Workforce |
Paying VolunteersClub volunteers can be paid in cash, given non-cash benefits, or given a combination of both cash and non-cash benefits. Honorariums - An honorarium is either an honorary reward for voluntary services, or a fee for professional services voluntarily performed. An honorarium may be paid in money or as property. Reimbursements - A payment is a reimbursement if it is a precise compensation, in part or full, for an expense already incurred, even if the expense has not yet been paid. A payment is more likely to be a reimbursement where you require your volunteer to provide a receipt or otherwise substantiate expenses and refund unspent amounts. Allowances – An allowance is a definite, predetermined amount to cover an estimated expense. It is paid even if the volunteer does not spend the full amount. Benefits your club provides to volunteers do not attract fringe benefits tax (FBT) and payments to your volunteers are generally not subject to pay as you go (PAYG) withholding. However, if the club is registered for GST, it may be entitled to claim GST credits for purchases it makes for its volunteers or when it reimburses its volunteers for expenses they have incurred. For more information on various obligations concerning payment to volunteers, visit the Australia Taxation Office website. If your club is looking at employing people, Business.gov.au have created a build your own employment contract, for an employee under Australia’s Fair Work System, that is tailored to your business needs. The tools will help protect your club by ensuring employee’s pay and conditions are clear from the start. People can be employeed under three types of employement:
The conditions for each type differ, so it will change what you get in your contract. Visit Business.gov.au for more information. |