Save While Living Out of Home
Under the Fringe Benefits Tax (FBT) rules, individuals who satisfy the living away from home criteria can be paid an allowance (LAFHA) which may receive concessional tax treatment.
There are two components of LAFHA: accommodation and reasonable food.
Each year, the Australian Taxation Office (ATO) issues guidelines for the amount of the food component it will regard as reasonable within Australia. Substantiation is not required for amounts equal to or less than the reasonable food component.
