Want to know how much tax is on commissions and on bonuses in Australia to be paid to your staff?
The Australian Tax Office (ATO) has a great page that summarises when tax and super applies in neat easy-to read tables.
Here we focus in 2 main payments that employers are often unsure about – Bonuses and Commissions –
Bonuses
There is PAYG (Pay As You Go) tax as well as super on bonuses which are still income for the employee.
Commissions
There is PAYG (Pay As You Go) tax as well as super on commissions which are still income for the employee, like ordinary hours, see further down this table.
Other payments and tax and super –
- See the page for other payments such as allowances, expenses, paid leave, and termination payments see the full detail of the tables on the ATO page to know when tax and super applies in neat easy-to read tables.
- For all the tax tables (can download a PDF version to keep on your PC desktop) see ATO Tax Tables page scroll down to the Regular Payments and choose weekly, fortnightly etc. Note at the top and bottom of the page there is also a link to the handy Tax Calculator they supply online.
- Contractors may require tax and super to be paid – be careful – See Contractor Checklist
- For amounts/payment that you do not pay tax on, see Amounts you do not pay tax on.
- For Super calculations see ATO Superannuation guarantee contributions calculator
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