LAFHA and Super
#16
hi ian,
could you advise, just moved from uk to canberra on 457 visa, I enquired about lafha with my australian employees before i left the uk but they new nothing about it (health authority). Could you give advise me if i am entitled to it (i have a home in the uk which i am renting) and if so how I go about claiming it,
thanks
could you advise, just moved from uk to canberra on 457 visa, I enquired about lafha with my australian employees before i left the uk but they new nothing about it (health authority). Could you give advise me if i am entitled to it (i have a home in the uk which i am renting) and if so how I go about claiming it,
thanks
#17
Forum Regular

Joined: Nov 2011
Posts: 35








As has been mentioned - your company do noy pay you LAFHA; it is not a payment made them, it is a tax break for those eligible to receive it.
Because you have accepted LAFHA, your base salary is reduced by the LAFHA amount thus reducing your salary for taxation purposes. Because of this your super payments are still only made on your salary for taxation purposes, and will be reduced.
You cant have your cake and eat it lol.
If your employer thinks they are paying you with this LAFHA then it sounds like they dont fully understand what it is.
Because you have accepted LAFHA, your base salary is reduced by the LAFHA amount thus reducing your salary for taxation purposes. Because of this your super payments are still only made on your salary for taxation purposes, and will be reduced.
You cant have your cake and eat it lol.
If your employer thinks they are paying you with this LAFHA then it sounds like they dont fully understand what it is.
#18
BE Forum Addict






Joined: Oct 2011
Posts: 1,234











I thought Super was set at 9%... Why would someone pay 10%?
#22
Just Joined
Joined: Jan 2012
Posts: 4

LAFHA isn't an entitlement, you can't claim it. If you are eligible, your employer might administer it, but they don't have to. If yours have never heard of it then I daresay they won't administer it for you. The rules are being tightened up shortly and you will no longer be eligible for it anyway.
thanks
#23
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Joined: Oct 2011
Posts: 1,234











I'm sure if you rent your other property out you can't claim it as you aren't paying for two properties then!
#24
My post might not be what you want to read, but I don't see how it wasn't constructive. You cannot *claim* LAFHA. Your employer has to choose to administer it and if they don't then it's too bad.
#25
If your employer can't or won't, then there's nothing much anyone else can do.
#27
BE Forum Addict






Joined: Oct 2011
Posts: 1,234











You will not be able to claim LAFHA as stated in all likely hood, and either way its gone come june/july.



