How Not for Profit Employees Can Benefit from Salary Packaging

Not-for-profit employees can reduce tax and boost income through salary packaging. Discover how it works, what you can claim, and how Easi makes it easy.

4th, Jun 2025 4 min read time
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Working in the not-for-profit (NFP) sector has its rewards - and not just the personal fulfilment of helping others. One of the most powerful financial perks available to not for profit employees is salary packaging.

With Easi, you can access this benefit with less stress and more savings. Here's how it works, why it's valuable, and how you can start simplifying your salary with Easi's expert support.

Find out how much you could save

Interested in learning how much you could be saving on a new car with the benefits of salary packaging? Use our calculator.

What Is Salary Packaging?

Salary packaging (also known as salary sacrificing) is an arrangement where you use a portion of your pre-tax income to pay for certain expenses. This reduces your taxable income, meaning you take home more of your salary.

It’s a tax-smart strategy that can apply to a range of everyday costs, from rent and groceries to car leases and superannuation contributions.

Why Not-for-Profit Employees Have a Unique Advantage

Employees in the not-for-profit sector benefit from generous Fringe Benefits Tax (FBT) exemptions, which allow you to salary package up to a capped amount each year, tax-free.

These tax concessions make it easier for NFP organisations to attract and retain talent, while giving employees more control over their income.

How Much Can You Package?

Depending on the type of organisation, employees can access the following tax-free caps:

  • Public Benevolent Institutions (PBIs): Up to $15,900 per FBT year

  • Public and Not-for-Profit Hospitals: Up to $9,010 per FBT year

  • Meal Entertainment & Venue Hire: Up to an additional $2,650

These limits apply per person, so if you and your partner both work in the NFP space, the benefits multiply.

Not-for-profit salary packaging benefits

Escape fringe benefits tax

Many NFPs have some exemptions from fringe benefits tax (FBT). An employer usually would need to pay fringe benefits tax when non-cash fringe benefits, such as laptops, cars and phones, are paid for on your behalf and used for personal use outside work.

NFP organisations benefit more than private or “profit” companies because they can offer non-cash benefits at a lower cost, making salary sacrificing much more attractive to employees.

Tax laws such as fringe benefit tax differ depending on the business and personal circumstances, like your annual gross salary. We cannot provide professional advice on taxable income or otherwise. For more information on fringe benefit tax, we highly recommend seeking taxation advice from an experienced tax accountant.

Other benefits of salary packaging

  • Organisations that provide salary packaging benefits attract and retain employees better.

  • For a similar cost to the employer, your money goes further as an employee.

  • As an employer, you can provide fringe benefits without having to pay extra tax for them.

What Expenses Can Be Salary Packaged?

Here are just some of the everyday expenses that not-for-profit employees can package using pre-tax dollars:

Living Expenses

  • Mortgage or rent

  • Utility bills

  • Groceries

Meal Entertainment

  • Restaurant dining

  • Holiday accommodation

  • Venue hire for events

Vehicle Costs via Novated Leasing

  • Car finance repayments

  • Registration and insurance

  • Servicing and fuel

  • Roadside assistance

Bonus: If you lease an eligible electric vehicle through a novated lease, you may also benefit from FBT exemptions, leading to even greater tax savings.

Additional Superannuation Contributions

  • Boost your retirement savings by contributing more now - tax free!

How Easi Makes Salary Packaging Simple

At Easi, we believe that tax savings shouldn’t come with extra complexity. We help not-for-profit employees take full advantage of salary packaging through:

Expert Advice

We understand the specific rules for NFP employees and tailor your packaging plan accordingly.

End-to-End Support

From setting up your benefits to ongoing compliance, we manage the process so you can focus on what matters.

Integrated Novated Leasing

Bundle all your car expenses into your pre-tax salary with a novated lease, managed fully by Easi.

Getting Started

  1. Speak with your employer to confirm you’re eligible to salary package under their approved provider arrangement.

  2. Contact Easi to explore your options and build a personalised plan.

  3. Start saving more of your income with less effort.

Final Thought: Do More with Your Salary

If you work in the not-for-profit sector, salary packaging isn’t just a perk, it’s a powerful way to take control of your finances. And with Easi’s help, it’s never been simpler.

Easi has over 30 years of experience in the car leasing industry, meaning we can use our knowledge to deliver effective business car solutions every time. If you want to reap the less-tax benefit rewards of a novated lease or salary packaging, contact our staff for more information on how we can help.

Try our novated lease calculator to see how much you can save!