Salary Sacrifice - MacBook Pro 2019

MinimalMcG on 19/04/2020 - 14:55
Last edited 23/04/2020 - 04:04 by 1 other user

Hey! I am looking at buying a MacBook Pro and there is a stella deal for the 2019 version:
* Intel Core i9 processor.
* Radeon Pro 560X graphics with 4 GB of memory.
* 1 TB of storage.
* 32 GB of RAM.
Price is ~ $3297 AUD @ Officeworks (work purchase, no GST payable), I think RRP was ~$5200AUD.
[https://www.officeworks.com.au/shop/officeworks/p/macbook-pro-2019-15-4-32gb-ram-radeon-pro-vega-20-space-grey-mbpctovgag]

Note: I hear the keyboard is not great but it will be docked majority of the time. I plan to travel with it back and fourth to the office but will be docked at home and in the office.

I am eligible to salary sacrifice the laptop - I am running the numbers and it seems too good to be true? My salary is 93K. My understanding is I don't pay GST and the remaining cost is $2,997.27.

This then comes out of my pretax salary which the top end is 37%, so after tax it would end up costing $1888 out of pocket.

I do have HECS so not sure how this plays into it. Am I understanding this correctly?

• 

  Hybroid on 19/04/2020 - 15:00

  -1

  2.5 years ago you were embarking on a 4-year Uni course. What could you possibly need an i9/32GB RAM premium laptop for a grad job?

  • 

    loke on 19/04/2020 - 15:03

    MinimalMcG on 02/12/2017 - 12:46

    I have the option of salary sacraficing the laptop (uni is for work)so I’m not sure I can purpose refurbished models.. I’ll look into it though

    possibly postgrad (masters, etc).

    • 

      Hybroid on 19/04/2020 - 15:05

      I suppose you're right, there aren't many grad jobs earning 93K. Just felt like when I first started out and spent so much on unnecessary things without thinking them through.

      • 

        MinimalMcG on 19/04/2020 - 18:05

        Yep, not a grad have been in the industry for 8ish years. I certainly don't need such a high spec laptop, but was looking to upgrade my main PC (not laptop) and the specs to price ratio was pretty good and to have it be portable means replacing the PC I work from home on and in the office. I should have been more clear in my post sorry :)

  • 

    MinimalMcG on 19/04/2020 - 15:34

    +3

    I was working and studying, so have successfully progressed through my career whilst studying.. and am on track to finish my degree :)

  • 

    nomoneynoproblems on 19/04/2020 - 16:27

    What business is it if I'm wants a premium laptop? Op makes good coin and can get it for a pretty good price so why not?

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  loke on 19/04/2020 - 15:07

  Sounds right to me

  Salary sac as your employer allows it where treatment of the laptop becomes 100% work-use (or business use).

  Employer claims back GST.

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  MinimalMcG on 19/04/2020 - 16:05

  To add: I am a web designer so use Adobe Creative Suite, Sketch etc. This laptop is to replace my existing PC which I built in 2012 in the early days of my career :)

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  conan2000 on 19/04/2020 - 17:14

  Yep, salary sacrificing a laptop is an excellent way to do it if your workplace allows it.

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  enigma48 on 19/04/2020 - 17:18

  There are rules about salary sacrificing - you will pay tax above a certain threshold (it becomes a fringe benefit), and there's other rules/issues I'm less aware of.

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    loke on 19/04/2020 - 17:46

    Nah FBT is an employer thing to worry about (taken as if at the highest marginal tax rate of 47% (45% +2% M'Care Levy)).

    edit: striking that above bit out cos it'll affect other components/offset calcs just not income tax calc

    Electronic device (portable) benefits are interesting, they don't attract FBT hence don't cost more to the business

    see:

    https://www.ato.gov.au/General/Fringe-benefits-tax-(FBT)/In-detail/Getting-started/FBT-for-small-business/?page=22

    and

    https://www.ato.gov.au/General/Fringe-benefits-tax-(FBT)/In-detail/Employees/Salary-sacrifice-arrangements-for-employees/

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    MinimalMcG on 19/04/2020 - 18:02

    Thanks - my organisation uses smart salary so I might just ask some questions about this.

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  gozyla86 on 21/04/2020 - 16:36

  My salary is 45k plus annuation leave and Super. Will I have to same out of pocket like OP if I can ask my employer to the same?
  Thank you

  • 

    MinimalMcG on 21/04/2020 - 22:05

    its a HR policy so it would need to be a benefit your employer provides. Best to talk to HR about it