ive just started working at a not-for-profit health company and they offer salary sacrificing.
As I understand it, you send a portion of your pay to the ss company lowering your taxable income and therefore paying less tax and having more money per pay check.
I have some questions though. While this sounds great, I'm sceptical. Firstly, how is this ok? Why does the ATO say this is ok? I owe them tax, where does this come from?
Secondly, what does this ss company get out of it? Why would a company just help us to get more money...what are the benefits to them?
It sounds good but I'm not sure I understand it completely.