kimjc
6 months agoContributing Cover User
Salary sacrificing annual leave in lieu of payment
Three of our employees have asked to salary sacrifice future annual leave entitlements. I am aware that leave that has already accrued cannot be salary sacrificed, only leave from the date the employee submits their letter.
I have a few questions regarding the posting of this in MYOB.
How is it accounted for in MYOB payroll - is it allocated as a cashed out amount or as leave taken.
If it is allocated as leave taken would you then salary sacrifice the same amount (with leave loading) so you would effectively end up with their normal pay figures and no further or reduced tax.
This would also cancel out the entitlement taken from their leave entitlement balances.