Payroll – we all love to have it but nobody loves to do the paperwork. Or submit timesheets. Or work out extra fees for doing simple things…
We get that, really, we do.
Simpler Technology’s payroll services provide weekly pay to all contractors, quarterly superannuation, and no extra fees for the basics like Salary Sacrificing or car leases. We’re also flexible on timesheets – simply email your departmental timesheet by the cutoff time and you’re done.
The great service starts now. Allow us to explain…
When you are negotiating your rate with a recruiter, it is absolutely critical that you establish if the rate is inclusive of GST and/or superannuation. Unfortunately we have seen contractors accept a rate and later discover that the actual rate is nearly 20% lower after GST and super is removed, so we always recommend you use the term “ex tax to payroll” – this should clearly indicate that the rate is exclusive of GST and yet inclusive of superannuation, and that gives you some certainty as to what actual rate you will be paid. Let us show you below;
A contractor takes a position and agrees to an hourly rate of $100/hr
In the chart to the left, the lighter the shade of green the closer the money is to your pocket. In this example of $100/hr, the chart shows the final taxable income (the largest section) is different by $8.10 per hour and another 85c per hour of superannuation – that’s $15,552 and $1,652 respectively per year on a standard 1920 hour work order that isn’t in your pocket.
As well as processing your payroll, we also offer salary sacrifice arrangements at no additional cost – be that extra superannuation, a new laptop, or a new phone. Because these deductions happen pre-tax you essentially save roughly 40% of the cost of the item and with payroll being weekly you are reimbursed within days.
We are also partnered with Auto Car Finance who are easily the best (in our opinion) provider of car leasing arrangements around, and again it’s already included in our flat fee.
Sound good? How about having all of this for just 1.5%