General Conditions

Eligibility

Participation in the scheme is available to the University of Adelaide employees only and is voluntary for all eligible employees.

All tenured, tenurable, continuing employees and those with fixed-term contracts for 12 months or more may participate provided that the term of appointment is greater than the package term unless otherwise approved by the General Manager, Human Resources in special circumstances.

Net gains from increased take-home pay must be considered against potential tax penalties on superannuation benefits in the future and at retirement as well as the potential penalties on family assistance, rebates, Medicare levy surcharge and superannuation surcharge.

Casual employees and employees with a fixed-term contract of less than 12 months are not eligible to participate in this scheme.

Maximum Level

Up to 40% of fortnightly superannuable gross salary may be packaged inclusive of all packaged items and charges unless otherwise approved by the General Manager, Human Resources in special circumstances.

Car Parking fees can be sacrificed in addition to the standard 40% maximum.

Employees may package one-off amounts (eg performance bonus) but must declare this intention up-front before the entitlement has been earned to satisfy the Government's non-retrospectivity rule.

Effect on Entitlements, Periods of Leave Without Pay and Termination

Calculation of employee entitlements, such as overtime, annual leave loading, allowances, paid and unpaid leave, payment in lieu, redundancy payments and superannuation will be based on salary levels before salary packaging deductions are applied.

Leave without pay periods will not negate salary packaging agreements. Employees who take leave without pay must make arrangements to continue monthly motor vehicle lease payments or child care fee payments from their own resources. For superannuation arrangements during leave without pay, employees should contact the Superannuation Consultant, ext. 35222, to discuss available options.

On termination of employment any outstanding full pay period amounts will be deducted from final salary and leave entitlements where possible.

The motor vehicle Novation Agreement with the University of Adelaide will cease on termination and all further lease payments are the responsibility of the employee and have to be made to Custom Fleet direct.

Administration Cost

An administration cost charge of $260 per annum ($10 per pay) inclusive of any government taxes will apply for motor vehicle novated leases and will be processed as a pre-tax deduction from salary each fortnight.

An additional one-off administration cost charge of $130 (pre-tax) will be made for changes initiated by the staff member during a Motor Vehicle novated lease term. This administration cost charge will be in addition to the $260 ongoing charge.

An administration cost charge of $130 per annum ($5 per pay) will apply for salary packaging Child Care fees and will be processed as a pre-tax deduction from salary each fortnight.

An additional one-off administration charge of $50 pre-tax will be made for changes initiated by a staff member to Child Care fees during the 12 months package term.

Fees, where applicable, are cumulative and the University reserves the right to vary the level with appropriate notice.

Any other out-of-pocket expenses incurred by the University with regard to changes to packaging arrangements during a package term will be passed on to the employee including any Government taxes if applicable.

No administration cost is charged by the University for administering UniSuper superannuation salary packages, but the University reserves the right to charge an amount of $50 pre-tax to defray costs for changes to packages within the 12 month package term.

Restrictions

Superannuation pre-tax contributions are available for UniSuper and Scheme A85 plans only. The SuperSA scheme in which some employees participate and which are now 'frozen', have no provision for salary packaging in their Deed. Staff in these schemes who wish to package voluntary contributions may do so to the UniSuper Award Plus Plan (formerly TESS). Private superannuation funds are also excluded at this stage.

Only one motor vehicle per employee may be leased at any one time.

Child Care fee packaging is only available for the University of Adelaide North Terrace and Waite campus child care centres, and Roseworthy Campus Child Care Centre.

Review of packages where changes are anticipated must be completed one month before the end of the package term.

Salary packaging arrangements may not be backdated.

The University of Adelaide reserves the right to terminate any salary packaging arrangement in the event of a serious breach of agreement by an employee.

The University accepts no responsibility for any loss or disadvantage suffered by an employee as a result of any salary packaging arrangement under this scheme.

The University retains the right to vary or rescind the Scheme and to vary the level of fees.

Legislative or statutory changes will be implemented as required and may result in change or abandonment of the Scheme if necessary.