss of LAFHA.
Today I resigned; 2 months notice.
New job outside Australia pending but hopeful.
Anybody have experience regarding breaking apartment lease? Can it be done in 28 days or less?
I can't say I'll miss Australia. In general it seems to me that working here is more hassle than it's worth. Australia won't see me again.
Cheers!
My company yesterday confirmed that they will not increase salaries to offset loss of LAFHA.
Today I resigned; 2 months notice.
New job outside Australia pending but hopeful.
Anybody have experience regarding breaking apartment lease? Can it be done in 28 days or less?
I can't say I'll miss Australia. In general it seems to me that working here is more hassle than it's worth. Australia won't see me again.
Cheers!
