Unit of competency Outline

Date retreived
22/07/2026 7:25 AM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Process salary packaging arrangements and additional allowances in payroll

Process salary packaging arrangements and additional allowances in payroll

Unit of competency
National Code
FNSPAY511
State Code
OED07
TGA Status
Current
DTWD Status
Approved
Current Release Number
1.00
Current Release Date
15/06/2022
View on TGA
State Implementation and Classification
Approved Date
07/12/2022
Field of Education
080101 - Accounting
Original Release Date
07/12/2022
Nominal Hours
50
Description
This unit describes the skills and knowledge required to process salary packaging arrangements and additional allowances for employees in payroll systems. This includes analysing an organisation’s salary packaging and additional allowance arrangements, assisting employees to interpret prepared arrangements, and issuing payment summaries.The unit applies to individuals who, within their level of authority, use established payroll systems, systematic approaches and analytical techniques to prepare data, calculate and verify payments, and ensure compliance with regulatory requirements.Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Users are advised to check with the relevant state and territory regulatory authorities to confirm those requirements.
Notes
Elements and Performance Criteria
1. Analyse organisation’s salary packaging and additional allowance arrangements
  • 1.1 Identify organisational and legislative requirements for salary packaging arrangements and additional allowances
  • 1.2 Evaluate benefits and costs of different salary packaging options
  • 1.3 Determine organisation’s preferred salary packaging model
  • 1.4 Identify range of benefits that form part of employee salary packaging arrangements
  • 1.5 Verify that salary packaging arrangements and additional allowances comply with required legislation and organisational policies and procedures
2. Assist employees to interpret prepared salary packaging arrangements
  • 2.1 Prepare information for employees on available salary packaging options
  • 2.2 Distribute information to employees according to organisational policies and procedures
  • 2.3 Assist employees to assess the implications of salary packaging options on assessable income and employment conditions
3. Process salary packaging arrangements in payroll system
  • 3.1 Obtain employee information required to process salary packaging arrangements according to organisational procedures
  • 3.2 Enter information into payroll system and check for accuracy against source information, seeking clarification as required
  • 3.3 Determine tax and non-tax components of salary packaging arrangements
  • 3.4 Calculate impact of salary packaging on employee’s assessable income in payroll system
4. Process additional allowances in payroll system
  • 4.1 Obtain employee information required to process additional allowances relating to their employment conditions according to organisational procedures
  • 4.2 Enter information into payroll system and check for accuracy against source information, seeking clarification as required
  • 4.3 Calculate impact of additional allowances on employee’s gross income in payroll system
  • 4.4 Adjust additional allowances to be paid to employee in response to changes in their employment conditions as required
5. Issue income statement and document outcomes
  • 5.1 Issue income statement using Single Touch Payroll according to legislative and organisational requirements
  • 5.2 Produce, review and store payroll records relating to employee salary packaging arrangements and additional allowances according to organisational policies and procedures
No information
No information
Replaces
State Code National Code Title Type
BBH74 FNSPAY501 Process salary packaging arrangements and additional allowances in payroll Unit of competency