Guest gazoberg Posted May 17, 2006 Share Posted May 17, 2006 Hi, can someone explain the living away allowance to me ? Im moving to Brisbane in august and have been advised I will be eligible for this allowance but dont really know what it means or what it will be worth to me in monetary terms ? thanks all gaz Link to comment Share on other sites More sharing options...
Guest loz Posted May 17, 2006 Share Posted May 17, 2006 Hi Gaz Have sent you a PM Link to comment Share on other sites More sharing options...
Guest ABCDiamond Posted May 17, 2006 Share Posted May 17, 2006 Living Away From Home Allowance (LAFHA), according to the ATO, is: "A living away from home allowance within the meaning of the Fringe Benefits Tax Assessment Act is specifically excluded from assessable income and so does not have to be shown on your return." Basically it means that certain living expenses can be paid to you as tax free payments rather than normal taxable salary, based on the fact that you are only working in the area on a temporarty basis, and are not permanent. ATO Links: http://www.ato.gov.au/businesses/content.asp?doc=/content/52023.htm http://www.ato.gov.au/corporate/content.asp?doc=/content/mr200283.htm Examples of employees on appointments of finite duration who will generally be living away from their usual place of residence are foreign nationals employed in Australia (expatriate employees) and Australian residents stationed in a foreign country for a time (for example, export consultants, diplomats and immigration officials). In the case of the expatriate employees having to reside in Australia for the term of their employment, each year the Tax Office publishes a taxation determination outlining what is considered a reasonable food component. Application for PR would normally terminate any LAFHA. Link to comment Share on other sites More sharing options...
Guest mjwhite78 Posted January 20, 2008 Share Posted January 20, 2008 Hello everyone My wife, and 18 month old daughter are contemplating a couple of years in Australia living in Sydney. I know that I will be able to secure employment with sponsorship on arrival in Sydney and have recently heard about the Living Away From Home Allowance (LAHA). Can anybody already receiving the allowance or with knowledge of it please give me some idea of how much we could expect to receive and if the money is received in its entirety or if it is merely a tax break. We would anticipate rental costs being c$2,500 per month. Also, on a second point regarding suitable suburbs in which to live I am a big fan of Leichhardt and Balmain but would welcome any opinions of family friendly suburbs within easy reach of the Inner West. Much as I love the Eastern Suburbs I am keen to keep away from teh usual backpacker haunts!! Thanks for your assistance. Link to comment Share on other sites More sharing options...
Guest vanita suman Posted January 20, 2008 Share Posted January 20, 2008 Hi there, I received the Living Away from Home Allowance when we were out in Sydney. Basically you can claim all your rent and some food allowance. Our rental cost was about $1500 per month so when I got my salary every month, I received $1500 (plus some food allowance - can't remember how much that was) completely tax free. It is very beneficial and in your case you should be able to get $2500 tax free in your salary every month (unless the rules have changed). Vanita Link to comment Share on other sites More sharing options...
Guest Carl&Lisa Posted July 14, 2008 Share Posted July 14, 2008 Morning all, Has anyone heard or claims a 'Living away from home allowance' if you are on a 457 temp visa. Somebody has just mentioned it on another thread and I was wondering if anyone else knows of it. I guess its a state benifit and wonder if you need to show certain criteria to collect it?? Link to comment Share on other sites More sharing options...
Stuju Posted July 14, 2008 Share Posted July 14, 2008 Morning/Evening, I have heard of this before, see this link may be of help http://www.gomatilda.com/news/documents/The_Living_Away_From_Home_Allowance.pdf Link to comment Share on other sites More sharing options...
Guest itskaren Posted July 14, 2008 Share Posted July 14, 2008 Morning all, Has anyone heard or claims a 'Living away from home allowance' if you are on a 457 temp visa. Somebody has just mentioned it on another thread and I was wondering if anyone else knows of it. I guess its a state benifit and wonder if you need to show certain criteria to collect it?? Very few employers offer this. I came on the 457 visa and was told that I would get it but then the agency changed its mind! A total con! If you in anyway apply for a PR visa the LAFHA is cancelled immediately. this is what I was told anyway. Good luck. Link to comment Share on other sites More sharing options...
