25 March 2023
How Does Salary Packaging Help Combat Inflation?
Salary packaging can help reduce the effects of inflation in several ways.
Salary packaging is a financial arrangement where an employee can allocate a portion of their pre-tax salary towards certain expenses such as a novated lease, superannuation, and many other benefits. By doing so, the employee's taxable income is reduced, which can result in lower income tax payments and an increase in disposable income.