Step 1. Calculate your wages bill

Total wages includes:

  • salary/wages
  • overtime, shift and other allowances
  • over-award payments
  • bonuses or commissions
  • payments to working directors (including directors' fees), or amounts received instead of wages (including payments to family members)
  • payments to pieceworkers
  • payments for sick leave, public holidays and associated leave loadings
  • value of any substitutes for cash
  • employer paid or payable superannuation contributions (including the superannuation guarantee levy)
  • grossed-up value of fringe benefits (allowances subject to fringe benefits tax are counted at the grossed-up value, that is the value of the benefit multiplied by the relevant Australian Tax Office fringe benefit formula)
  • long service leave payments (including lump sum payments instead of long service leave)
  • termination payments (lump sum payments in respect of annual leave, long service leave, sick leave and related leave loadings)
  • trust distributions to workers where the distribution is in lieu of wages for work done for the trust.

Wages do not include:

GST components to worker payments.