Guest Carl&Lisa Posted July 14, 2008 Share Posted July 14, 2008 Thank you Stuju, This may not apply to me then cos I asked to work for them as a means of getting to oz, I was not relocated by my employer so they may not offer this, and as Vul885 states not many employers offer this. But it may be worth a try. Ta anyway Link to comment Share on other sites More sharing options...
mrscat Posted January 5, 2009 Share Posted January 5, 2009 does anybody know if both of you can ask for this from your employer or is it just the person who is the main applicant on the 457 who can apply?:unsure: many thanks Link to comment Share on other sites More sharing options...
Guest proud2beaussie Posted January 5, 2009 Share Posted January 5, 2009 As far as I am aware it is only the main applicant that can claim LAFHA,But you could always ring the ATO. PayMe - Living Away From Home Allowance (LAFHA) Link to comment Share on other sites More sharing options...
Guest davegoldy Posted January 6, 2009 Share Posted January 6, 2009 Hi, If you are both eligable- i.e. both living away from home & both intend on returning to home then you can both legit claim LAFHA. I work for Super Return, we run a LAFHA advise service (work our breakdown of figures & certify that you are eligable)- check www.superreturn.com.au and email me if you want any more help. Cheers, David Link to comment Share on other sites More sharing options...
Guest davegoldy Posted January 6, 2009 Share Posted January 6, 2009 You are generally eligable to recieve LAFHA if you are required to live away form home to do your work & intend on returning there once your job is completed. I work for Super Return- we run a LAFHA service, providing certification that you people are eligable to claim the benefit & doing the maths behind it. Please check out www.superreturn.com.au And feel free to email me with any questions, Cheers, David Link to comment Share on other sites More sharing options...
Guest davegoldy Posted January 6, 2009 Share Posted January 6, 2009 Hi, To avoid the employer paying Fring Benefit Tax on the allowance you must deduct the cost of renting / food at your usual place of residence. Then you are paid the difference in LAFHA allowance- which is a tax free payment. I work for Super Return- we run a LAFHA service, providing certification that you people are eligable to claim the benefit & doing the maths behind it. Please check out www.superreturn.com.au And feel free to email me with any questions, Cheers, David Link to comment Share on other sites More sharing options...
Guest davegoldy Posted January 6, 2009 Share Posted January 6, 2009 Hi, I hope you got your LAFHA sorted out, its pretty straightforward, but the finer point are often missed, for example you must deduct the stat amount of rent & food from 'usual place of residence' otherwise your employer will be liable for Fringe Benefits Tax. LAFHA will give you more money and save your employer money too if its administered correctly. I work for Super Return- we run a LAFHA service, providing certification that you people are eligable to claim the benefit & doing the maths behind it. Please check out www.superreturn.com.au And feel free to email me with any questions, Cheers, David Link to comment Share on other sites More sharing options...
Guest JoanneHattersley Posted January 6, 2009 Share Posted January 6, 2009 Have merged all the latest 5 threads on LAFHA. That way all our eggs are in one basket and all our information central here for everyone that requires it! Link to comment Share on other sites More sharing options...
Guest prettyinpink Posted January 6, 2009 Share Posted January 6, 2009 We are in WA on a 457 and my OH who was the main applicant gets the LAFHA. It basically meant we could afford another $100 per week of rent and gave us more scope on the houses we looked at. I had heard before we left the UK that hubby needed to negotiate it into his contract, but he didn't need to as they had already sorted it out. Link to comment Share on other sites More sharing options...
krestsaf Posted January 6, 2009 Share Posted January 6, 2009 Does it cost more to the employer? Is it more hassle? Want to ask for it but want more info before i ask! great post tho thanks for posting it x Link to comment Share on other sites More sharing options...
Guest davegoldy Posted January 7, 2009 Share Posted January 7, 2009 The employer actually stands to pay less money out in taxes when they pay LAFHA, once they know the payment rates all they need to do is aportion some of your wages into a tax free box (takes them a few minutes). The biggest issue usually is assuring that you are eligable to recieve the benefit & calculating the rates- we can do all this for you if you want check www.superreturn.com.au Hope this helps, Dave Link to comment Share on other sites More sharing options...
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